Full Breakdown
Extension of the $100,000 H-1B Fee to September 2027 and Its Impact on Indian Professionals
By Drooid · · How we work
Core Event
On September 18, 2026 the White House issued a proclamation renewing the $100,000 payment requirement for certain H-1B visa petitions. The extension keeps the restriction in force until September 21, 2027. It applies only to H-1B workers outside the United States whose petitions lack the payment, with limited exemptions that the Secretary of Homeland Security may grant for workers, employers or entire industries deemed to be in the national interest. The proclamation does not affect renewals or beneficiaries already in the United States on student visas.
Background & Context
The H-1B non-immigrant visa program was created by Congress in 1990 to allow U.S. employers to hire foreign professionals for specialty occupations. Technology firms rely heavily on the program; 71 % of approved FY 2024 petitions were for beneficiaries born in India, compared with about 12 % for China (USCIS).
In September 19, 2025 the Trump administration introduced the $100,000 payment as part of Proclamation 10973, arguing that the H-1B system was being abused by IT staffing and outsourcing firms. A December 2025 DHS rule replaced the random lottery with a weighted selection system that gives priority to higher-wage and higher-skill applicants.
Data & Statistics
- 71 % of FY 2024 H-1B approvals were for Indian-born beneficiaries (USCIS).
- More than 700 petitions have included the $100,000 payment since September 21, 2025.
- Registrations by the largest IT staffing and outsourcing firms fell from 24,946 to 2,055, a 92 % decline.
- Consular-processing requests dropped by nearly 97 % between the FY 2025 and FY 2027 cap seasons.
- Registrants with at least a U.S. master’s degree rose from 45.1 % in FY 2026 to 66.1 % in FY 2027.
- Selections at the two highest wage levels accounted for 46.3 % of total selections, while the lowest wage level represented 17.8 %.
Official Statements & Responses
- “An extension of the 2025 Proclamation will continue to protect the economic and national security interests of the United States, improve labour market access for American workers and graduates, and ensure that employers recruit only the most highly-skilled and essential alien workers when needed in line with the original intent of the program,” — President Trump
- “More work must be done to improve interagency coordination in the assessment of H-1B visa petitions.” — the administration
- The proclamation directs the Secretaries of State, Labor and Homeland Security to consider recent or planned layoffs of similarly situated U.S. workers when reviewing H-1B petitions.
- A 30-day deadline was set for the Labor Department’s Wage and Hour Division to begin reviewing data from previously submitted labor-condition applications.
Criticism & Opposition
Business groups and technology companies argue that H-1B visas fill genuine skill gaps that U.S. employers cannot meet domestically. The U.S. Chamber of Commerce has filed a legal challenge to the fee, contending that the steep cost could impair innovation and increase hiring expenses for firms that rely on the program.
Conflicting Reports & Gaps
A federal judge in Massachusetts ruled in June 2026 that the administration had exceeded its authority and blocked collection of the $100,000 payment. On July 24, 2026 the First Circuit Court of Appeals declined to pause that ruling, leaving the fee unenforceable while the appeal proceeds. The September 18 proclamation does not overturn the court order, so the payment remains legally barred pending resolution of the appeal. A parallel challenge by the U.S. Chamber of Commerce is also pending before a different federal court.
