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The Proposed $103,265 H-1B Fee: What the Rule Actually Says

On 25 August 2026 the Department of Homeland Security published a notice of proposed rulemaking to add a $103,265 fee to every H-1B cap-subject petition. It is a proposal, not a rule in force — comments are open until 24 September 2026. This page is written from the notice itself, 91 FR 54817, because the number is so large that most coverage has stopped at the headline.

What is proposed

In the notice's own summary:

The Department of Homeland Security (DHS) proposes to establish a $103,265 fee, payable at the time of filing, for all H-1B cap-subject petitions, including those eligible for the advanced degree exemption, which would be imposed in addition to all other applicable fees or payments.

Three features follow directly from that sentence:

| Feature | What it means | | --- | --- | | Payable at filing | Due when the petition is submitted, not on approval | | Cap-subject only | Applies to petitions counted against the annual H-1B cap, including the advanced-degree (master's cap) exemption | | In addition to all other fees | Stacks on the existing petition fee, fraud fee, ACWIA fee, asylum program fee, and — critically — the Proclamation payment |

Who it would not touch

The notice is explicit that the fee applies "not to all H-1B petitions such as cap-exempt filings." Cap-exempt petitions — for universities, non-profit research organisations, and government research bodies, and for extensions, amendments and transfers of workers already counted against the cap — are outside it.

It stacks on top of the $100,000 Proclamation payment

This is the part that matters most and is easiest to get wrong. Since 19 September 2025, Proclamation 10973, Restriction on Entry of Certain Nonimmigrant Workers, has required a $100,000 payment in connection with certain new H-1B petitions. The proposed fee does not replace it. The notice says so directly:

The proposed fee in this NPRM would be an additional fee separate from the $100,000 payment required by Proclamation 10973 and is based on different authority.

And:

to the extent a petitioner is subject both to a proclamation-required payment and to the additional H-1B fee proposed in this rule, the petitioner would be required to pay both amounts.

DHS acknowledges in a footnote that the two figures are "close" and explains the resemblance: the Proclamation payment is a restriction on entry, while the proposed fee is cost recovery under DHS's fee-setting authority. Different legal bases, both payable.

One timing detail the notice does not dwell on but the Proclamation does: Proclamation 10973 applies to workers outside the United States and states that it expires 12 months after its effective date, absent extension — which puts its expiry around 19 September 2026, days before this proposal's comment period closes. Whether the Proclamation is extended is a separate decision from whether this fee is finalised. If it lapses, the proposed fee would stand alone; if both are in force, both are owed.

Why $103,265

The notice frames the fee as a dedicated revenue mechanism to recover a portion of the federal government's costs across DHS, the Department of State and the Department of Labor in administering the H-1B programme. It is set as a standalone fee, rather than folded into the existing petition fee, so that the revenue can be tracked and reported separately.

What this means for a worker, not just an employer

The fee is paid by the petitioner — the employer. But its consequences reach the worker:

  • Fewer cap petitions filed. A six-figure filing cost on top of the Proclamation payment changes which roles employers sponsor at all. That affects who ever reaches a consulate with an H-1B DS-160.
  • Cap-exempt employers become relatively more attractive — universities and research non-profits are outside both the fee and, in many cases, the Proclamation.
  • Nothing changes at the consulate. The DS-160, the $205 MRV fee, and the interview are unaffected. This is a petition-stage cost, paid to USCIS before the worker's visa process begins.

This is a proposal — how to respond

Comments are due by 24 September 2026 through regulations.gov, in English, and the notice asks that comments reference the specific part of the proposal they address. A proposed rule can be finalised as written, changed, or withdrawn; nothing takes effect until a final rule is published with its own effective date.

Frequently asked questions

Is the $103,265 H-1B fee in effect?

No. It is a proposed rule published 25 August 2026. Comments close 24 September 2026. It has no effect until a final rule is published.

Who would pay the $103,265 fee?

The employer filing an H-1B cap-subject petition, at the time of filing.

Does it replace the $100,000 Proclamation payment?

No. The notice states that a petitioner subject to both would pay both. They rest on different legal authority.

Is the $100,000 Proclamation payment still in force?

Proclamation 10973 took effect 19 September 2025 and by its own terms expires 12 months later unless extended — around 19 September 2026. Check for an extension before assuming it applies.

Does it apply to H-1B extensions or transfers?

No. It applies to cap-subject petitions only. Cap-exempt filings, including extensions and amendments for workers already counted against the cap, are excluded.

Does it apply to universities?

Petitions by cap-exempt employers — institutions of higher education, affiliated non-profits, non-profit and government research organisations — are outside the proposed fee.

Does it change the visa fee at the consulate?

No. The MRV fee for an H-1B visa remains $205. The proposed fee is paid to USCIS at the petition stage.

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