Starting with the Fiscal Year (FY) 2027 H‑1B cap season, the U.S. government has implemented major updates to the visa selection process, fee structure, and compliance requirements. These changes apply to anyone registering for an H‑1B visa in March 2026 for an employment start date of October 1, 2026.
This guide outlines all confirmed changes so that employers and applicants can prepare effectively.
1. Wage Based Selection System Replaces Random Lottery
The traditional lottery system is no longer used. Beginning in FY 2027, USCIS is using a wage based, weighted selection process.
Key points:
- Registrations are ranked based on the U.S. Department of Labor’s four prevailing wage levels.
- The selection process remains random, but higher wage levels (Level III or IV) receive greater weight, increasing the likelihood of selection.
- Lower wage jobs (Level I or II) receive fewer entries in the selection pool.
- The change is designed to prioritize highly skilled and higher paid roles.
Impact:
- Employers in high paying sectors (e.g., tech, finance, engineering) are more likely to secure H‑1B slots.
- Entry level roles and lower wage offers face increased competition and lower selection odds.
2. New H‑1B Fees: $215 Registration + $100,000 Petition Surcharge
Two significant fee changes are in effect for FY 2027:
$215 Registration Fee:
- Applies to each H‑1B registration submitted between March 4 and March 19, 2026.
- Must be paid electronically at the time of registration submission.
$100,000 Petition Surcharge:
There has been confusion about a new $100,000 H-1B fee. Importantly, this is not a universal filing fee, and many employers will not be subject to it.
This requirement arises from recent Presidential Proclamation-based policy changes and related USCIS guidance.
When the $100,000 fee may apply
- Certain new H-1B petitions filed on or after September 21, 2025
- Situations where the H-1B beneficiary is outside the United States and the petition is filed for consular processing.
- Some first time cap cases after lottery selection
The fee is paid when the full petition is filed and is in addition to regular H-1B filing fees.
When the fee generally does NOT apply
- H-1B extensions for current H-1B workers
- Amendments for existing employees
- Many in U.S. change of status filings
- Renewals
This is not a blanket $100,000 cost to sponsor an H-1B worker.
Whether the fee applies depends on:
- The worker’s current status
- Where they are located
- The type of petition being filed
Each case must be reviewed individually to determine if the surcharge applies.
Impact:
- These changes significantly increase the cost of H‑1B sponsorship.
- Employers will need to weigh the cost-benefit of hiring through the H‑1B process more carefully.
3. FY 2027 H‑1B Registration Timeline
Key dates:
- Registration opens: March 4, 2026
- Registration closes: March 19, 2026
- Selection notifications issued: By March 31, 2026
- Petition filing period: April to June 2026
- Earliest employment start date: October 1, 2026
Note:
Timely registration is critical. Incomplete or late submissions will not be considered.
4. Registration Accuracy and Program Integrity Rules
USCIS is enforcing stricter compliance requirements for FY 2027.
Employers must ensure:
- Accurate job titles and job classifications
- Correct wage level and offered salary information
- Valid passport or travel document details for each beneficiary
- No duplicate or fraudulent entries for the same beneficiary
Consequences of errors:
- Denial of the registration
- Invalidation of the selection
- Potential future penalties for repeat violations
5. U.S. Master’s Degree Exemption Still Applies
The advanced degree exemption remains active for FY 2027:
- An additional 20,000 H‑1B visas are available to applicants who hold a U.S. master’s degree or higher.
- These applicants are entered in both the advanced degree and regular pools.
Important clarification:
- A U.S. advanced degree may still improve overall selection chances because it provides an additional opportunity in the selection process. However, under the new wage-weighted system, the offered wage level will also play a significant role in selection odds.
6. Not Yet in Effect: Proposed but Unconfirmed Changes
The following items have been discussed in government or policy forums but are not yet officially in effect for FY 2027:
- Changes to prevailing wage calculation methodology
- Mandatory review of applicant social media or digital history during consular processing
- Modifications to H‑1B to green card transitions
Employers and applicants should stay informed in case these proposals become formal rules for FY 2028 or later.
Summary: Action Steps for Employers and Applicants
For Employers:
- Plan early and budget for the $100,000 surcharge (if required) and increased registration fees.
- Offer competitive wages (Level III or above) to improve selection odds.
- Ensure all data during registration is accurate and complete.
- Avoid multiple registrations for the same applicant.
For Applicants:
- Coordinate with your sponsoring employer early in the process.
- Understand how your wage level affects your selection chances.
- Have all personal and travel documents ready for registration.
- Confirm that your employer is aware of and compliant with new requirements.
Sources:
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If you have questions regarding H-1B Visas, we invite you to contact our team at Richards and Jurusik for detailed guidance and assistance. We aim to provide the most accurate and up-to-date information to make your immigration process smoother and less stressful. The immigration lawyers at Richards and Jurusik have decades of experience helping people to work and live in the United States. Please read some of our hundreds of 5-star client reviews! Contact us today to assess your legal situation.
REBECCA KROLL is an Associate Attorney at Richards and Jurusik who practices exclusively in U.S. immigration law, focusing on both business and family-based immigration. She assists clients with employment-based visas, marriage and family cases, and the U.S. citizenship process. (Full Bio)
