Trump administration proposes $103,000 fee for H-1B visas

MB DAILY NEWS | Raleigh, NC.

The Trump administration is proposing an additional $103,265 fee for certain H-1B visa petitions, a move that could dramatically increase the cost of hiring highly skilled foreign professionals in the United States.

WASHINGTON — President Donald Trump’s administration has opened a new front in its immigration policy by proposing a $103,265 fee for H-1B petitions subject to the annual cap, a program widely used by U.S. employers to hire foreign professionals in specialized occupations.

The proposal was announced by the U.S. Department of Homeland Security (DHS) and comes after a federal court blocked an earlier attempt by the administration to impose a $100,000 charge through a presidential proclamation.

The new fee would not replace other costs associated with the application process. According to U.S. Citizenship and Immigration Services (USCIS), it would be charged in addition to existing fees and payments when an employer files an H-1B petition subject to the statutory cap.

Why Does Trump Want to Increase the Cost of H-1B Visas?

The administration argues that the change would help recover some of the expenses incurred by the federal government in administering the legal immigration system.

“The proposed H-1B fee seeks to recover costs incurred by the federal government,” USCIS spokesperson Zach Kahler said in explaining the measure.

According to DHS, the revenue could help cover operations involving immigration benefit adjudications, fraud detection, national security screenings, technology modernization, immigration courts, consular processing and other federal functions.

However, the proposal also carries a broader labor policy objective.

The Trump administration argues that the current system can encourage some companies to hire foreign workers instead of Americans. The proposal states that the higher cost could make employers “less likely to hire an H-1B worker” instead of a highly skilled U.S. worker.

A Key Visa for Highly Skilled Foreign Workers

The H-1B program allows U.S. employers to temporarily hire foreign professionals for specialty occupations that typically require advanced knowledge and specific academic qualifications.

Each year, the program has a general statutory cap of 65,000 visas, with an additional 20,000 slots available for certain foreign professionals who have earned a master’s degree or higher from a U.S. institution.

That means up to 85,000 cap-subject petitions can be part of the annual system.

H-1B visas are particularly important to industries seeking workers with specialized training, especially in science, technology and engineering.

Not Every H-1B Petition Would Face the $103,265 Fee

This is one of the most important details of the proposal.

The additional fee would not apply to every existing H-1B visa or petition. DHS has specified that it would target petitions subject to the annual statutory cap.

Certain cap-exempt petitions would therefore fall outside the new charge. These can include petitions filed by qualifying institutions of higher education, nonprofit research organizations and governmental research organizations.

That distinction could be particularly important for universities and research institutions that rely on foreign professionals.

Government Estimates $8.8 Billion in Annual Revenue

The potential financial impact would be substantial.

DHS estimates that the fee could generate approximately $8.8 billion per year, based on a projected 85,000 H-1B petitions subject to the annual cap.

According to the government, those funds could support several parts of the federal immigration system, including immigration benefit processing, anti-fraud operations, security screening, immigration courts and consular services.

The figure makes the proposal more than a routine administrative adjustment. If approved, it could significantly change the financial calculations companies make before sponsoring foreign professionals.

Companies Could Reconsider Hiring Foreign Workers

For a company seeking international talent, a fee exceeding $100,000 per petition represents a significant financial barrier, particularly for small and midsize businesses.

Large corporations may have greater capacity to absorb the additional expense. Startups and companies with limited budgets, however, could reconsider whether sponsoring certain foreign candidates remains financially viable.

That issue is at the center of the growing controversy.

Supporters of tighter restrictions on the H-1B program argue that increasing the cost could encourage businesses to recruit and train American workers.

Critics, however, warn that dramatically increasing the cost of accessing the program could weaken the ability of U.S. companies to attract and retain international talent.

Experts Warn of Potential Consequences

The proposal is already drawing criticism from immigration specialists and organizations representing foreign workers and international students.

Immigration attorney Charles Kuck questioned the legality of the administration’s new strategy, describing the proposal as “an illegal tax all over again.”

Concerns have also emerged over international students who graduate from American universities and later seek employment in the United States.

Zuzana Wootson, with the Presidents’ Alliance on Higher Education and Immigration, has warned that international students consider their post-graduation career opportunities when deciding where to study. The proposed fee could weaken the connection between American higher education and the U.S. labor market.

For critics, the debate extends beyond immigration policy. It also raises a larger question about global competitiveness: Could the United States lose highly skilled professionals to other countries if hiring foreign talent becomes prohibitively expensive?

Trump Previously Tried to Impose a $100,000 Fee

The latest proposal has an important precedent.

In 2025, Trump attempted to establish a $100,000 fee related to H-1B visas through a presidential proclamation.

However, in June 2026, U.S. District Judge Leo T. Sorokin in Massachusetts blocked that measure. The court concluded that the president lacked the authority to unilaterally impose the charge in the manner proposed. The administration later appealed the ruling.

The government is now pursuing a different regulatory approach.

Rather than relying exclusively on presidential authority, DHS is presenting the $103,265 charge as a fee intended to recover costs associated with administering the federal immigration system.

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