The H-1B lottery is not being abolished, and a $100,000 charge does not automatically apply to every renewal. For fiscal year (FY) 2027, cap selection changes from a purely random draw to a weighted process. Separately, a presidential entry restriction involving a $100,000 payment has been extended for certain workers outside the United States, but its collection is tied up in litigation. A different $103,265 fee remains only a proposal.
Three H-1B changes that are easy to confuse
| Policy | What it changes | Who or what it reaches | Status as of September 28, 2026 |
|---|---|---|---|
| Weighted cap selection | How registrations are selected when demand exceeds the cap | FY 2027 cap-subject registrations | Final rule in effect since February 27, 2026 |
| $100,000 proclamation payment | An entry restriction and related payment requirement described in the proclamation | Certain H-1B workers outside the United States whose petitions support entry | Proclamation extended through September 21, 2027; implementation guidance was vacated and a September 23 update said the payment was not then being collected or owed |
| $103,265 proposed fee | A separate additional charge proposed for cap-subject petitions | Cap-subject petitions, including those eligible for the advanced-degree exemption | Proposed rule only; not an effective filing fee |
Which rule matters depends on the petition type, whether the worker is in the United States, whether travel and admission are needed, and the latest agency and court instructions.
Is the H-1B lottery ending?
No. The statutory cap remains. Each year has 65,000 regular H-1B numbers and 20,000 additional numbers reserved for qualifying graduates of U.S. advanced-degree programs. What changed for FY 2027 is the method used when registrations exceed those numbers.
What is weighted selection?
The Department of Homeland Security’s final rule, effective February 27, 2026, assigns greater selection weight to registrations for higher-paid and higher-skilled positions. Employers at every wage level still have an opportunity to be selected; the rule changes the odds rather than guaranteeing selection or removing the cap.
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USCIS spokesman Matthew Tragesser described the administration’s rationale as follows: “The new weighted selection will better serve Congress’ intent for the H-1B program and strengthen America’s competitiveness by incentivizing American employers to petition for higher-paid, higher-skilled foreign workers.” That is the agency’s stated policy rationale, not a guarantee of a particular selection result.
What employers should expect in practice
- A registration’s wage and skill information can affect its relative selection weight.
- A high wage does not create an entitlement to a cap number.
- A lower-wage registration is not automatically excluded.
- Cap-exempt employment, such as qualifying positions with certain universities or research organizations, is outside this cap-selection process.
Does the $100,000 H-1B fee apply to renewals?
There is no blanket rule that every H-1B renewal costs $100,000. “Renewal” can mean an extension of stay filed while someone remains in the United States, visa stamping after travel, a change of employer, or another petition posture. Those situations do not present identical entry facts.
What the September 2026 proclamation says
The White House proclamation issued September 18, 2026 extends the prior entry restriction for 12 months, through September 21, 2027. Its operative language focuses on certain H-1B workers who are outside the United States and whose petitions support entry. It also allows a discretionary national-interest exception.
The proclamation says the $100,000 payment “has been made for over 700 petitions.” That is an administration-reported count, not an independent assessment of all filings or current collections.
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Why the collection status is unsettled
On June 8, 2026, a Massachusetts federal court vacated the agency guidance that had implemented the payment. The government appealed, and the litigation can change what agencies require. A Yale Office of International Students & Scholars update dated September 23, 2026 reported that the fee was not being collected and was not owed at that time.
Because that status is litigation-sensitive, do not send a payment based solely on an old notice or a headline. Confirm the current USCIS instructions and the relevant court developments for the specific petition before filing, paying, or making travel plans.
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Does the fee apply if I am already in the United States?
Being physically in the United States is an important fact, but it is not by itself a complete legal answer. An in-country extension of stay generally presents a different question from a worker abroad who must obtain admission under a petition covered by the proclamation. The proclamation’s focus on workers outside the country means readers should not assume that an ordinary domestic extension automatically triggers the payment.
Questions that determine the analysis
- Is the filing an extension of stay, a change of employer, consular processing, or another petition type?
- Will the worker need a new visa or admission at a U.S. port of entry?
- Is the petition cap-subject or cap-exempt?
- Was a payment demand issued under current agency instructions, and is that instruction consistent with the latest court order?
Workers planning international travel during a pending extension should obtain case-specific immigration advice before departure; travel can change the practical consequences of a petition even when the underlying job remains the same.
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Is the $103,265 H-1B fee final?
No. DHS published a proposed rule on August 25, 2026 that would add a $103,265 fee to cap-subject H-1B petitions, including petitions eligible for the advanced-degree exemption. The proposal relies on different authority from the proclamation payment and is not a current filing charge.
The proposal’s comment period closed September 24, 2026. DHS projected about 85,000 fee-paying filings a year for its analysis; that is an agency estimate, not an observed annual total. Until a final rule takes effect, employers should not treat $103,265 as payable on a cap petition.
What the September 18 executive order changes
A separate September 18, 2026 executive order directs the Departments of State, Labor, and Homeland Security to coordinate with other agencies when reviewing H-1B petitions and related applications. It tells agencies to consider recent or planned layoffs affecting similarly situated U.S. workers.
Yale’s immigration office reported that the order does not rewrite H-1B eligibility requirements, although it may produce closer review. It is therefore a scrutiny and coordination directive, not an automatic new ground for denial. Employers should preserve consistent job descriptions, wage documentation, and records explaining staffing changes or layoffs.
A practical checklist before an H-1B filing or trip
- Classify the filing. Identify whether it is cap-subject, cap-exempt, an extension of stay, a change of employer, or consular processing.
- Confirm the worker’s location. Record whether the worker is inside the United States and whether the case requires travel or admission.
- For FY 2027 registration, verify selection data. Review the offered wage, occupation, work location, and other registration information used under the weighted process.
- Check live instructions. Before paying any amount, review the latest USCIS notice and the status of the federal litigation concerning the $100,000 payment.
- Plan travel carefully. Ask counsel how leaving the United States could affect an extension, visa application, or admission under the proclamation.
- Prepare for scrutiny. Keep evidence supporting the role, wage, worksite, and any workforce changes relevant to the executive-order review.
These steps cannot replace legal advice. A qualified U.S. immigration attorney or an employer’s immigration counsel can assess the petition and travel facts that determine which rule applies.
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