If you hold an H-1B — or an H-4, or an F-1 hoping to convert — 2026 has been a blur of headlines, and the single most confusing thing is that coverage keeps mixing what is already law with what is merely proposed. Here is the clean split.
Already in Effect (This Is Law Now)
| Change | Status |
|---|---|
| Wage-based weighted lottery — Level 4 wage = 4 entries, L3 = 3, L2 = 2, L1 = 1 | Final rule Dec 29, 2025; effective Feb 27, 2026 (first used in the March 2026 cap lottery) |
| H-4 EAD automatic extensions eliminated (H-4 EAD itself remains valid) | In effect |
| $100,000 proclamation fee — offshore H-1B petitions only | In effect (does NOT hit in-US change-of-status) |
| Higher USCIS filing fees; narrowed interview waivers; stamping in home country | In effect |
The $100,000 Fee: The Most Misunderstood Item
The headline number scares everyone, but its scope is narrower than the panic suggests: per current guidance it applies to offshore H-1B petitions — people being sponsored from outside the country. It does not apply to change-of-status filings inside the US, such as an F-1 student or H-4 spouse converting to H-1B without leaving.
Proposed for August (Not Law Yet)
- A DHS proposed rule expected in August that would narrow several parts of the program (which issues 85,000 new cap visas a year)
- Extending the supplemental fee that currently hits initial petitions and employer changes to extension applications too
- Tightening third-party client placement rules — the staffing model heavily used by Indian IT outsourcing majors
- OPT changes signaled for 2027 — also still proposals
Proposed rules go through notice-and-comment before they can become law — timelines slip, and terms change. Panic-planning around a proposal is premature; ignoring it is careless. Watch the Federal Register in August.
Why India Is Formally Alarmed
Indians hold the largest share of H-1B visas, employment green-card applications and US international-student enrollment — so the cumulative math of lottery weighting, fees and placement rules lands hardest on Indian workers and the IT firms that employ them. India’s government has publicly warned of “humanitarian consequences” from the changes.
Frequently Asked Questions (FAQ)
What is already in effect?
The wage-based lottery, the end of H-4 EAD auto-extensions, higher USCIS fees, narrowed interview waivers, and home-country stamping.
Who pays the $100,000 fee?
Offshore petitions only — not in-US change-of-status filings, per current guidance.
What is only proposed?
The August DHS rule (program narrowing, extension fees, third-party placement limits) and the 2027 OPT changes — not law until finalized.
How does the weighted lottery work?
DOL wage levels set your entries: Level 4 = 4 entries, down to Level 1 = 1 — higher-paid roles are far likelier to be selected.
Rule status per DHS’s published final rule (via Fragomen and immigration-law analyses), BusinessToday and July 2026 reporting; proposals may change before finalization. This article is general information, not legal advice — consult an immigration attorney or USCIS for your specific case. Photo: visa pages of a US passport, CC0, via Wikimedia Commons.
