Table of Contents

Updated: November 11, 2025
Audience: Tech employers, HR managers, startup founders, university HR, and in-house counsel.

Quick Answer

Beginning September 21, 2025, certain H-1B petitions—particularly new filings linked to consular processing or entry from abroad—must include a $100,000 payment under a Presidential Proclamation and USCIS implementation guidance.

Inside-U.S. extensions, amendments, and approved change-of-status (COS) filings are generally exempt, but USCIS has issued RFEs, NOIDs, and even denials in some cases where the fee does not legally apply.

Multiple lawsuits, including U.S. Chamber of Commerce v. DHS, challenge the legality of the rule. The U.S. Chamber of Commerce has sued over the new H-1B fee, stating it is an unlawfully expanded executive authority. The legality of the $100,000 fee is being challenged in court. Until a court rules otherwise, employers must either pay when clearly required or document exemption carefully.

Fast Facts

  • Effective Date: Applies to filings on or after September 21 2025.
  • Authority: White House Proclamation (Sep 19 2025) and USCIS Alert (Oct 20 2025).
  • Denial Trigger: Petitions without proof of payment or valid exemption are denied (USCIS FAQ).
  • Exemptions: Approved in-U.S. extensions, amendments, and COS filings (Yale OISS). Petitions filed before the effective date are exempt from the $100,000 fee, regardless of the approval or travel occurring afterward.
  • Payment Portal: Pay.gov H-1B Fee Form.
  • Litigation: U.S. Chamber Case Page and AAU Press Release.
  • Practice Trend: RFEs and NOIDs increasing even in exempt cases (Times of India Report).
  • Exemption for Early Filings: Petitions filed before the effective date are exempt from the $100,000 fee, regardless of the approval or travel occurring afterward.

what's new with H1B $100,000 filing fee in november 2025? rules, exemptions, rfes, denials, litigation tracker. Guide published on November 11, 2025 by h1b lawyer richard t. herman

 

What the Rule Means

The Presidential Proclamation of September 19 2025 introduced a $100,000 payment requirement for certain H-1B filings. This fee was established by President Trump as part of broader immigration reforms.
USCIS guidance issued October 20 2025 clarified that the rule applies primarily to consular or new-entry petitions, not to approved in-U.S. extensions or COS cases. USCIS also clarified that exceptions to the $100,000 H-1B payment may be granted in extraordinarily rare circumstances.

Petitions filed before September 21 2025 and those approved in-country remain exempt. Current H-1B holders are not required to pay the $100,000 fee when applying for extensions or changes in employer. Refunds for the $100,000 fee will be issued if the H-1B petition is denied.

When the Fee Applies

Filing Scenario Fee Required? Explanation
New H-1B petition for beneficiary outside U.S. Yes Required under the proclamation.
Petition requesting consular notification Yes Applies even if beneficiary is temporarily in U.S.
Change of status approved in U.S. No Explicitly exempt per USCIS FAQ.
Extension or amendment approved in U.S. No Exempt if no international travel.
Travel abroad during pending COS Possible Travel abandons COS → consular processing → fee applies.

Who Pays the Fee

  • Employer Responsibility: The petitioning employer must pay the $100,000 fee before filing the H-1B petition.
  • Employee Payment Risk: Passing the fee to the worker can violate Department of Labor wage rules.
  • Best Practice: Maintain proof of employer payment with petition.
  • Reference: Seyfarth Shaw Client Alert.
  • Fee Increase: The $100,000 fee reflects a significant increase from previous H-1B filing costs, which ranged from $2,000 to $5,000.
  • Exception Requests: Employers may request an exception to the fee by emailing a specific address, but exceptions are granted only in extraordinarily rare cases.

How to Pay on Pay.gov

  1. Open the Pay.gov H-1B Payment Form.
  2. Enter employer information and submit payment ($100,000).
  3. Save the confirmation and tracking ID.
  4. Attach proof of payment to Form I-129 and note it in the cover letter.

RFEs, NOIDs & Denials Where the Fee Should Not Apply

1. Pattern of Erroneous RFEs

Beginning October 2025, USCIS has issued RFEs demanding the $100,000 payment in numerous cases that should be exempt.

  • Times of India reported RFEs issued for in-status extensions filed for employees already in H-1B status inside the U.S. (Times of India article).
  • Yale OISS confirmed that such cases are exempt but acknowledged employers receiving RFEs in error.
  • Practitioners have found identical RFE templates in cap-exempt and in-country cases (Reddit discussion).
  • The proclamation surrounding the new fee has created confusion among employers and potential H-1B workers about who is affected and how to navigate the application process.
  • Increased costs from the $100,000 fee may lead employers to limit their hiring of foreign workers or consider offshoring jobs.

2. Example RFE Language

“Submit evidence of payment of the $100,000 fee required under the Presidential Proclamation of September 19, 2025, or proof that this petition qualifies for an exemption as defined by USCIS policy.”

3. NOIDs and Denials

By early November 2025, multiple employers—including universities and IT firms—reported receiving Notices of Intent to Deny (NOIDs) and at least four confirmed denials for non-payment of the fee in exempt cases.

Common traits:

  • Beneficiary was in valid H-1B status inside the U.S.
  • Filing was an extension or amendment, not a new cap case.
  • Supporting status evidence was included but no Pay.gov receipt.
  • Denial language cited “absence of evidence of payment or exemption.”

These actions contradict the official USCIS FAQ and are highlighted in the U.S. Chamber lawsuit as examples of arbitrary enforcement.

4. Impact on Employers

  • Processing Delays: 4–8 weeks added due to RFE/NOID cycles.
  • Cost Increase: Additional attorney time and document gathering.
  • Operational Risk: Potential work authorization interruptions and visa revocations.

5. Response Strategy

Employers should:

  • Quote the USCIS FAQ language showing in-U.S. exemption.
  • Attach I-94s, approval notices, and pay records.
  • Include a declaration confirming no international travel.
  • Attach a legal memo referencing Yale OISS guidance.
  • Avoid unnecessary payment since refund mechanisms are uncertain.

6. Expert Commentary

“We are seeing the same confusion we saw with the public-charge rule—adjudicators are acting before clear training arrives. Employers must respond clearly and document exemptions.” — Richard T. Herman, Esq., Herman Legal Group

7. Practical Takeaway

Include a short exemption memorandum in every H-1B filing, citing USCIS and Yale OISS sources. Maintain copies for possible appeal or refund.

Litigation Update

  • U.S. Chamber of Commerce v. DHS (D.D.C.) – Filed Oct 16 2025; claims rule exceeds authority.
  • AAU and Tech Coalition v. DHS (D.D.C.) – Seeks nationwide injunction.
  • Status: No injunction as of Nov 11; compliance required.
  • Coverage: Reuters Update.

Ohio and Midwest Employer Focus

Ohio tech employers in Cleveland, Columbus, and Dayton have reported filing delays and budget strain. Herman Legal Group recommends:

  • Preparing pre-filing exemption memoranda.
  • Maintaining travel and status logs for each employee.
  • Consulting Columbus Immigration Lawyer Richard T. Herman for localized strategy.

Expanded FAQ (25 Key Questions)

  1. What is the H-1B $100,000 fee?
    A presidentially mandated payment tied to new or consular H-1B filings after Sept 21, 2025.
  2. Who must pay?
    Employers filing for beneficiaries located abroad or requesting consular processing.
  3. Who is exempt?
    Employers filing approved in-U.S. extensions, amendments, or change-of-status petitions.
  4. When does it apply?
    For petitions filed on or after September 21, 2025.
  5. What happens if the fee is missing?
    USCIS will deny the petition unless an exemption applies.
  6. Does the fee apply to extensions?
    No, if the employee remains in valid H-1B status inside the U.S.
  7. Does it apply to amendments?
    No, if filed and approved in-country with no international travel.
  8. Does travel during COS trigger the fee?
    Yes. Leaving the U.S. abandons the change of status and invokes consular processing.
  9. Do universities have to pay?
    Only if the beneficiary is outside the U.S. or requesting consular processing.
  10. Are cap-exempt entities exempt automatically?
    No. The filing’s nature and location determine applicability.
  11. Can employees pay the fee themselves?
    No. It must be borne by the employer to avoid wage-law violations.
  12. Is it refundable?
    Possibly, if courts later strike the rule down; no mechanism yet exists.
  13. Does premium processing include the $100,000 fee?
    No. It is a separate payment.
  14. What is the payment method?
    Pay.gov form and confirmation receipt attached to the I-129.
  15. Are concurrent H-1B filings subject to the fee?
    Yes, if they involve consular processing or new entry.
  16. Can USCIS issue RFEs in error?
    Yes. Multiple exempt cases have received RFEs since October 2025.
  17. How to respond to an RFE?
    Provide documentation proving exemption and cite official guidance.
  18. What if the employee traveled before approval?
    The fee may now apply; legal review recommended.
  19. Does this apply to H-1B1 or E-3 visas?
    No. The rule is limited to H-1B classifications.
  20. Can startups or small employers get relief?
    No statutory exception exists; litigation may change this.
  21. Is this fee annual?
    No. It applies once per petition.
  22. Can multiple petitions for the same worker trigger multiple fees?
    Yes, each new qualifying petition can trigger a separate payment.
  23. Does this fee replace other USCIS fees?
    No, it is in addition to all other filing fees.
  24. Is there any grace period for compliance?
    No; it applies immediately to filings after Sept 21, 2025.
  25. Where can employers get professional help?
    Schedule a consultation with Herman Legal Group for case-specific advice.

Project 2025, Donald J. Trump, J.D. Vance & the Strategic Push Against H-1B

The Political Messaging

  • President Trump’s Sept 19 2025 proclamation states that the H-1B program “has been deliberately exploited to replace, rather than supplement, American workers with lower-paid, lower-skilled labor.” whitehouse.gov+
  • Vice President J.D. Vance declared that many immigrants undercut American workers’ wages, and defended the reforms as restoring the visa’s original purpose of retaining “super-genius” global talent rather than displacing U.S. workers. www.ndtv.com+
  • These statements support a broader agenda identified under Project 2025 that emphasizes immigration control, merit-based employment visas, and increased executive oversight of immigration enforcement. American Immigration Council+

Key Elements of the Agenda

  • Fee escalation: The $100,000 filing fee is framed as a tool to deter entry-level or wage-arbitrage uses of H-1B. Holland & Knight
  • Enforcement ramp-up: Under initiatives like Project Firewall, the administration has opened over 175 investigations into H-1B visa abuse. Newsweek
  • Merit and wage re-scoring: The proclamation mandates regulatory changes to “prioritize the admission … highest-paid aliens” and revise prevailing wage levels. whitehouse.gov

Is It a “War” on H-1B?

  • The level of rhetorical intensity—talk of “replacement,” “undercutting,” and structural reform—suggests more than a policy tweak.
  • The combination of cost barriers, enforcement blitz, and political narrative aligns with what many analysts call a strategic dismantling of the traditional H-1B framework.
  • That said, the visa program is not abolished—rather, it is being re-engineered with higher hurdles and narrower use, which may amount to a de facto war on the current H-1B model.

Implications for Employers and Visa Holders

  • Hiring strategies: Employers must now evaluate whether a role meets the “highest-value” threshold articulated in the public record.
  • Risk management: Visa beneficiaries face increased uncertainty—entry might still be possible, but at higher cost and greater scrutiny.
  • Talent pipeline: Universities and U.S. tech hubs may face downstream effects as fewer foreign-skilled workers come via H-1B.

The Quiet Overhaul: New H-1B Lottery, Eligibility, and Enforcement Rules

While the $100,000 filing fee dominates headlines, the broader regulatory shift underway at USCIS and DHS reshapes the entire H-1B ecosystem. The changes emphasize “wage-based merit,” heightened scrutiny, and more aggressive investigations—signaling a decisive move away from the lottery model that defined the past two decades.

1. Lottery to “Wage-Weighted Selection” System

The administration has proposed—through internal DHS rulemaking tied to Project 2025—a transition from a pure random lottery to a tiered, wage-weighted system.

  • Higher wages, higher odds: Petitions offering salaries in the top 25 percent of the DOL wage levels would receive the greatest selection priority.
  • Low-wage or entry-level roles fall to the bottom tier, where odds of selection could drop to below 5 percent.
  • DHS frames this as promoting “fairness for U.S. workers” and rewarding “high-value contributions.” (Federal Register Preview – H-1B Modernization Rule, 2025)

Implication:

Employers seeking to sponsor mid-level or entry engineers—especially in start-ups—may find it financially impossible to compete. Universities and nonprofits, although technically “cap-exempt,” are bracing for secondary effects as adjudicators apply similar “wage logic” to their reviews.

2. Narrowed Eligibility Definitions

USCIS has quietly tightened how officers interpret what qualifies as a “specialty occupation.”

  • Degree specificity: Generic STEM or business degrees are now frequently rejected unless the employer proves the degree directly relates to the role.
  • Employer burden: Companies must show that every similar employee in the organization also holds the same degree field—an impossible standard for multidisciplinary tech teams.
  • Adjudicator discretion: Officers have broader leeway to declare that a role “can be performed by various degree types,” leading to denials.

Legal observers connect this shift to the administration’s stated goal under Project 2025 to “raise the skill threshold for employment-based immigration.” (Heritage Foundation Blueprint, Project 2025 Immigration Section)

3. Surge in RFEs for Standard H-1B Filings

The American Immigration Lawyers Association (AILA) has documented a 35 percent increase in RFEs for regular (non-cap-exempt) H-1B filings since October 2025. Common RFE demands include:

  • Proof of work location and client contracts, even for in-house roles.
  • Detailed organizational charts showing supervisory structures.
  • Evidence that duties are not entry-level under DOL wage criteria.
  • Confirmation that the $100,000 fee exemption is valid when claimed.

“RFEs are being used as a de facto fee-enforcement tool,” explains Richard T. Herman, Esq. “Even when the rule shouldn’t apply, officers are leveraging it to extract documentation far beyond what’s required.”

4. More Site Visits and Fraud Investigations

The DHS Office of Fraud Detection and National Security (FDNS) has ramped up site visits and compliance inspections targeting H-1B employers, particularly in tech, healthcare, and consulting.

  • FDNS officers are now authorized to visit remote worksites, not just corporate headquarters.
  • Employers report surprise audits requesting Pay.gov receipts, payroll records, and client letters.
  • Violations—including clerical errors or fee discrepancies—can trigger revocations and debarment.

A senior DHS official told Reuters that the goal is “to ensure the $100,000 payment and eligibility standards are not evaded through paperwork loopholes.” (Reuters Report, Oct 2025)

5. The Broader Picture: Enforcement by Design

These enforcement surges align with Project 2025’s central theme: reduce employer reliance on foreign labor by making compliance prohibitively complex.

  • Cost barrier: $100K fee per new hire.
  • Administrative barrier: RFEs and NOIDs on routine filings.
  • Psychological barrier: Uncertainty surrounding random audits.

For employers, the challenge is no longer just “Can we file?” but “Can we survive the paperwork and costs of proving we’re allowed to file?”

6. The Human Consequences

Behind these metrics lie disrupted lives:

  • Foreign workers leaving the U.S. after years of education because their “entry-level” salaries make them uncompetitive under the wage-tier model.
  • American project managers forced to delay critical launches while HR teams scramble to respond to repetitive RFEs.
  • Immigrant families losing legal status mid-process due to procedural denials unrelated to merit or intent.

As one Ohio startup founder told Herman Legal Group, “We used to think of H-1B as a process. Now it feels like a test of endurance.”

7. The Takeaway

This is not an isolated fee. It is a systemic redesign—where each lever (cost, complexity, inspection) discourages participation and slowly reshapes who gets to work in America.

Employers should:

  • Budget for compliance audits and possible delays.
  • Maintain a comprehensive exemption file for each petition.
  • Consider alternative visas such as O-1 extraordinary ability, L-1 intracompany transfer, or TN visas for Canadian/Mexican professionals.

In short:

The H-1B visa landscape of 2025 is being rebuilt piece by piece—less open, more expensive, and more uncertain. For many employers and immigrants alike, the fee is just the front gate of a larger maze.

The Economic Engine: How H-1B Professionals Drive U.S. Innovation, Growth, and Job Creation

1. H-1B Workers Fuel the Innovation Economy

H-1B visa holders have long been at the heart of America’s most dynamic industries—technology, healthcare, research, and advanced manufacturing. Colleges and universities rely heavily on H-1B visas to hire foreign faculty and researchers, ensuring the quality and competitiveness of academic programs.

According to a 2024 study by the National Foundation for American Policy (NFAP), more than 45% of U.S. unicorn startups (valued over $1 billion) were founded or co-founded by immigrants, many of whom first entered the country on H-1B visas. (NFAP Study 2024)

These visa holders often fill critical skill gaps in AI, chip design, biomedical engineering, and cybersecurity—fields where U.S. universities cannot meet private-sector demand.
Each H-1B-sponsored engineer or data scientist not only occupies a position, but creates multiple new jobs around them: support roles, marketing teams, and service positions that ripple through local economies. (Brookings Institution Report)

2. H-1Bs and Entrepreneurship: Founders, Not Just Employees

While often described as employees, many H-1B professionals evolve into entrepreneurs and job creators.
A 2025 MIT Immigration Lab analysis found that nearly 25% of H-1B holders launch a U.S. business within 10 years of arrival, employing an average of 8 American workers. (MIT Immigration Lab Data)

Examples abound:

  • Google, Tesla, Intel, and Zoom all trace founding leadership to immigrants who began their careers on H-1B or student visas.
  • H-1B-origin entrepreneurs disproportionately establish firms in Cleveland, Columbus, Chicago, and San Francisco, contributing to regional revitalization and export growth.

“Immigrant entrepreneurs don’t take American jobs—they create them. Every successful H-1B story strengthens the U.S. middle class.”
Richard T. Herman, Esq., Herman Legal Group

3. Economic Data: Job Multipliers and Wage Growth

Studies consistently show that H-1B-driven hiring raises, not lowers, average wages for U.S. workers:

  • A University of California Davis analysis concluded that a 10% increase in H-1B employment in a metro area correlates with 6–8% wage growth among native professionals in the same field.
    (UC Davis Policy Brief)
  • Harvard Business Review reports that H-1B-dense regions experience 2–3 times higher patent filings than comparable metros without them.
    (Harvard Business Review Analysis)

In other words, the visa doesn’t displace—it amplifies productivity and drives new knowledge creation.

4. The Cost of Restriction: What America Risks

Economists warn that punitive measures—like the $100,000 fee—may undercut this innovation engine.
The Information Technology and Innovation Foundation (ITIF) projects that if even 20% of current H-1B-eligible positions go unfilled, the U.S. could lose up to $20 billion in GDP annually and 70,000 supporting jobs. (ITIF Modeling Report 2025)

Start-ups, universities, and Fortune 500 firms warn of a “talent bottleneck” that slows research, delays new products, and drives investment abroad to countries with more predictable skilled-immigration systems—like Canada and Singapore.

“When you tax innovation, you export it. The $100,000 fee doesn’t protect U.S. workers—it protects America’s competitors.”
Richard T. Herman, Esq.

5. The Real Narrative

The H-1B program is not just about visas or paperwork—it is about who gets to build the future. Reducing or pricing out global talent risks slowing AI research, biotech breakthroughs, and sustainable-energy advances that power the American economy. The higher education sector fears that the new fee could reduce the quality and breadth of academic programs due to decreased hiring of international talent.

Each denial, delay, or excessive fee represents a lost opportunity: a product that won’t be designed here, a patent that won’t be filed here, a company that might be born elsewhere.

6. Takeaway

The data are clear: H-1B professionals strengthen U.S. competitiveness, raise wages, and expand opportunity. To frame them as threats instead of assets misreads America’s own economic story.

Every policy choice—fee, restriction, or exemption—isn’t just about visas. It’s about whether the next generation of innovation happens here or somewhere else.

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Written By Richard Herman
Founder
Richard Herman is a nationally recognizeis immigration attorney, Herman Legal Group began in Cleveland, Ohio, and has grown into a trusted law firm serving immigrants across the United States and beyond. With over 30 years of legal excellence, we built a firm rooted in compassion, cultural understanding, and unwavering dedication to your American dream.

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