H-1B Overhaul: Trump Admin Scraps Lottery For Weighted System And $100K Fee

1. The Death of the Random Lottery

The traditional “luck of the draw” system is being replaced by a Weighted Selection Process.

• Wage-Based Probability: Instead of one entry per person, applicants at the highest Department of Labor (DOL) wage level (Level IV) will receive four entries in the selection pool. Level III receives three, Level II receives two, and entry-level (Level I) receives just one.
• Effective Date: This rule takes effect on February 27, 2026, and will govern the FY 2027 cap season (registrations in March 2026).
• Objective: USCIS stated the change is intended to stop “unscrupulous employers” from flooding the system with low-wage workers.

2. The $100,000 “Entry Fee”

One of the most controversial elements is a $100,000 fee for certain H-1B petitions.

• Who Pays: The fee applies to new H-1B petitions for beneficiaries outside the United States.
• Who is Exempt: Foreign graduates already in the US (such as those on F-1 OPT) who “change status” are generally exempt, as are current H-1B holders extending their stay.
• Legal Status: Despite a lawsuit from the U.S. Chamber of Commerce, a federal court upheld the fee on December 23, 2025, ruling it within the President’s broad authority to restrict entry.

3. New Vetting: The “Censorship” Crackdown

The State Department has introduced a first-of-its-kind vetting requirement targeting an applicant’s professional history.

• Target Roles: Applicants involved in content moderation, fact-checking, “trust and safety,” or online compliance are under intense scrutiny.
• The “Censorship” Memo: Consular officers have been directed to deny visas to anyone “responsible for or complicit in” what the administration deems the censorship of Americans’ protected expression.
• Digital Footprint: Officers must now review LinkedIn profiles and social media accounts to see if an applicant’s work involved combatting “disinformation” or “misinformation.”

Winners vs. Losers under the 2026 Rules