Start Preparing Now for the H-1B Lottery

The FY2027 H-1B Cap Season is upon us! Employers who wish to sponsor employees for H-1B petitions should start to prepare their applications now to be ready for the lottery in March of 2026. The H-1B visa allows foreign nationals working in specialty occupations to seek employment in the USA for a three-year period. There are 65,000 H-1Bs available each year for foreign nationals with bachelor’s degrees and an additional 20,000 available for foreign nationals who received their master’s degree in the U.S. However, the demand for H-1Bs is higher than 85,000 and so USCIS runs a lottery each year to determine who may file an H-1B petition. For many employers, the lottery will be the only opportunity during 2026 to apply for an H‑1B visa.

Highlights for FY2027

• Weighted Selection Process: New in FY2027 is a weighted selection process for H-1B registrations. Starting this year, the odds of selection in the lottery will be tied to the wage offered to the H-1B beneficiary, with higher wages leading to higher odds of selection. On the H-1B registration, the employer must select the Standard Occupational Classification (SOC) Code that corresponds to the proffered position and the Occupational Employment and Wage Statistics (OEWS) wage level that the offered wage equals or exceeds in the geographical area of employment. Each SOC code has four wage levels. The lottery weighting will be based on the wage level as follows:

• Level 1 Wage = one entry in the lottery
• Level 2 Wage = two entries in the lottery
• Level 3 Wage = three entries in the lottery
• Level 4 Wage = four entries in the lottery

SOC codes and DOL wage data can be found here. Applicants that use private wage surveys or union wages that are lower than the Level 1 wage will be assigned to the Level 1 wage category.

• $100,000 Fee: A $100,000 fee will apply to H-1B applications where the beneficiary is not physically present in the USA or not eligible to change their nonimmigrant status from inside the USA. Most H-1B cap petitions we handle involve a beneficiary who is an F-1 student working on OPT and will be applying for a change of status to H-1B. If this is your scenario, the $100,000 fee likely does NOT apply. Please see our blog post about the $100,000 fee for more information.

• Processing Hold: A processing hold is in effect for all immigration petitions, including H-1Bs, for individuals from 39 countries. Individuals from these countries may file petitions, but USCIS will not issue any final decisions while it develops procedures to more intensively screen applicants. We expect that after the processing hold lifts, USCIS may start to issue requests for evidence to applicants from these countries to provide documentation to show that they merit positive discretion on their application. There are several major lawsuits on this topic, so we hopethat processing will resume for the 39 countries soon. We believe that we can still file H-1B registrations for individuals from these countries and that such registrations can still be selected in the lottery.

The 39 affected countries are: Afghanistan, Angola, Antigua and Barbuda, Benin, Burkina Faso, Burma (Myanmar), Burundi, Chad, Congo-Brazzaville (The Republic of the Congo), Côte d’Ivoire, Cuba, Dominica, Equatorial Guinea, Eritrea, Gabon, The Gambia, Haiti, Iran, Laos, Libya, Malawi, Mali, Mauritania, Niger, Nigeria, Palestinian Authority, Senegal, Sierra Leone, Somalia, South Sudan, Sudan, Syria, Tanzania, Togo, Tonga, Venezuela, Yemen, Zambia, and Zimbabwe

• Registration Fee: USCIS charge a $215 fee per H-1B registration.

• Success Rates: Last year, there was about a 35% chance of success in the H-1B lottery. We suspect that the selection rate will be higher this year due to the $100,00 fee and the processing hold.

Breakdown of the H-1B Cap Process

First Step: Registration

The first step in the H-1B cap process is filing a lottery registration online with USCIS. Registration involves submitting basic information about the employer and employee, the SOC code for the position, and indicating the OEWS wage level. Registration dates have not yet been announced but are typically open from early March until mid-March.

Second Step: Lottery Selection

After the close of the registration period, USCIS runs a random lottery and notifies those who are selected. Last year, the lottery winners were notified electronically by April 1st. Typically USCIS selects more than 85,000 registrants with the understanding that not all registrants will ultimately submit H-1B petitions. Those not selected are put on a waiting list. In FY2025 and FY2024, USCIS ran a second lottery in August and selected additional registrants off the waiting list because the initial lottery did not fill the H‑1B cap. The second lottery does not happen every year and did not happen in FY2026.

Third Step: Filing the H-1B Petition

The H-1B petition must be filed within 90 days of selection, which is typically the end of June. To file the H-1B petition, the employer must first file a Labor Condition Application (LCA) with the Department of Labor, post required disclosures at the place of employment, and file the I-129 petition with USCIS.

Fourth Step: Start Working!

Approved H‑1B applicants in the FY2027 cycle may start work on October 1, 2026 (the first day of FY2027) at the earliest. Some applicants who are changing status from F-1 OPT to H-1B may be able to benefit from the “cap gap,” which allows for OPT extension until the H-1B start date provided that the H-1B petition is filed before their OPT EAD expires. The H-1B visa is typically valid for a period of three years.

Fifth Step: Renewal

The H-1B allows for a three-year renewal. We recommend that employers file the renewal petition six months before the initial period of H-1B expires. Certain H-1B beneficiaries can be eligible for renewals beyond 6 years if they have started the green card process.

Schedule a consultation with us to discuss H-1Bs for your employees!

How Can Vrapi Weeks Immigration Attorneys Help?

Vrapi Weeks immigration attorneys have a dedicated team of professionals with expertise in immigration matters filed for family members, immigration matters filed by employers, and immigration matters filed by individuals. We handle many types of immigration matters and can assist you with green card applications, work permits, waivers, employment-based visas, and family-based visas. If you have questions or would like for our local attorneys to evaluate your options, please schedule a consultation with our experienced team of immigration lawyers at Vrapi Weeks today.