H-1B for New Graduates: Wage Levels, Lottery, Odds in 2026

The basic requirements

H-1B is for specialty occupations. USCIS says the job must require at least a bachelor's degree in a directly related specialty.

The employer must pay at least the prevailing wage or the actual wage for similar workers, whichever is higher. It must get a certified Labor Condition Application first.

Initial H-1B approval is generally up to three years. Extensions can bring the total to six years.

The cap and the master's cap

Most private employers are subject to an annual cap of 65,000 visas. Up to 6,800 of those are set aside for the H-1B1 program.

There are 20,000 more for people with a U.S. master's degree or higher. This is often called the master's cap.

Cap-exempt employers are not limited by these numbers. They include universities, affiliated nonprofits, nonprofit research organizations and government research organizations.

How the weighted lottery works

DHS published a final rule on Dec. 29, 2025. It took effect Feb. 27, 2026 and applied first to the FY 2027 season.

When registrations exceed the cap, USCIS runs a weighted selection. Weight depends on the highest wage level the offered salary meets for the job's occupation code and location.

• Level IV: entered four times.
• Level III: entered three times.
• Level II: entered twice.
• Level I: entered once.

What this means for new grads

Many entry-level offers fall at level I or II. Those registrations still count, but they have fewer entries than senior roles.

DHS said the rule keeps the opportunity to hire at all wage levels. Being level I lowers your odds; it does not exclude you.

The same salary can be a different level in a different city or occupation code. Ask your employer which level applies. Our guide at /h1b/h1b-wage-based-lottery explains the levels.

Which employers sponsor new grads

Look for entry-level filings. In DOL LCA files, the PW_WAGE_LEVEL field shows the level an employer filed at. Many Level I or II LCAs for your title mean the employer hires at entry level.

Universities and nonprofit research organizations are strong options, because they are cap-exempt and skip the lottery.

Start from H1B jobs by role or find sponsors hiring now, then check each employer's recent filings for your title.

Will employers hire entry-level candidates who need sponsorship?

Some will. Under weighted selection, a Level I registration gets one entry, so some employers now prefer candidates at higher levels or who already hold H-1B.

Your best bets are employers with a record of entry-level filings, cap-exempt employers and STEM roles. STEM OPT can give you up to three years of work, and up to three lottery tries.

No experience yet? Start with employers that already hire on OPT. ICE publishes a yearly list of the top 200 OPT and STEM OPT employers. University research roles are another path.

A sample timeline

Here is how the FY 2027 season ran, as an example. Exact dates change each year.

1. March 4 to March 19, 2026: employers registered candidates, paying $215 per registration.
2. By March 31, 2026: USCIS notified selected employers.
3. From April 1, 2026: selected employers could file petitions.
4. Oct. 1, 2026: the earliest allowed start date.
5. Cap-gap can bridge the months between OPT ending and the October start, up to April 1.

Recent numbers

For FY 2026, USCIS reported 343,981 eligible registrations and 120,141 selected registrations. That was the last season under purely random selection.

For FY 2027, USCIS announced on March 31, 2026 that it had enough registrations to reach both caps. USCIS had not published FY 2027 selection counts on its registration page when we checked.

Realistic expectations for 2026 and 2027

• Plan for more than one lottery attempt. A STEM OPT extension adds 24 months, which can cover more than one season.
• Prefer employers with a filing history. Browse them at /h1b-sponsors.
• Consider cap-exempt employers. They can file at any time and are not part of the lottery.
• Ask about wage level before you accept an offer, not after.
• Stay in valid status and keep OPT unemployment days low.

The $100,000 fee

Under USCIS guidance, the $100,000 payment did not apply when a change of status was granted inside the U.S. Most new grads on OPT file that way.

As of October 2026, a federal court order blocks collection while the government appeals. The proclamation was extended to Sept. 21, 2027, according to law firm reports. Details are at /h1b/h1b-100k-fee.

If you are laid off before your October 1 start

If your employer withdraws the H-1B petition before the change of status takes effect, cap-gap ends. University guidance says you stay in F-1 status and can keep working on OPT if your OPT card is still valid.

If your OPT has already ended, schools generally say you have a 60-day grace period. You generally cannot apply for STEM OPT once cap-gap has ended.

Whether a new employer can file without a new lottery depends on your case. Talk to your DSO and an immigration attorney quickly.

This article is general information, not legal advice. Confirm your situation with your DSO or an immigration attorney.

Questions

Sources

• USCIS: H-1B Specialty Occupations
• USCIS: H-1B Cap Season
• USCIS: H-1B Electronic Registration Process
• USCIS: DHS Changes Process for Awarding H-1B Work Visas
• USCIS: H-1B Weighted Selection Small Entity Compliance Guide
• USCIS: OPT Extension for STEM Students
• Envoy Global: Appeals Court Declines to Stay Order Vacating $100K H-1B Payment
• Phillips Lytle: Administration Acts to Further Restrict and Scrutinize H-1B Program
• ICE SEVP: 2024 SEVIS by the Numbers, Top 200 Employers of OPT and STEM OPT Students
• DOL LCA Public Disclosure File Record Layout, FY2026 Q3
• Northeastern University OGS: H-1B and the Cap-Gap Extension
• Rowan University: Cap-Gap FAQ

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H-1B Transfer: How Changing Employers WorksLaid Off on H-1B: The 60-Day Grace Period ExplainedCompanies That Sponsor H-1B: How to Check a Sponsor