The H-1B cap is the statutory limit on how many new H-1B specialty-occupation visas can be issued each fiscal year: 65,000 under the regular cap, plus 20,000 reserved for workers with a master’s degree or higher from a U.S. university.1Office of the Law Revision Counsel. 8 USC 1184 – Admission of Nonimmigrants Because far more employers want to file than there are slots, USCIS runs a random electronic lottery every March. In FY 2026, roughly 359,000 registrations competed for about 120,000 selections, putting the odds around one in three.2U.S. Citizenship and Immigration Services. H-1B Electronic Registration Process
The Two Numbers That Set the Cap
Both numbers are fixed by federal statute and have stayed at these levels since fiscal year 2004. The 65,000 regular cap covers workers in specialty occupations that require at least a bachelor’s degree in a directly related field. The 20,000 master’s exemption is limited to graduates of accredited U.S. institutions.3U.S. Citizenship and Immigration Services. H-1B Cap Season
Within the 65,000 regular cap, up to 6,800 visas are set aside each year under free trade agreements: 1,400 for Chilean nationals and 5,400 for Singaporean nationals. These H-1B1 visas use a separate application process and don’t go through the lottery. Any unused H-1B1 numbers roll back into the general regular-cap pool the following fiscal year.4U.S. Department of Labor. Fact Sheet 62X – What Are the Requirements to Participate in the H-1B1 Program
How the Two-Round Lottery Works
USCIS draws in two rounds. It first pulls from every eligible registration to fill the 20,000 master’s spots. Registrations for U.S. advanced-degree holders that aren’t picked in that round then roll into the 65,000 regular pool, giving those candidates effectively two chances at selection. Everyone else competes only in the regular pool.
Selection is made by unique beneficiary, not by petition. If three different employers register the same worker, that person still gets one entry in the lottery rather than three. USCIS also invalidates duplicate registrations submitted by the same employer for the same worker, and there’s no appeal if it does.5U.S. Citizenship and Immigration Services. H-1B Electronic Registration Frequently Asked Questions After the initial draw, if not enough selected employers file complete petitions, USCIS may run additional selection rounds later in the cycle.
Who Doesn’t Have to Go Through the Cap
A meaningful share of H-1B hiring happens outside the cap entirely. The statute exempts certain employers, meaning they can sponsor H-1B workers year-round without entering the lottery.1Office of the Law Revision Counsel. 8 USC 1184 – Admission of Nonimmigrants
- Colleges and universities, public or private, that qualify under federal education law.
- Nonprofits with a formal written affiliation to a college or university, such as a teaching hospital tied to a medical school.
- Nonprofit research organizations and government research entities whose primary function is basic or applied research.
Workers themselves can also be exempt. Anyone who has already been counted against the cap within the past six years does not need to win the lottery again. That covers people extending their current status, transferring to a new employer, or changing the terms of their existing employment. This is one of the most useful exemptions in practice, because it lets current H-1B holders switch jobs without waiting for the next cap season.
There’s also a concurrent-employment strategy worth knowing. A worker holding H-1B status through a cap-exempt employer can take a second job with a cap-subject employer without going through the lottery, as long as the cap-exempt petition is filed first and the second employer files a concurrent petition. Some workers who miss the lottery secure even a part-time position at a qualifying university or research organization to open this door.
The Registration Window and Fee
The annual registration window is short. For FY 2027, it opened at noon Eastern on March 4, 2026, and closed at noon on March 19.6U.S. Citizenship and Immigration Services. FY 2027 H-1B Cap Initial Registration Period Opens on March 4 During that period, employers submit a brief electronic registration for each prospective worker through their USCIS online account and pay a $215 fee per registration.
The registration itself is lightweight. The employer supplies its legal name, any DBA names, its office address, and its Federal Employer Identification Number. For the worker, the employer enters full legal name, date of birth, gender, country of birth, country of citizenship, and passport number, and indicates whether the worker qualifies for the U.S. master’s pool.
After the window closes, USCIS runs the draw and updates each registration in the online portal to “Selected” or “Not Selected.” Selected registrations come with a selection notice that unlocks the ability to file a full petition.
What Happens If You’re Selected
Selected employers have at least 90 days to file a complete H-1B petition.7U.S. Citizenship and Immigration Services. FY 2027 H-1B Initial Registration Selection Process Completed The petition is built around Form I-129, accompanied by a Department of Labor–certified Labor Condition Application, evidence that the role qualifies as a specialty occupation, and proof of the worker’s credentials.8U.S. Citizenship and Immigration Services. I-129, Petition for a Nonimmigrant Worker
Government fees stack up quickly, and the employer is legally required to pay them; passing them to the worker is not permitted. Current amounts published on Form G-1055 include:9U.S. Citizenship and Immigration Services. G-1055 Fee Schedule
- I-129 base filing fee: $780 on paper or $730 online for most employers, $460 for small employers with 25 or fewer employees and qualifying nonprofits.
- ACWIA fee: $1,500 for employers with 26 or more workers, $750 for those with 25 or fewer, waived for certain nonprofits.
- Fraud prevention fee: $500 for initial H-1B petitions and for changes of employer.
- Asylum Program Fee: $600 for most employers, $300 for small employers, $0 for nonprofits.
- Pub. L. 114-113 fee: $4,000 for employers with 50 or more U.S. employees where more than half hold H-1B or L-1 status.
A large employer filing a standard petition on paper could face $3,380 or more in government fees before legal costs. Attorney fees for preparing a petition typically run from $2,500 to $6,000, and credential evaluations for foreign degrees add another $100 to $600.
Standard processing can take several months. Employers who need a faster answer can request premium processing, which guarantees USCIS action within 15 business days. As of March 1, 2026, the premium processing fee for Form I-129 is $2,965.10U.S. Citizenship and Immigration Services. USCIS to Increase Premium Processing Fees Because weekends and federal holidays don’t count, the real calendar time is closer to three weeks.
The Cap-Gap Bridge for F-1 Students
F-1 students on Optional Practical Training who are selected in the lottery and have a timely-filed change-of-status petition get an automatic extension of their F-1 status and work authorization through September 30, the day before the H-1B fiscal year begins on October 1.11U.S. Citizenship and Immigration Services. Extension of Post Completion Optional Practical Training (OPT) and F-1 Status for Eligible Students Under the H-1B Cap-Gap Regulations Without that bridge, students whose OPT expires before October 1 would lose the right to work, and potentially their status, during the gap.
Some limits apply. The petition must be cap-subject, so this doesn’t help if the sponsoring employer is cap-exempt. Students already in their 60-day departure grace period when the petition is filed get the status extension but not work authorization, because they weren’t authorized to work at the time of filing. The extension terminates automatically if the petition is denied, withdrawn, rejected, or not selected in a later round. There’s no separate application; students request an updated Form I-20 from their school’s Designated School Official as proof of continued authorization.
If You’re Not Selected
Missing the lottery doesn’t end the conversation, but it does force a choice about how to maintain status in the meantime. The most direct option is registering again in the next cycle, which only works if the worker has a valid basis to stay. F-1 students nearing the end of OPT or a STEM OPT extension sometimes enroll in a new program of study to reset their student status and buy more time.
Other paths sidestep the cap altogether. Cap-exempt employment at a university, research organization, or affiliated nonprofit is available year-round. Workers with extraordinary ability in their field may qualify for the O-1. Employees of multinational companies can look at L-1 intracompany transfers. Canadian and Mexican citizens in qualifying professions have access to TN status. For some workers, the better long-term move is asking the employer to start the green card process directly rather than cycling through the lottery repeatedly. And where no U.S.-based option fits, some employers keep the worker in the same role remotely from abroad while future visa options are worked out.