$100K H-1B Fee 2025: What Indian Students Must Know | USA Dream

Summary

On September 19th, 2025, President Trump announced a $100,000 annual fee for new H1B visa applicants, a move that could significantly impact students, professionals, outsourcing firms, and the U.S. job market. The fee aims to prioritize top-tier talent, making it harder for those with average skills to work in the U.S. Companies must pay the fee for skilled workers, potentially driving innovation centers to India and reshaping the global job market. The video stresses the importance of upgrading technology and communication skills to stay competitive in an evolving landscape.

Takeaways

• 🇺🇸 President Trump announced a $100,000 per year fee for new H1B visa applicants, effective from September 21, 2025.
• 📝 This fee applies only to new applicants or those re-entering the US, not current visa holders or renewals.
• 🌏 India is the most impacted country, with 71% of H1B visas in 2024 going to Indian nationals.
• 💼 Students and professionals will now need employers willing to pay an additional $100,000 per year on top of salary to secure an H1B visa.
• 🏢 Large outsourcing firms and big tech companies will face significant operational and financial challenges due to this change.
• 📉 The traditional H1B-to-green card pathway is further disrupted, making it harder for mid-level skilled professionals to remain in the US.
• 🏃‍♂️ Some professionals may return to India due to the high cost and uncertainty of staying in the US.
• 🌍 Companies may shift focus to nearshore centers in Canada, Mexico, or Europe to mitigate time zone and operational issues.
• 💰 Salaries in the US may rise for top talent, as employers willing to pay the $100,000 fee will likely increase compensation.
• 🇮🇳 India's job market could see growth in high-value development centers and innovation hubs, but median-skill professionals returning may increase competition.
• 🚀 The overall message emphasizes the need for individuals to enhance technology skills, communication, and adaptability to remain competitive in a changing global job market.

Q & A

What is the new policy announced by President Trump on 19th September 2025 regarding H1B visas?

President Trump announced a $100,000 per year fee for all new H1B visa applicants, effective from 21st September 2025. This applies to all new applicants and re-entries into the US, excluding those already in the US on H1B visas, renewing or transferring their visas.

Does the $100,000 fee apply to current H1B holders or only new applicants?

The fee applies only to new H1B applicants or those re-entering the US. Current H1B holders, as well as those renewing, extending, or transferring their visas, are exempt from this fee.

How might this $100,000 fee impact students and professionals who wish to go to the US?

For students and professionals, this fee means that they would need to find a company willing to not only pay their salary but also an additional $100,000 yearly. This could make it significantly harder for less experienced workers or those with average skills to find employment in the US.

What could be the impact of this policy on large outsourcing firms and big tech companies in the US?

Large outsourcing firms and big tech companies could face severe challenges under this new policy. The fee might force them to rethink their business models, as they would need to adjust to a market where only top-tier talent is valued. This would affect the large-scale sending of employees on H1B visas, which has been a traditional model for many firms.

How is this new policy expected to affect the job market in the US?

The new policy could disrupt the US job market, particularly for those in median skill ranges. With the added $100,000 fee, the median salary may increase, but there could also be fewer H1B workers entering the country. This could lead to companies adjusting their hiring practices, possibly relying more on local talent rather than hiring from overseas.

What potential impact might this have on the real estate market in the US?

A mass exodus of immigrants due to this fee could reduce demand for housing in some regions, leading to a potential decline in real estate prices. As fewer skilled professionals stay in the US, certain areas could experience a downturn in the housing market.

What impact could this policy have on India’s job market?

In India, this policy could lead to an increase in job creation, especially in global capability centers (GCC) and product development sectors. As US companies may move operations or hiring focus to India, the Indian job market could see growth, though there may also be an oversupply of workers with median skills, making the job market more competitive.

What is the long-term message for students and professionals in India and the US?

The long-term message is that individuals should focus on developing top-tier skills, particularly in technology, and enhancing their communication abilities. Those in both the US and India must prepare for a future where only the best talent will be in demand, as companies will be more selective in their hiring.

How might this new H1B policy influence outsourcing models in the US?

Outsourcing models in the US could shift dramatically, with companies possibly moving operations to countries like Canada or Mexico, where the cost of labor and proximity to the US are favorable. This would help avoid the high cost of the $100,000 fee while still taking advantage of outsourcing opportunities.

How might the situation evolve over time regarding existing H1B holders and potential litigation?

While this policy is set to take effect for new applicants, there may be litigation against it, and its scope could evolve over time. The US government could eventually extend or modify the policy to include existing H1B holders, but that remains uncertain and will depend on legal challenges and the policy’s effectiveness.