H1B FY 2027 Lottery Done: Cap Hit, No Second Round, Fee Uncertain
FY 2027 H-1B cap is officially full with no second lottery. Learn what this means for unselected candidates, the wage-weighted system that changed your odds, and the ongoing $100,000 fee litigation.
The FY 2027 H-1B Cap is Full — Here's What You Need to Know
USCIS confirmed July 17 that it received sufficient petitions to fill both the congressionally mandated 65,000 regular H-1B cap and the 20,000 visas reserved for individuals holding U.S. advanced degrees, commonly known as the master's cap. This means the door has closed on FY 2027 selections — there will be no second-round lottery.
Because the cap has been reached, USCIS will not conduct a second H-1B lottery for FY 2027. Any H-1B registration not selected in the draw that was conducted in March will not be eligible to file an H-1B cap petition for FY 2027. The next opportunity to sponsor an individual under the H-1B cap will be in March 2027 for the FY 2028 cap.
What Changed: The Wage-Weighted Lottery
The FY 2027 lottery was unlike any previous year. USCIS announced that it had completed its initial round of selections for Fiscal Year (FY) 2027. This marks the first cap season in which USCIS applied its new weighted selection process which favors the allocation of H-1B visas to higher-paid individuals.
The final rule implements a weighted selection process that will increase the probability that H-1B visas are allocated to higher-skilled and higher-paid aliens while maintaining the opportunity for employers to secure H-1B workers at all wage levels. Instead of random selection, registrations now received multiple lottery entries based on Occupational Employment and Wage Statistics (OEWS) wage levels — with Level 4 wages earning 4 entries, Level 3 earning 3 entries, and so on.
Entry-level roles may face disadvantages under the new weighted lottery system, which could impact startups and smaller employers disproportionately. If your position was classified at Level 1 wages, your odds of selection were significantly lower than in previous years.
The $100,000 Fee: Still Uncertain
Employers and candidates have faced confusion around a proposed $100,000 H-1B application fee. On June 8th 2026, a federal judge struck down the $100,000 H-1B visa fee, ruling it unlawful. The Department of Homeland Security has appealed the ruling, so the policy's future remains uncertain as the case continues through the courts.
On July 24, 2026, the First Circuit denied the government's motion. DHS strongly disagrees with the First Circuit's order denying the stay request but will comply with the court's order while DHS considers next steps. Until final resolution, assume the fee is not in effect — but monitor developments as DHS continues to litigate.
If You Weren't Selected: Your Options
If your registration was not selected for FY 2027, you have alternatives:
- Some employers, such as universities, nonprofit research organizations and affiliated entities can sponsor H-1B workers outside the lottery. If your employer qualifies, you may still be eligible.
- Individuals in F-1 status may be able to extend work authorization through OPT or a STEM OPT extension, providing additional time to pursue future H-1B opportunities.
- Employers should also explore alternative visa pathways—such as O-1, TN, E-3, or H-1B1—especially for candidates who may face reduced odds under the new system.
- For some employers and employees, initiating a green card process (such as PERM labor certification or a self-sponsored petition) may be appropriate as part of a longer-term plan.
Processing Times: Plan Accordingly
For those who were selected, timing matters. As of August 2026, USCIS typically takes about 9.5 to 10.5 months to process most H-1B I-129 petitions. If your employer filed in July, expect a decision around April–May 2027. For $2,965, you can shorten your petition's H-1B processing time to just 15 business days. Premium processing can be worth it if you have a tight deadline or need work authorization sooner.
Bottom Line
The FY 2027 cycle is closed. If you were selected, move forward with petition filing and wage analysis. If you weren't, have a conversation with your employer about cap-exempt sponsorship, OPT extensions, or visa alternatives — and mark your calendar for March 2027, when the FY 2028 lottery opens. The landscape has changed, and strategy now trumps luck.