H-1B Visa Renewals to Cost $4,000 More Under New DHS Rule: Who Will Pay the Increased Fee?

H-1B visa extensions could become $4,000 more expensive for certain US employers from 9 September 2026, after the Department of Homeland Security (DHS) finalised a rule expanding an existing biometric fee.

The charge will affect employers with at least 50 employees in the US where more than half of the workforce holds H-1B or L-1 status. The change is particularly significant because the fee can now apply to extension-of-status petitions, including cases where an H-1B worker remains with the same employer.

The fee is paid by the employer filing the petition. DHS has also addressed concerns about companies passing the expense to H-1B workers through reductions in compensation.

Employers Facing the New $4,000 H-1B Fee

The expanded charge applies to employers that meet both workforce requirements: at least 50 employees in the United States, and more than 50% of those employees holding H-1B or L-1 nonimmigrant status.

For qualifying employers, the fee is $4,000 for an H-1B petition and $4,500 for an L-1 petition. Companies that do not meet both workforce thresholds are not subject to the 9-11 Biometric Fee under the new rule.

Same-Employer H-1B Extensions Are Now Included

The most significant change for existing H-1B workers concerns extensions filed by their current employer.

DHS previously interpreted the law so that the biometric fee generally applied to initial grants of H-1B or L-1 status and change-of-employer petitions, but not to an extension filed by the same employer for the same worker.

The new interpretation expands the fee to H-1B and L-1 extension-of-status petitions filed by covered employers, regardless of whether the worker changes employers. For an eligible company, that means renewing an H-1B worker's status can trigger the additional charge even when the employee remains in the same role.

DHS Expands the H-1B Biometric Fee

The charge forms part of the existing 9-11 Response and Biometric Entry-Exit Fee, which Congress established in 2015 after an earlier supplemental fee expired. The money supports the federally mandated biometric entry-exit programme.

DHS said its previous interpretation allowed some covered employers to avoid the fee by retaining an H-1B or L-1 worker rather than filing a change-of-employer petition. The department said extending the charge to qualifying extension petitions better reflects the statutory language and congressional intent behind the programme.

Employers Cannot Simply Deduct the Cost From Pay

The rule has raised concerns about whether higher sponsorship costs could ultimately affect H-1B workers' earnings.

In its response to public comments, DHS said H-1B employers must pay workers the greater of the applicable prevailing wage or the actual wage paid to comparable employees. The agency also said employers are generally prohibited from reducing an H-1B worker's wages or compensation package to recover business expenses, including required petition-related fees.

The rule received significant opposition during the public-comment period. DHS received 146 comments, with the majority generally opposing the change. Some commenters argued that higher costs could discourage companies from hiring H-1B and L-1 workers and make it harder for US businesses to attract international talent.

Impact on H-1B Workers

The change does not mean every H-1B worker will face an additional $4,000 charge when extending their status.

The determining factors are the sponsoring company's workforce and the type of petition being filed. An employer with fewer than 50 US employees, for example, would not meet the workforce-size threshold for the biometric fee.

The change could be particularly relevant to businesses that rely heavily on H-1B and L-1 workers. DHS estimates that up to 16% of small businesses that file H-1B or L-1 petitions could be affected, although the agency said it does not have sufficient data to determine exactly how many employers meet the required workforce composition.

For qualifying employers, the practical impact is an additional cost when certain H-1B extensions are filed from 9 September 2026. For workers, the rule creates another consideration around sponsorship as employers assess the cost of maintaining their immigration workforce.