The United States Citizenship and Immigration Services (USCIS) has announced that it has reached the H-1B visa cap for fiscal year (FY) 2026, closing the door for new cap-subject petitions until next year. This development directly affects international students, recent graduates, and professionals planning to begin or continue work in the U.S. under the H-1B program.Each fiscal year, the USCIS allows up to 65,000 regular H-1B visas, with an additional 20,000 slots reserved for individuals holding a U.S. master’s degree or higher. For FY 2026, USCIS confirmed that it received enough petitions to meet both these limits, and the filing period for selected applicants concluded on July 1, 2025.
Registration numbers and selection process
The 2025 registration window, which feeds into FY 2026 approvals, saw 343,981 eligible H-1B registrations submitted. From this pool, USCIS selected 120,141 beneficiaries to move forward with full petition filings. The selection process, revised this year to focus on individual beneficiaries rather than multiple submissions from different employers, aimed to reduce fraud and level the playing field.Despite a 27% drop in overall registrations compared to the previous cycle, demand for H-1B visas remains strong. With only 85,000 total spots available, a significant portion of eligible applicants were not selected, including many recent international graduates and skilled foreign professionals.
Impact on students and graduates
The cap closure has major implications for international students in the U.S., especially those on F-1 visas currently working under Optional Practical Training (OPT) or STEM OPT. Many of these students aim to transition to an H-1B visa as a pathway to long-term employment. With the cap reached, those who were not selected in the lottery must now explore alternative options to maintain their legal work status in the U.S.This includes seeking employment with H-1B cap-exempt organisations such as universities, nonprofit research institutions, and certain government bodies. Others may consider switching to different visa categories such as the O-1 (for individuals with extraordinary ability), L-1 (intra-company transfers), or the J-1 (exchange visitor) visa. Some may also consider relocating to countries with more flexible post-study work pathways, such as Canada, Australia, or Germany.
Situation for working professionals
For professionals outside the U.S. hoping to secure a first-time H-1B visa, the window of opportunity has now closed for FY 2026. These applicants must wait for the next cycle, which will begin with registrations in March 2026 for employment starting in October 2026.Individuals already on H-1B status are not affected by the cap. USCIS will continue to process extensions, amendments, employer transfers, and concurrent employment petitions. Cap-exempt petitions, such as those filed by qualified nonprofit and research institutions, will also continue to be accepted throughout the year.
Policy changes and future outlook
This year marked the implementation of several changes to the H-1B registration system, including a substantial increase in the registration fee, from $10 to $215, and a revised selection process. These changes were introduced to enhance fairness and reduce misuse, but they also increased the financial and procedural burden on employers and applicants.The U.S. continues to face growing pressure from academic institutions, tech companies, and immigration advocates to expand the H-1B cap or create more flexible visa categories to retain global talent. Until such reforms are introduced, the visa cap will continue to be a significant barrier for many international students and skilled professionals aiming to build careers in the U.S.TOI Education is on WhatsApp now. Follow us here.
