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H1B

Atlanta Business Owner Warns $100K H-1B Fee Harms Small Firms

A $100,000 fee on new H-1B petitions takes effect September 21, 2025 for 12 months. Agencies haven’t issued payment guidance or exception criteria, prompting small businesses to pause hiring and prepare for legal uncertainty.

Last updated: September 30, 2025 7:00 pm
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Key takeaways
A $100,000 fee applies to all new H-1B petitions filed on or after September 21, 2025, for 12 months.
Officials have not issued payment instructions or clear national-interest exception criteria as of September 30, 2025.
Small businesses warn the fee could halt hiring, push work offshore, or force startups to delay product launches.

(ATLANTA, GEORGIA, USA) A new $100,000 fee on new H-1B petitions, effective September 21, 2025, has triggered sharp concern among employers in the United States 🇺🇸, especially small businesses that depend on specialty talent. The fee applies to all new filings made on or after that date and is slated to remain in place for 12 months, unless the government extends it. Petitions filed before the effective date are not affected, and current H-1B workers are not subject to the new charge. Employers say the uncertainty around how to pay the fee—and who might be exempt—has added to the shock.

According to business owners in Atlanta and other hubs, the $100,000 fee risks stalling hiring plans and slowing product development, particularly in early-stage firms that rely on a single key engineer or data scientist. Employers that planned fall filings have paused as they wait for formal payment instructions and any agency guidance on exceptions. As of September 30, 2025, officials had not issued detailed instructions on payment methods or form updates tied to the fee, leaving many cases in limbo.

Atlanta Business Owner Warns 0K H-1B Fee Harms Small Firms
Atlanta Business Owner Warns $100K H-1B Fee Harms Small Firms

VisaVerge.com reports that the policy’s sudden rollout is creating a two-track market: large companies that can absorb the cost and smaller firms that cannot. While some experts argue the high price could push employers to make only essential H-1B hires, many founders say the math simply doesn’t work for small-batch roles or niche projects. One Atlanta tech owner described the measure as “detrimental” to small businesses, warning it will push startups to freeze hiring or move work offshore.

Policy details and open questions

  • The $100,000 fee attaches to new H-1B petitions filed on or after September 21, 2025.
  • It does not apply to petitions filed earlier, and it does not change the status of current H-1B workers.
  • Officials have signaled possible exceptions in the “national interest,” but criteria remain unclear.
  • The fee is scheduled to last 12 months, with the possibility of extension.

How the H-1B program still works (what does not change)

H-1B visas let U.S. employers temporarily hire foreign professionals in specialty jobs such as:

  • Software engineering
  • Biotech research
  • Architecture
  • Healthcare

The program retains its standard cap structure:

  • 65,000 regular cap
  • 20,000 additional cap for U.S. advanced-degree holders

Required steps that remain in place:

  1. Obtain a certified Labor Condition Application (LCA) from the Department of Labor (filed via ETA-9035).
  2. File the USCIS petition on Form I-129 after LCA certification.

None of those base steps change under the new policy, but the financial burden attached to new H-1B petitions has increased significantly.

💡 Tip
Budget for the $100,000 per new H-1B petition when planning any filings after Sep 21, 2025, and build cash flow buffers for potential delays in payment instructions.

Legal and administrative uncertainty

Several law firms and business groups say legal challenges are likely, questioning both:

  • The authority to impose such a steep fee, and
  • Whether the fee is constitutional.

Until lawsuits proceed—and unless a court pauses the policy—employers must plan around the fee. As of now, there is:

  • No formal agency notice detailing how to remit the $100,000, and
  • No confirmation on whether there will be separate processing channels for claimed national interest exceptions.

Important: Employers currently lack official payment instructions and clear exemption criteria. This is a major source of operational uncertainty.

⚠️ Important
There are no official payment instructions or clear exemption criteria yet. Do not finalize filings or long-lead commitments until guidance is published to avoid costly missteps.

Impact on employers, workers, and the talent pipeline

  • For large multinationals, the $100,000 fee might shift budgets but is unlikely to derail strategic hiring.
  • For small businesses, the effect is immediate and heavy. For example, a startup planning two H-1B filings faces a potential $200,000 outlay before accounting for salaries, benefits, relocation, and mandated wage levels.

Likely employer responses include:

  • Switching to contractors abroad
  • Moving projects to overseas teams
  • Delaying product launches
  • Recruiting domestically (with difficulty in specialized fields)

Real-world human impacts:

  • U.S.-trained graduates on Optional Practical Training (OPT) who hoped to move to H-1B status
  • Families planning relocations based on job offers
  • U.S. teams depending on specialists to meet deadlines

Advocates for the fee argue it may reduce speculative filings and encourage domestic hiring. Critics counter:

  • H-1B workers often complement U.S. teams and help generate revenue and additional U.S. jobs.
  • The fee risks moving high-skill projects offshore and raising costs without expanding local talent quickly.

VisaVerge.com analysis suggests the fee could raise policy friction and increase costs without immediate expansion of the domestic talent pool.

Timing, affected filings, and sector ripple effects

  • Traditional H-1B cap season centers on registrations in March and filings in spring/summer.
  • Because the fee applies to new filings as of September 21, 2025, cap cases filed earlier are not covered.
  • However, cap-exempt filings (universities, nonprofits, research groups) and off-cycle corporate hires filed on or after the effective date will be hit.

Sector-specific consequences:

  • Labs and hospitals may need to defer specialist hires.
  • Startups may pivot to part-time consultants instead of sponsoring full-time roles.
  • Universities and research centers (often cap-exempt) may be less affected but still face budget constraints.

Practical steps for employers now

  1. Budget for the $100,000 fee when planning new petitions.
  2. Inventory roles and determine which positions are mission-critical.
  3. Confirm filing windows — determine which filings fall inside the effective window.
  4. Monitor agency guidance for payment instructions and national interest exception criteria.
  5. Continue standard steps:
    • File LCA using ETA-9035 (wage and working-conditions pledge).
    • After LCA approval, file USCIS Form I-129.
  6. Consult experienced counsel to evaluate legal exposure and filing strategy.

Documents and official resources

For authoritative program details, forms, and filing instructions, review these official pages:

  • USCIS H-1B page: USCIS H-1B Program
  • USCIS Form I-129: USCIS Form I-129
  • Department of Labor ETA-9035 (LCA): ETA-9035 Labor Condition Application

What to watch next (three milestones)

  • Formal payment instructions from agencies explaining how and where to remit the fee.
  • Announced criteria for any national interest exceptions.
  • First court rulings on legal challenges that could pause or overturn the policy.

For now, the $100,000 fee is in force, and small businesses are recalculating their hiring strategies. If your company plans to file, speak with experienced counsel, confirm which filings fall inside the effective window, and plan cash flow around the new cost until authorities provide clearer guidance.

VisaVerge.com
Learn Today
H-1B → A nonimmigrant U.S. visa allowing employers to temporarily hire foreign professionals in specialty occupations.
Effective date → September 21, 2025—the date new H-1B filings become subject to the $100,000 fee.
National interest exception → A potential exemption category for filings deemed vital to U.S. national interests; criteria remain unclear.
LCA (ETA-9035) → Labor Condition Application filed with the Department of Labor certifying wages and working conditions for H-1B roles.
Form I-129 → USCIS petition form employers use to request H-1B classification for a foreign worker.
Cap-exempt → H-1B petitions not subject to the annual cap, typically filed by universities, nonprofit research organizations, and affiliated entities.
OPT → Optional Practical Training, a period allowing recent international graduates to work in the U.S., often preceding H-1B sponsorship.

This Article in a Nutshell

The federal government will impose a $100,000 fee on new H-1B petitions filed on or after September 21, 2025, for a 12-month period unless extended. The fee excludes petitions filed earlier and does not affect current H-1B workers. Employers, particularly small businesses and startups, express alarm because agencies have not provided payment procedures or clarified national-interest exceptions. The policy threatens to slow hiring, delay product development, and incentivize outsourcing. Core H-1B processes—LCA certification (ETA-9035) and USCIS Form I-129 filings—remain unchanged. Legal challenges are likely. Employers should budget for the fee, prioritize mission-critical roles, confirm which filings fall inside the effective window, and consult counsel while monitoring agency guidance and court rulings.

— VisaVerge.com
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Jim Grey
ByJim Grey
Senior Editor
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Jim Grey serves as the Senior Editor at VisaVerge.com, where his expertise in editorial strategy and content management shines. With a keen eye for detail and a profound understanding of the immigration and travel sectors, Jim plays a pivotal role in refining and enhancing the website's content. His guidance ensures that each piece is informative, engaging, and aligns with the highest journalistic standards.
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