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Early Preparation for the H-1B Lottery: Why It’s Critical for Success

The H-1B visa lottery has become one of the most competitive avenues for U.S. employers to hire foreign professionals with specialized skills. With the demand for these visas far exceeding the annual cap of 85,000 (65,000 for the general cap and 20,000 for individuals with U.S. advanced degrees), preparation is critical. Starting early allows companies to navigate the complexities of the process, engage key stakeholders, and ensure all potential employees meet the requirements.

Failing to plan ahead can result in missed deadlines, incomplete applications, or disqualifications for failure to meet the strict standards of the U.S. Citizenship and Immigration Services (USCIS). While we do not have the exact dates, we expect that the H-1B pre-registration process will begin in March 2025 (FY2026 lottery). In this article, we will discuss the importance of early preparation, outline the key steps for employers, and explain recent and potential changes to the H-1B lottery process.

What Is the H-1B Lottery?

The H-1B lottery is the mechanism used by USCIS to allocate H-1B visas when the number of petitions exceeds the annual cap. Since 2020, the lottery has included an electronic registration process designed to simplify the application procedure.

Post-2020 Electronic Registration Process

Before 2020, employers were required to submit complete H-1B petitions, including all supporting documents, before the lottery took place. This system created significant costs for employers whose petitions were not selected.

The electronic registration process streamlined this system. Employers now submit basic information about their company and each beneficiary during a designated registration period. USCIS then conducts a random selection from the registrations. Only selected registrants are invited to submit full petitions.

This change reduced the administrative burden on employers and allowed USCIS to manage the high volume of H-1B petitions more efficiently. However, the electronic system also makes it easier for individuals to submit multiple registrations, leading to a significant increase in overall submissions.

Lottery Statistics

For FY 2024, USCIS reported approximately 780,884 eligible registrations—a stark increase from previous years. For FY 2025, USCIS implemented measures to prevent abuse of the registration system, resulting in a decrease to approximately 470,342 registrations. Remember, this is for a total of 85,000 slots, and although USCIS does select additional, there is a significant delta between the number of registrations and the number of selected individuals.

General Timeline for the H-1B Lottery

Although USCIS announces specific dates for each fiscal year, the H-1B lottery generally follows a predictable timeline:

  1. Registration Period: Typically opens in early March and remains open for at least 14 days. Employers create online accounts and submit electronic registrations for each beneficiary.
  2. Selection Notifications: By the end of March, USCIS informs selected registrants of their eligibility to submit full petitions.
  3. Filing Period: Selected registrants can file cap-subject petitions beginning April 1. USCIS allows a filing window of at least 90 days.

Changes to the Registration Fee

Starting with the March 2025 registration period, the H-1B registration fee will increase from $10 to $215 per beneficiary. This change is part of a broader USCIS effort to recover operational costs. While the fee remains relatively low compared to the total cost of an H-1B petition, it emphasizes the importance of thorough planning to avoid wasted expenses.

The Importance of Early Preparation

Early preparation provides a significant advantage for companies aiming to secure H-1B visas for their prospective employees. Here’s why:

Engaging Key Stakeholders

Securing an H-1B visa is a team effort that involves HR departments, legal counsel, and hiring managers. Early discussions with these stakeholders help identify the company’s hiring needs and ensure alignment across departments. Employers should convene internal meetings to outline the goals for the H-1B season, determine budget allocations, and assign responsibilities. It is important to have these meetings earlier in order to best plan for your needs this upcoming H-1B cap season.

Assessing Employee Eligibility

Not all roles qualify for H-1B sponsorship. Employers need to evaluate whether each position meets the criteria for a “specialty occupation,” which requires specialized knowledge and at least a bachelor’s degree in a related field. Additionally, potential beneficiaries must have the necessary educational qualifications and experience. For employees educated outside the U.S., credential evaluations may be required to confirm that their foreign degrees are equivalent to U.S. standards. While these items do not have to be proved up at the registration phase, it is important to do analysis to ensure you are only registering qualified individuals for qualified positions.

Ensuring Document Readiness

H-1B petitions demand comprehensive documentation. While the documentation for the registration process is nominal, employers and employees should begin gathering these materials as early as possible to avoid delays. For the registration process, companies should begin gathering employee passports, education documents, and if they are on F-1 OPT or STEM OPT, their EAD cards so planning can be done around the filing.

Budgeting and Planning for Fee Increases

USCIS fees for H-1B petitions can be substantial, and recent increases make early budgeting even more essential. Companies should account for the increased registration fee ($215 per beneficiary starting in FY 2026 lottery) as well as additional costs for premium processing, attorney fees, and potential credential evaluations.

Steps Employers Can Take to Prepare

Employers who start preparing now will be better positioned to succeed in the H-1B lottery. Here are practical steps to take:

  1. Identify Workforce Needs

Evaluate your company’s current and future talent requirements. Identify positions that require specialized skills and consider whether H-1B sponsorship is appropriate. Engage hiring managers to ensure alignment between recruitment goals and visa planning.

  1. Review Job Positions for Specialty Occupation Requirements

Not every role qualifies as a specialty occupation. Review job descriptions to ensure they clearly outline the specialized nature of the position and its educational requirements. This step is critical to avoid RFEs (Requests for Evidence) from USCIS.

  1. Assess Candidate Credentials

Verify that potential beneficiaries meet the qualifications for the position. This includes ensuring their degrees align with the job requirements and evaluating foreign credentials for U.S. equivalency. Credential evaluations can take time, so this process should begin early.

  1. Gather Necessary Documents

Collect all required documents from both the employer and employee. Early preparation prevents last-minute scrambling and ensures compliance with USCIS requirements.

  1. Develop a Budget

Account for all costs associated with the H-1B process, including registration fees, petition filing fees, premium processing fees, and legal counsel fees. Preparing a detailed budget ensures that there are no financial surprises.

  1. Engage Legal Counsel

Immigration attorneys can provide valuable guidance on the H-1B process, including evaluating job descriptions, preparing petitions, and responding to RFEs. Engage legal counsel early to ensure compliance and maximize your chances of success.

Potential Changes Under the Trump Administration

While the Biden administration currently oversees immigration policy, proposed changes introduced under the Trump administration continue to influence the H-1B program. Employers should be aware of these potential changes:

  1. Wage-Based Selection Process

A proposed rule would prioritize H-1B registrations based on wage levels, with higher-paying positions given preference. This change aims to protect U.S. workers by ensuring that H-1B beneficiaries earn competitive wages. This is something that the first Trump Administration tried, and while it may come in the future, it is highly unlikely that this can be implemented for the 2025 H-1B lottery.

  1. Increased Oversight

USCIS has implemented measures to prevent abuse of the H-1B program, including additional scrutiny of specialty occupation claims and employer-employee relationships. Employers should ensure their petitions are well-documented and compliant.

  1. Changes to Form I-129

Updates to Form I-129, used for H-1B petitions, require more detailed information about job locations, duties, and employer-employee relationships. Employers should be prepared to provide thorough documentation.

Benefits of Early Preparation

Early preparation offers numerous advantages, including:

  • Reduced Stress: Starting early allows employers to address potential issues before deadlines. The H-1B lottery is time sensitive and employees are nervous. Early preparation can help ensure things are not being done last minute.
  • Improved Compliance: Early planning ensures all documentation meets USCIS requirements.
  • Enhanced Success Rates: Thorough preparation increases the likelihood of selection and approval.

Conclusion

The H-1B lottery remains one of the most competitive immigration pathways for U.S. employers seeking to hire foreign professionals. By starting early, engaging stakeholders, and preparing thoroughly, companies can navigate the complexities of the H-1B process with greater confidence.

With changes to the registration fee and potential reforms on the horizon, staying informed and proactive is more important than ever. Employers should consult immigration experts to ensure compliance and optimize their chances of securing H-1B visas for qualified candidates.

Reddy Neumann Brown PC located in Houston, Texas, has been serving the business community for over 25 years and is Houston’s largest immigration law firm focused solely on U.S. Employment-based and investor-based immigration. We work with employers, employees and investors helping them navigate the immigration process quickly and cost-effectively.

By: Steven Brown

Steven Brown is a Partner at Reddy Neumann Brown PC where he works in the Non-immigrant visa department and leads the Litigation Team. His practice covers all phases of the non-immigration visa process including filing H-1B, L-1, E-3, H-4, and H-4 EAD petitions. In the last two years, Steven has successfully handled over 1,000 non-immigrant visa petitions including filing petitions, responding to any necessary Requests for Evidence, and drafting motions and appeals. He has also become a key resource for F-1 students that seek guidance on properly complying with the F-1 visa regulations and any OPT or CPT issues they may have. Additionally, Steven holds a weekly conference call for companies that are part of one of the largest organizations for IT Services companies in America.