A Sudden Shift in the H-1B Landscape
The U.S. government has introduced a new requirement that shocks both companies and employees. Employers must now pay 100,000 USD per H-1B worker when the employee enters the United States. The proclamation takes effect on September 21, 2025, and will remain active for 12 months unless extended.
For organizations that depend on skilled H-1B workers, this is not a minor adjustment. It directly affects workforce planning, budgets, and delivery timelines.
Details of the H1B Visa 100k Fee
The proclamation imposes a mandatory fee of 100,000 USD per worker at the point of entry or reentry.
- Effective date: September 21, 2025, 12:01 a.m. EDT
- Duration: Initially 12 months
- Scope: All H-1B beneficiaries outside the United States attempting to enter
The Department of Homeland Security has been instructed to withhold approvals for cases where the worker is abroad and the fee has not been paid. The U.S. State Department is also expected to align consular processes to block workarounds.
Groups Most Affected
Workers Inside the United States
- They can continue working.
- If they travel abroad, they cannot return without the fee being paid.
Workers Outside the United States
- They will be refused entry unless the employer pays or secures a national interest exception.
October 1 Start Cases
- Those abroad will not be able to enter without the payment.
- Those already in the U.S. may start, but must avoid international travel.
Transfers, Amendments, and Extensions
- Cases filed inside the U.S. can proceed.
- Cases requiring travel will be subject to the new fee.
Dependents (H-4 Visas)
- If the principal H-1B worker is blocked, dependents are also affected.
Business Risks Created by the Rule
Financial Exposure
Paying 100,000 USD per worker is not sustainable, especially for mid-sized companies or those with multiple employees abroad.
Operational Disruption
Blocked employees mean stalled projects. IT, finance, and healthcare companies are particularly vulnerable.
Legal Uncertainty
Challenges to the rule may be filed, but outcomes are unclear. Businesses cannot afford to wait for litigation.
A Smarter Alternative to Paying the Fee
It is important to note that the rule applies only to entry into the United States, not to work performed abroad. This opens the door to an immediate, compliant solution: continuing employment from India.
How Elatre Enables Continuity
Elatre provides a 72-hour Employer of Record pathway that allows U.S. companies to:
- Legally employ H-1B workers in India under Elatre’s payroll
- Manage payroll, PF, ESI, gratuity, and professional tax
- Provide GST zero-rated invoicing with FIRC and e-BRC evidence
- File SOFTEX for IT exports to maintain compliance
- Deliver data protection aligned with India’s DPDP Act
- Offer both secure remote setups and physical office space in Chennai
This approach allows businesses to avoid the 100,000 USD fee while keeping employees productive.
Applying the Alternative in Real Situations
- Employees already in the U.S.: They continue working. Elatre can step in if travel becomes necessary.
- Employees abroad now: Elatre can onboard them in India within 48 hours.
- October 1 starters: Work can begin from India without delays.
- Employees who need to travel: Elatre ensures work continues even if reentry is blocked.
Common Questions
Does the H1B Visa 100k fee apply to everyone?
No. It applies only to employees entering or reentering the U.S. from abroad.
Is this a one-time or recurring fee?
It applies to each entry or petition. Employers should treat it as recurring risk.
Are exemptions possible?
Yes, DHS may grant national interest exceptions, but approvals are uncertain.
How quickly can Elatre onboard employees?
In 48–72 hours, including contracts, payroll setup, and compliance.
How does Elatre manage compliance?
By handling payroll filings, GST invoicing, SOFTEX, and DPDP compliance, with full audit documentation.
Protecting Your Workforce Without Paying 100,000 USD
The H1B Visa 100k rule is disruptive, but companies do not need to accept the cost. With Elatre’s alternative pathway, employees can remain in India, fully employed, and projects can continue without interruption.
👉 Book a call with Elatre to secure your workforce and protect your operations before onboarding capacity is full.
