US OPT fee proposal moves closer to publication: What it could mean for Indian students

The proposal was submitted by Immigration and Customs Enforcement (ICE) to OIRA on August 20. The record identifies it as a “Proposed Rule” and lists the review conclusion as “Consistent with Change”. The publication date has not yet been listed.

What happens next

The next major step is publication of the proposal in the Federal Register. The proposed rule is expected to provide details on the fee amount, who would be responsible for paying it, which categories of OPT applicants could be covered, and when the fee could take effect.

Completion of OIRA review does not mean the fee is currently in effect. It also does not mean President Donald Trump personally approved the proposal or that the White House has approved a $100,000 OPT fee specifically.

The actual proposed rule will have to go through the notice-and-comment process under the Administrative Procedure Act. DHS would publish the proposal, allow the public to submit comments, and then issue a final rule with an effective date.

Why Indian students could be affected

OPT allows eligible F-1 international students to work in the US in jobs related to their field of study after completing an academic programme. Students who qualify for the STEM OPT extension can seek an additional 24 months of employment authorisation.

The post-study work opportunity is particularly important for Indian students because many pursue US master’s degrees with the expectation that employment after graduation will help offset the high cost of education.

Immigration attorneys Gnanamookan Senthurjothi and Veena Vijay Ananth, founders of The Visa Code, told Financial Express (Digital) the reported $100,000 fee, if adopted, could significantly change that calculation.

They stated, “The reported $100,000 OPT fee, if ultimately adopted, would be a major financial barrier for international students, particularly Indian students who often rely on OPT and STEM OPT to recover the substantial cost of a U.S. education through post-graduation employment. A six-figure fee could make the economics of pursuing a US degree substantially less attractive.” 

It is still important to note that the actual proposed rule has not yet been published. Therefore, it is too early to say definitively whether the $100,000 figure will be the final amount, who would be responsible for paying it, or whether it would apply to existing OPT or STEM OPT holders.

Attorneys also explained that if the fee is imposed on the student, it could make obtaining a first US job extremely difficult. If the employer is required to bear the cost, employers may become reluctant to hire international graduates because of the additional six-figure immigration cost. Either approach could significantly reduce the practical value of OPT.

For Indian students, this could affect the decision to pursue US higher education in the first place. The post-study work opportunity is an important part of the return-on-investment calculation for a US master’s degree. A $100,000 OPT charge could cause some students to consider Canada, the UK, Australia, or other destinations instead.

Students already in F-1 status or currently working on OPT should not assume that they will be subject to the reported fee. The applicability to existing OPT holders and to future STEM OPT extensions will depend on the transition and applicability provisions in the actual rule.

Senthurjothi added that there could also be significant legal challenges. DHS would need clear statutory authority for such a substantial fee and would have to comply with the Administrative Procedure Act, including notice-and-comment requirements and the requirement that the agency adequately explain and justify its decision. A $100,000 fee could face particular scrutiny if it bears little relationship to the government’s actual costs of administering OPT.

Finally, completion of OIRA review does not mean the fee is immediately effective. DHS must still publish the proposed rule, allow the required rulemaking process, and ultimately publish a final rule with an effective date. Until then, the reported $100,000 amount should be treated as a proposal under consideration, not as a fee currently payable by OPT applicants.”

Existing OPT students may not be immediately affected

The impact on students already in the US will depend on the final rule and its transition provisions. Kevin J. Andrews, Founder and Principal Attorney at Kevin J. Andrews Law, LLC, said, “Typically new substantive rules don’t have retroactive effect so students already here on OPT would likely not be affected but those filing future STEM OPT extensions after the transition period could be impacted.”

Andrews said the uncertainty surrounding US immigration policy could also influence where international students choose to study and work.

He also stated, “Students and their families see all this uncertainty as enough to look elsewhere to invest in their professional futures. Traditional alternatives like Canada may be one option, but Germany recently reported a big uptick in Indian student attendance, and nontraditional places like China (with the K visa) and Russia (with its recent relaxing of conditions for work visas) are becoming more attractive as U.S. immigration policy becomes less certain.”

Legal challenges could follow

The proposed OPT fee could face legal scrutiny if DHS moves ahead with a substantial charge. Andrews said the rule would have to undergo the formal rulemaking process before it could take effect.

Andrew stated, “The rule would need actual language that goes through a notice-and-comment rulemaking process under the Administrative Procedure Act. DHS publishes the proposal, takes public comment, then issues a final rule with an effective date, but it cannot take effect on publication.

He also added that recent litigation on related fees would indicate this type of fee has an uphill legal battle. The $100,000 H1B proclamation payment was struck down in court on four independent grounds. One was that the agencies issued what amounted to a legislative rule without going through notice and comment. A proper proposed rule with a comment period addresses that specific problem.

More fundamentally, the court also held that the agencies exceeded their statutory authority, and when the government asked the First Circuit to pause the ruling, the appeals court denied that request on July 24, 2026. The OPT rule is a little different than the H1B proclamation, but both are mainly about whether this is an agency filing fee or an effective tax that requires an act of Congress.

$100,000 figure remains unconfirmed

The reported $100,000 amount has not been confirmed by DHS. Andrews said the figure originated from a Wall Street Journal report published on July 30, 2026.

“The $100,000 number traces to Wall Street Journal reporting on July 30, 2026, attributed to people familiar with the matter but DHS hasn’t confirmed it. But with the H1B 100K proclamation fee and the proposed $103,265 fee for cap cases, that number isn’t off base with this administration. Without a proposed rule, details about who would have to pay the fee remain unsettled.”

Indian students considering US higher education, as well as those already studying in the country, will have to wait for the proposed rule to be published before the financial and immigration implications become clearer. The OIRA review marks an important step in the process, but the reported $100,000 OPT fee is not currently payable and its final amount, scope, and applicability remain uncertain.

Disclaimer: This article is for general informational purposes only and does not constitute legal, immigration, or tax advice. Immigration laws and government policies are subject to frequent change without notice. While we strive to provide accurate updates, readers are strongly advised to verify the latest requirements with the official embassy, consulate, or government portal of the respective country. Financial Express is not responsible for any decisions made based on this information. For personalized guidance, please consult a qualified immigration attorney or a certified professional advisor.