H-1B Is The Most Restrictive Visa Category In the U.S. Immigration System

H-1B Background

In 1990, Congress established a 65,000 annual limit on new H-1B petitions for high-skilled foreign nationals. In 2004, the H-1B annual limit became 85,000 after lawmakers exempted 20,000 individuals a year who earned a master’s degree or higher from a U.S. university. Companies have exhausted the supply of new H-1B visas since FY 2004. Before 1990, employers could hire professionals on H-1 visas without a numerical ceiling. In 2000, Congress exempted H-1B petitions for U.S. universities and nonprofit and government research institutions from the annual limit.

H-1B Is The Most Restrictive Visa Category

Due to the 85,000 numerical ceiling, getting permission to sponsor a highly skilled worker is arduous. “The low annual limit on new H-1B petitions makes the category the most restrictive visa in the U.S. immigration system,” according to a new National Foundation for American Policy analysis. “In FY 2025, employers filed at least 423,028 eligible H-1B registrations, but USCIS could only allow 85,000 new foreign nationals to obtain H-1B status under the annual limit, an approval rate of only 20%.”

More than 300,000 eligible high-skilled individuals could not gain H-1B status to work in the United States in FY 2025 because of the annual limit. Analysts say the low H-1B ceiling has bedeviled employers and made it harder for the United States to retain talented individuals, including international students.

Comparing H-1B to Other Visa Categories

The analysis found that getting any other major visa is much easier than an H-1B visa. Although only 20% of new H-1B applications turn into workers under the 85,000 limit, the U.S. government approved 72% of individuals who applied for visitor visas (B1/B2) in FY 2024 and 89% of J-1 visas, which include exchange visitors such as researchers and summer workers.

Immigration Critics Overlook High Fees And The H-1B Annual Limit

In January 2025, Sen. Bernie Sanders (I-VT) criticized the category after Elon Musk defended H-1B visas. Sanders repeated arguments he had used since at least 2009, including that H-1B visa holders are “low-paid guest workers.” Data show the reality is quite different.

The average annual salary for an H-1B visa holder in computer-related occupations in 2023 was $132,000, and the median salary was $122,000, according to USCIS statistics. “The USCIS data show H-1B visa holders are paid high salaries, and it contradicts the idea that these are low-skilled people since employers would not pay people with low skills high salaries,” said NFAP’s Mark Regets.

The law requires employers to pay the higher of the prevailing or actual wage paid to similar U.S. workers with similar experience levels. Companies point out that legal and government fees for filing an initial H-1B petition and an extension could cost employers up to $34,900 and much more to sponsor a professional for permanent residence.

Conclusion

The H-1B visa is the most restrictive category in the U.S. immigration system, with a low annual limit of 85,000 new petitions. This has resulted in a high rejection rate and a lack of access to the U.S. job market for highly skilled foreign nationals. The data shows that H-1B visa holders are paid high salaries and are not low-paid guest workers.

FAQs

Q: What is the purpose of the H-1B visa?
A: The H-1B visa allows U.S. employers to hire foreign-born scientists, engineers, and other highly skilled individuals to work in the United States.

Q: What is the annual limit on new H-1B petitions?
A: The annual limit is 85,000 new H-1B petitions.

Q: What is the approval rate for H-1B visas?
A: The approval rate for H-1B visas is only 20%, with over 300,000 eligible high-skilled individuals unable to gain H-1B status in FY 2025 due to the annual limit.

Q: What are the average and median salaries for H-1B visa holders in computer-related occupations?
A: The average annual salary is $132,000, and the median salary is $122,000.

Q: What are the legal and government fees associated with filing an initial H-1B petition and an extension?
A: The fees can cost employers up to $34,900 and much more to sponsor a professional for permanent residence.