FY 2027 H-1B Lottery FAQ (2027 “H-1B Cap Season”)

Posted on Feb 24, 2026 by Chris Prescott

The FY 2027 H-1B cap season is here, and it comes with meaningful changes. USCIS has introduced a new wage-weighted selection process that favors higher-paid positions, making salary, wage level and location more important than ever. Employers should also be aware of the $100,000 penalty fee, which may apply to certain cases, including candidates outside the U.S., those requiring consular processing, or individuals who have failed to maintain valid status.

1) What are the key FY 2027 registration dates?

USCIS confirmed the initial FY 2027 H-1B cap registration window opens March 4, 2026, at noon (ET) and closes March 19, 2026, at noon (ET). 

USCIS will run selections after the window closes, and plans to post results no later than March 31, 2026. 

If selected, the initial filing period to submit the cap-subject H-1B petition typically begins April 1, 2026, and runs through June 30,2026.

2) Where do employers register for the lottery?

The H-1B cap registration is hosted inside the myUSCIS online portal.

3) What is the registration fee for FY 2027, and how is it paid?

The FY 2027 registration fee is $215 per beneficiary (nonrefundable). 

It’s paid online via Pay.gov as part of submitting the registration. 

Important: If the fee isn’t properly paid/processed, the registration can end up invalid (and you don’t get the $215 back).

4) Can we “draft” registrations before March 4?

No.  USCIS requires users to wait until the registration period opens to enter and submit beneficiary registrations (practically: don’t plan on uploading/drafting early in the portal).

5) How do attorneys and employers collaborate in the new system?

USCIS uses an “organizational account” structure with a digital handshake between the employer’s organizational account and the attorney’s representative account.

Typically:

  • The employer creates an organizational account and invites the attorney, or
  • The attorney sets up the relationship by adding the company and inviting the employer admin.

Once linked, the legal team can prepare drafts; the employer’s authorized signatory reviews/attests.

6) How does the “beneficiary-centric” selection work?

Under the beneficiary-centric model, each person gets one “entry” based on their identifying document information (passport/travel document). Multiple employers can still register the same person, but the system is designed to prevent “stacking” entries for the same beneficiary

PSBP Law H-1B Lottery FAQ graphic featuring business professionals reviewing a bar chart labeled “Selection Weight” during a conference room presentation.

7) What is the new FY 2027 “weighted” lottery system?

DHS finalized a rule replacing a purely random selection with a wage-based weighted selection model for FY 2027 registrations. The stated rationale is to prioritize “higher-paid/higher-skilled” positions and reduce incentives for lower-wage cap filings. 

Effective date: February 27, 2026, which means it applies for the FY 2027 cap season. 

Under the weighted selection system, registrations would be prioritized based on the wage level offered:

  • Level IV wages receive 4 entries
  • Level III wages receive 3 entries
  • Level II wages receive 2 entries
  • Level I wages receive 1 entry

For further details please check out our previous article.

8) What position details must be provided now (that weren’t required before)?

Because of the weighted selection framework, the FY 2027 registration requires more position-specific data than prior years, including:

  • SOC code
  • Worksite location(s) / area(s) of intended employment
  • Offered salary
  • OEWS wage level (I–IV) tied to that salary/location/SOC
9) Can related entities (subsidiary/parent/affiliate) each register the same person?

Potentially yes, if each entity can show a legitimate business need and there are real, separate job opportunities.

But if USCIS views it as improper “gaming” (not legit, not separate opportunities), it can create denial/revocation risk across filings.  Additionally, with the beneficiary- centric selection process filing through multiple entities no longer provides an advantage.

10) Do we need an LCA to register?

No. An LCA is not required for the registration itself, but it is required to file the actual H-1B petition after selection.

11) Does the $100,000 fee apply to the FY 2027 H-1B lottery?

Yes.  The $100,000 fee applies to H-1B petitions filed on or after 12:01 a.m. EDT on September 21, 2025, if one or more of the following conditions are met:

  • The beneficiary is outside the United States and does not hold a valid H-1B visa;
  • Consular notification is selected as the requested action on the Form I-129; or
  • USCIS approves the petition but denies the change or extension of status, or the beneficiary departs the U.S. while the petition is pending.

Whether this fee applies depends on the beneficiary’s location, immigration status, and the requested action at filing, so these factors should be evaluated carefully before submission..

12) How can employers improve the chances of their employees being selected?

Employers should carefully evaluate three key factors: the offered wage, the correct SOC code, and the geographic location where the work will be performed. Under the new weighted selection system, USCIS focuses on how the offered wage compares to prevailing wage levels for that specific SOC code and location.

For example, a software developer earning $150,000 in California may only qualify as a Level I wage due to higher prevailing wage standards, resulting in just one entry in the lottery. By contrast, that same $150,000 salary in a lower-wage market, such as Iowa, could qualify as a Level IV wage, resulting in four entries.

In short, location is critical. Employers should think strategically about where the work is performed and ensure the wage level selected is both accurate and defensible, as these decisions now directly affect lottery odds.  For roles that can be performed remotely, there may be greater flexibility to designate lower-wage locations, potentially improving selection chances, so long as the worksite and wage level are legitimately supported.

For questions regarding the upcoming lottery e-mail PSBP Partner, Chris Prescott at cprescott@psbplaw.com.