Proposed $100,000 fee on US foreign graduate work permit could hit Indian students hard

The Trump administration is considering a $100,000 fee for international graduates who wish to work in the United States under the Optional Practical Training (OPT) programme, a move that could particularly affect Indian students and make US universities less attractive to foreign applicants.

According to a report by The Wall Street Journal, the proposed charge would apply to OPT, a work-authorisation extension of the F-1 student visa that permits foreign graduates to work in the US for one to three years in fields related to their studies. Around 419,000 foreign nationals were on OPT in 2024, the most recent year for which data is available.

The proposal, if implemented, would mark a significant step in the administration's broader push to restrict legal immigration. Universities, which depend on international students for revenue, and technology and finance companies that hire many international graduates, would be among those most affected.

The OPT programme was introduced in 1992 and acts as a bridge between the F-1 student visa and the H-1B work visa. Graduates can work for 12 months, with STEM graduates eligible for an extension of up to 24 months, bringing the total to 36 months.

Indian students form the second-largest group of international students in the US and account for a significant share of OPT recipients. A six-figure fee could place the programme out of reach for many, analysts say.

The proposal follows a US court ruling that struck down an earlier plan to impose a $100,000 fee on H-1B visas. In June 2026, a federal judge in Massachusetts ruled the fee was a charge Congress had not authorised; the decision was upheld by the First Circuit in July 2026. The administration has not confirmed the new OPT fee, but it has not denied the report either.

Economists and policy experts have warned that ending or restricting OPT could carry large economic costs. A brief by the Peterson Institute for International Economics suggested eliminating OPT altogether could have a significant impact on US GDP, although the specific effect of a fee alone is not yet clear.

The proposal is still under discussion, and details such as whether the fee would be one-time or annual have not been specified. The White House has said there is no imminent change, but the administration has continued to finalise other immigration restrictions. In July 2026, the Department of Homeland Security finalised a rule capping student-visa stays at four years.

For Indian students, the US remains a top destination for higher education and career opportunities. The introduction of a high fee could prompt many to consider other countries, such as Canada, Australia, or the UK, which offer more accessible post-study work options.

The full impact of the proposal will depend on its final form and whether it can withstand legal scrutiny. For now, it remains a proposal—one that has sparked concern among students, universities, and employers alike.