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US proposes US$70,000 fee for foreign students to work after graduation

US proposes US$70,000 fee for foreign students to work after graduation

The proposal would charge US$70,000 for each foreign student entering OPT. The university or other certified school would pay before recommending the student, although it could later pass the bill to the student or employer. The fee targets initial participation in OPT, the post-study work programme for eligible F-1 students. Schools must pay before making a recommendation, and USCIS would not issue employment authorisation without payment. A later OPT participation would bring a proposed US$30,000 charge. This matters because the school, not the student, is the first payer, but the financial burden could still shift. The charges are not law yet. DHS planned public comments from October 8 through November 9, and a final rule would begin 60 days after publication. Existing approvals and recommendations issued before then would avoid the fee.

Based on reporting by South China Morning Post

What fee has the US proposed for each foreign student entering Optional Practical Training (OPT), and who would have to pay it first?

The proposal would charge US$70,000 for each foreign student entering OPT. The university or other certified school would pay before recommending the student, although it could later pass the bill to the student or employer.

The fee targets initial participation in OPT, the post-study work programme for eligible F-1 students. Schools must pay before making a recommendation, and USCIS would not issue employment authorisation without payment. A later OPT participation would bring a proposed US$30,000 charge.

This matters because the school, not the student, is the first payer, but the financial burden could still shift. The charges are not law yet. DHS planned public comments from October 8 through November 9, and a final rule would begin 60 days after publication. Existing approvals and recommendations issued before then would avoid the fee.

What is Optional Practical Training, and how does it allow F-1 international students to work in the United States?

Optional Practical Training is a temporary work programme for eligible students holding F-1 visas. It connects classroom learning with practical employment in the United States. The job must relate directly to the student’s field of study.

For example, a student who completes a computer science degree could seek qualifying technology work. The school recommends the student for OPT, then US Citizenship and Immigration Services grants employment authorisation. Students can generally receive up to 12 months at each education level. Graduates in designated STEM fields may qualify for a further 24-month extension.

OPT matters because it gives international graduates a structured way to gain US work experience after studying. It is not automatic permanent residence or an unrestricted work permit. The proposed fee would add a major financial gate before schools could recommend students and before employment authorisation could be issued.

How many Chinese students used OPT in the 2024–2025 academic year, and how large could the proposed charges be at that scale?

Nearly 62,000 Chinese students participated in OPT during the 2024–2025 academic year, according to the Open Doors report. That figure shows how widely the programme matters to one major international student group.

The proposed initial fee is US$70,000 per student. Multiplying US$70,000 by 62,000 students produces approximately US$4.34 billion. This is a scale estimate for initial participation only. It does not include any US$30,000 charges for subsequent participation, nor does it establish that every student would be charged under a final rule.

The total would initially be paid by schools, but institutions could pass the cost to students or employers. That possibility could make OPT harder to access. The proposal remains under review, and existing approvals or recommendations made before the final rule’s effective date would not trigger the fee.

What could happen to international graduates if schools pass the fee to students or employers, or stop recommending students for OPT?

If schools pass the fee onward, international graduates could face a steep bill just as they begin searching for work. Employers might also reject applicants if hiring them creates an added US$70,000 cost. Either outcome could shrink the number of graduates able to use OPT.

The mechanism is direct. A school must pay before recommending a student, and USCIS would not grant employment authorisation without payment. If an institution decides the financial or administrative risk is too high, it could stop recommending some students. Without that recommendation and authorisation, the graduate cannot use OPT lawfully.

The article says this raises questions about how participants would finance the charges. NAFSA warned that the proposal would deepen uncertainty for international students and undermine the economy. The rule is still only proposed, so its final cost, scope, and effects could change after public comments.

Why does the Department of Homeland Security say the fee is needed, and what kinds of visa abuses is it intended to address?

The Department of Homeland Security says the fee is needed to strengthen oversight of OPT and protect American workers. Its announcement argues that the programme should not become a route for exploiting student visa rules or creating unfair employment advantages.

DHS cited schemes involving false employment and “pay-to-stay” arrangements. False employment can involve reporting a job that does not genuinely exist or does not meet programme requirements. “Pay-to-stay” arrangements allegedly use nominal employment to help students remain in the United States. The proposed payment is presented as part of a broader enforcement response.

The department’s position is disputed. Michael Clemens said no research supports the claim that the policy would protect American workers. NAFSA also criticised the proposal, arguing that international students fill shortages and generate jobs. DHS will accept public comments before deciding whether to revise the rule.

What other routes can foreign graduates use to work in the United States after studying, and how does OPT differ from those routes?

The article does not list alternative routes. Under established US immigration rules, foreign graduates may seek employer-sponsored H-1B status for specialty occupations, an O-1 visa for extraordinary ability, or employment-based permanent residence. Some may also qualify for other employment categories based on their circumstances.

These routes work differently. H-1B generally requires an employer petition and is subject to annual limits for many applicants. O-1 requires evidence of extraordinary ability. Employment-based green-card routes are designed for permanent residence and usually involve employer sponsorship or another qualifying basis. OPT instead begins with F-1 student status and a school recommendation.

OPT is temporary and limited to work directly related to the student’s studies. It can generally last 12 months, with a possible 24-month STEM extension. It may provide experience before another route, but it does not itself guarantee long-term status or permanent residence.

Why do countries use student and skilled-worker visa programmes, and how can international graduates affect innovation, productivity, and the wider labor market?

Student and skilled-worker visa programmes help countries attract talent, support universities, and fill shortages that domestic workers cannot immediately cover. They can also build international links and encourage graduates to contribute skills learned through advanced education.

The article gives a concrete case through OPT. International graduates can gain practical experience in fields related to their studies, including high-demand STEM areas. Michael Clemens says US-trained foreign workers increase productivity, benefiting American workers across sectors and skill levels. NAFSA says international students also generate jobs for Americans.

The proposed fee could affect these benefits by restricting access to OPT. Clemens warned that fewer graduates could mean fewer inventions, companies, and competitive advances, though those losses may be difficult to measure. The policy remains unsettled, with public comments scheduled before any final rule takes effect.

Key Facts:

📌 Initial OPT participation would carry a proposed US$70,000 fee.

📌 Certified schools would pay before recommending students for OPT.

📌 Subsequent OPT participation would face a proposed US$30,000 charge.

📌 OPT permits eligible F-1 students to work in study-related jobs.

📌 Students generally receive 12 months at each education level.

📌 Eligible STEM graduates may receive a further 24-month extension.

📌 Nearly 62,000 Chinese students used OPT in 2024–2025.

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