What Are H-1B Cap-Exempt Jobs?

For international students looking to continue working in the U.S. after graduation, the H-1B visa remains one of the most common employment pathways. Most H-1B visas are issued through an annual lottery administered by U.S. Citizenship and Immigration Services (USCIS) and are subject to an annual cap of 85,000 visas.

However, certain employers are exempt from both the annual cap and the lottery, offering international students a more flexible and predictable route to work authorization. These H-1B cap-exempt jobs are especially important to understand as H-1B selection becomes more competitive heading into 2026.

What is the H-1B Visa?

The H-1B is a nonimmigrant work visa that allows U.S. employers to hire foreign workers in specialty occupations requiring at least a bachelor’s degree or equivalent experience. It is one of the most common post-graduation visa pathways for international students.

Because demand far exceeds supply, USCIS limits the number of cap-subject H-1B visas issued each year through a lottery system. As of 2026:

• 65,000 visas are available under the regular cap

• 20,000 additional visas are reserved for individuals with a U.S.-earned master’s degree or higher

Applicants for cap-subject H-1Bs can generally only enter the lottery once per year, with registration in March and employment beginning in October.

What is an H-1B Cap-Exempt Job?

An H-1B cap-exempt job is a role with an employer that is not subject to the annual H-1B cap or lottery. These employers can file H-1B petitions at any time of year, without waiting for the March lottery window.

Cap-exempt employers generally include:

• Nonprofit institutions of higher education, such as accredited U.S. colleges and universities

• Nonprofit entities affiliated with institutions of higher education, including teaching hospitals and research institutes

• Nonprofit or U.S. government research organizations engaged in advancing knowledge in specialized fields

While these employers are exempt from the cap and lottery, all standard H-1B eligibility requirements still apply.

Wage Requirements For H-1B Cap-Exempt Jobs

There is no special minimum salary threshold unique to cap-exempt H-1B roles. Instead, employers must follow standard H-1B wage rules, which require paying at least the prevailing wage or the employer’s actual wage, whichever is higher.

Wage levels are determined based on:

• Job responsibilities

• Location

• Experience level

• Industry and employer type

Because many cap-exempt employers are nonprofit or research-based, salaries may be lower than private-sector roles, though this varies widely by field and institution.

Benefits of an H-1B Cap-Exempt Job

H-1B cap-exempt roles can offer meaningful advantages for international students—especially for those looking to avoid the uncertainty and timing constraints of the annual H-1B lottery. Because these roles are not subject to the cap or lottery, they provide a more predictable path to U.S. work authorization after graduation.

Key benefits include:

• Bypass the H-1B lottery – Cap-exempt petitions are not subject to the annual lottery, removing reliance on chance and increasing the likelihood of securing work authorization.

• Year-round filing flexibility – Employers can submit H-1B petitions at any time during the year, rather than only during the March registration window.

• Faster access to work authorization – Without lottery delays, students may be able to transition more smoothly from OPT or STEM OPT to H-1B status.

• Reduced uncertainty – The ability to apply year-round and avoid the lottery provides greater predictability for both students and employers when planning post-graduation employment.

Challenges and Considerations for an H-1B Cap-Exempt Job

While H-1B cap-exempt roles can offer greater flexibility, they also come with important tradeoffs that international students should weigh carefully when planning their careers.

Key considerations include:

• Sponsorship is not guaranteed – Even if an employer qualifies as cap-exempt, sponsorship depends on institutional policy, budget, and role-specific needs.

• Fewer available opportunities – Cap-exempt roles are typically concentrated in higher education, healthcare, and research, which may limit options depending on your field or preferred location.

• Competitive hiring environment – Because these roles bypass the H-1B lottery, they can attract a larger pool of applicants, making competition more intense.

• Potential salary differences – Nonprofit and research-based employers may offer lower compensation compared to private-sector, cap-subject employers, though this varies by institution and role.

• Future visa transitions – If you later move from a cap-exempt employer to a cap-subject employer, you will generally need to enter the H-1B lottery in a future cycle.

How to Find H-1B Cap-Exempt Jobs

Job postings rarely state whether a role is cap-exempt, so researching the employer is key. The Interstride Career Portal allows students to search for international-friendly jobs using filters such as visa sponsorship and H-1B cap-exempt employers, making it easier to find roles that may qualify as cap-exempt.

Additional tools like MyVisaJobs.com can provide insight into employers that have historically filed cap-exempt H-1B petitions. While not exhaustive, these databases can serve as a helpful secondary reference when researching potential employers.

Processing Times And Fees

Processing times vary by case and service center, but cap-exempt petitions are often faster than cap-subject petitions.

• Typical processing: 2–6 months, depending on workload and case complexity

• Premium processing may be available in some cases

H-1B sponsorship fees are generally paid by the employer and may range from $4,000 to $9,000+, depending on filing fees, legal fees, and petition complexity.

Final thoughts

H-1B cap-exempt jobs offer international students a valuable alternative to the lottery-based H-1B process. It provides greater flexibility, predictability, and faster access to work authorization in the U.S., especially as selection rules tighten in 2026.

That said, cap-exempt eligibility does not guarantee sponsorship, and these roles come with tradeoffs around salary, availability, and long-term mobility. International students should carefully evaluate employer policies, compensation, and future visa transitions when considering cap-exempt opportunities.

With early planning and a clear understanding of all available pathways, students can make more informed decisions about post-graduation employment in the U.S.—even in a more competitive H-1B landscape.