The US Department of Homeland Security (DHS) has proposed a $70,000 fee for US educational institutions for the initial Optional Practical Training (OPT) recommendation for an international student, followed by a $30,000 fee for each subsequent OPT recommendation, including STEM OPT extensions.
The proposed rule, issued by US Immigration and Customs Enforcement on October 7, is not yet in effect. The fees would be paid by the educational institution, rather than directly by the international student. Current OPT rules and fees remain unchanged while the proposal goes through the regulatory process.
What is the new OPT fee proposal?
Under the proposal, a school would have to pay $70,000 for an F-1 student's first OPT recommendation. Any subsequent OPT recommendation for the same student would carry a $30,000 fee.
The subsequent fee would apply to further OPT participation, including the 24-month STEM OPT extension available to eligible graduates.
This means a student who uses the initial 12-month OPT period and then qualifies for the STEM extension could result in a total of $100,000 in proposed fees for the institution.
DHS is proposing that the fee be paid before the school's designated official can make the relevant OPT recommendation in the Student and Exchange Visitor Information System (SEVIS).
What is OPT?
Optional Practical Training allows eligible F-1 international students to gain temporary work experience related to their field of study.
Students can generally receive up to 12 months of OPT. Those who complete qualifying STEM degrees can seek a further 24-month STEM OPT extension, allowing up to three years of work authorisation in total.
OPT is widely used by international graduates seeking US work experience after completing their degrees. It can also provide a route towards employment under the H-1B programme.
During the 2024-25 academic year, 294,253 international students were participating in OPT, according to Open Doors data, a 21% increase from the previous year.
Why is DHS proposing the fee?
DHS says the proposed fees are intended to address fraud and misuse of the OPT programme, strengthen the integrity of the immigration system and protect US workers.
The department has argued that the fee would ensure that schools, students and employers are engaging in legitimate training activities consistent with F-1 student status.
The proposal comes amid wider changes to US immigration and international student policies under the Trump administration.
Why does it matter to Indian students?
India is the largest source of international students in the US. Open Doors recorded 363,019 Indian students in the US during the 2024-25 academic year, a 10% increase from the previous year. India also recorded 143,740 students on OPT, up 47.3% from 2023-24, according to the 2025 Open Doors India fact sheet.
Indian students could be particularly affected if universities decide that absorbing the proposed fees is too expensive. The impact would be especially relevant to STEM graduates who depend on the additional 24-month OPT extension.
The National Association of Foreign Student Advisers (NAFSA) has criticised the proposal. Its CEO, Fanta Aw, said the new fee structure creates “deep uncertainty for international students” and argued that OPT helps fill labour shortages in high-demand STEM fields.
When could the new fee take effect?
The proposal must first go through the federal rulemaking process.
The proposed rule is scheduled for publication in the Federal Register, after which there will be a public comment period. DHS has proposed that the final rule take effect 60 days after publication of the final rule. The $70,000 fee would apply prospectively to OPT recommendations dated on or after the rule's effective date.
Until then, the $70,000 and $30,000 fees are not in force and current OPT requirements remain unchanged.
