$70,000 US OPT Fee Explained: Who Pays, Who Doesn’t, and What Students Should Do

The US OPT fee story has just become the most alarming headline in international education. The US Department of Homeland Security has proposed charging universities $70,000 for every foreign student they recommend for Optional Practical Training — the work authorization that lets F-1 students work in the US after graduation. A second or extended recommendation would cost another $30,000.

To grasp the scale of the shock: students currently pay around $500 to apply for OPT. Under the proposal, the cost balloons roughly 140 times — and while the fee is officially levied on schools, experts warn the bill may land on students anyway. Here is the full picture: what OPT is, what the proposal actually says, who pays, when it could start, and the practical moves students should make right now.

What Is OPT and What Did DHS Propose?

Optional Practical Training allows international students on F-1 visas to work in jobs directly related to their field of study — up to 20 hours a week while classes are in session, and full-time after graduation. Most students get 12 months; graduates in science, technology, engineering and mathematics (STEM) fields can add a 24-month extension, for 36 months total.

For years, OPT has been the bridge between a US degree and a US career — and often the stepping stone to an H-1B visa. According to the proposal published by DHS on Wednesday, October 7 and scheduled to appear in the Federal Register on October 8, schools would have to pay $70,000 when a student participates in OPT for the first time, and $30,000 for any subsequent OPT recommendation, including a STEM extension.

The math gets brutal for students who split their training: doing pre-completion OPT and then post-completion OPT could cost a school $70,000 plus $30,000 — a total of $100,000 for one student, compared with $70,000 if the whole 12 months happens after graduation.

How the Proposed US OPT Fee Would Work

The mechanics are deliberately strict. Under the proposed rule, the SEVP-certified school — not the student or the employer — pays the fee. The designated school official must pay before recommending the student for OPT, and USCIS will not grant employment authorization if the payment has not been made.

But the fine print offers cold comfort. DHS itself acknowledges that schools can pass the cost on to students or employers — or simply choose not to recommend a student they consider a weak candidate. Education experts fear exactly that outcome: fewer recommendations, higher hidden costs, and a programme that quietly stops being the magnet it was.

Who Pays the $70,000 OPT Fee — Really?

On paper, the answer is clear: universities pay. In practice, analysts see three likely outcomes: wealthy schools absorb it to stay competitive; most pass the cost on through higher international tuition or “OPT processing surcharges”; or smaller colleges quietly stop recommending weaker candidates — which, critics note, may be the point, since the fee doubles as a filter.

For students and families budgeting a US degree, this turns a ~$500 application step into a five-figure risk factor.

When Would It Start? Will It Affect Current Students?

The single most-searched question right now has a reassuring answer: the fee would apply only prospectively. It would kick in for DSO recommendations dated on or after the final rule’s effective date. Existing OPT authorizations and STEM extensions would not be charged retroactively.

But the timeline is anything but fast. The proposal now enters a public comment period, after which DHS must review feedback and publish a final rule with a transition period. Reuters notes the change is likely to face swift legal challenges from universities and business groups — any court fight could delay or reshape the final version significantly.

Bottom line: nothing is in effect today. Students currently filing or planning OPT applications should continue with the normal process and current fees.

Why Is the US Doing This?

DHS frames the move as an anti-fraud measure. A department spokesperson said Optional Practical Training was “never meant to be a back door into the American workforce, a subsidy for cheap labor, or a prize for those who game the system,” arguing the programme has been exploited through fraudulent worksites and “pay-to-stay” visa schemes. The fee, the department says, would force schools to scrutinize whom they recommend and protect American workers from being undercut.

Critics see it differently. Labor and mobility policy voices warn it would “decimate America’s STEM talent ecosystem,” while researchers argue it will hurt innovation and ultimately cost taxpayers. The proposal fits the Trump administration’s wider reshaping of US policy on foreign talent, which has also targeted H-1B visas with increased fees — a sharp turn from the 2024 campaign suggestion that foreign graduates should get green cards automatically.

Amid a volatile US economy, the administration is betting voters reward protecting domestic workers over the tuition revenue and hiring pipelines international students bring. Universities — and the US tech giants that depend on foreign engineering talent — are expected to fight the rule hard.

What International Students Should Do Now

Panicking helps no one, but ignoring the proposal is equally unwise. Here is a practical checklist:

1. Keep your current plans on track. Nothing has changed yet. If you are eligible for OPT now, file normally and pay the current fee. Do not delay an application waiting for clarity.

2. Talk to your DSO early. Your designated school official will know your school’s stance first. Ask directly: how is the university responding, and would it pass any future fee to students?

3. Watch the Federal Register, not rumors. Social media is already full of claims the fee is already in force. It is not. The proposal must survive comments, a final rule, and likely lawsuits before a dollar changes hands.

4. Get professional advice for edge cases. If you are splitting pre- and post-completion OPT, consolidating to post-completion only could halve your exposure. An immigration attorney or your school’s international office can confirm.

5. Keep backup destinations realistic. Canada, the UK, Australia and Germany are actively courting the students the US may push away. Having a Plan B is no longer pessimism — it is prudence.

US OPT Fee: Frequently Asked Questions

How much is the proposed US OPT fee?
$70,000 for a student’s first OPT recommendation and $30,000 for each subsequent recommendation, including STEM extensions — paid by the university, not directly by the student.

Do students pay the $70,000 OPT fee themselves?
No — the proposal charges SEVP-certified schools. But DHS allows schools to pass the cost to students or employers, so many families could feel it indirectly through higher fees or fewer recommendations.

Will the OPT fee apply to current students?
No. It would apply prospectively to recommendations dated on or after the final rule’s effective date. Existing authorizations are not affected.

Is the $70,000 OPT fee in effect now?
No. As of October 8, 2026, it is only a proposed rule. It must go through a public comment period, a final rule, and likely legal challenges before taking effect.