Will Trump's Reported $100,000 OPT Fee Price Indian Students Out Of The American Dream?

The Trump administration is reportedly considering imposing a $100,000 fee on international graduates applying for work authorisation under the Optional Practical Training (OPT) programme, a move that could fundamentally change the economics of studying in the United States.

The proposal would apply to foreign graduates on F-1 student visas seeking post-study employment through OPT, a programme that has long served as the main bridge between an American university degree and the US labour market. Although the administration has not formally announced the proposal, the reported fee would represent an unprecedented increase from the current Form I-765 application fee of $470 for online filings and $520 for paper applications.

For Indian students, who now form the largest international student community in the United States, the proposal could significantly alter the financial calculations behind pursuing an American education.

Why OPT Matters

Optional Practical Training allows international students on F-1 visas to work in the United States in jobs related to their field of study after graduation. Most graduates are eligible for up to 12 months of employment, while those in Science, Technology, Engineering and Mathematics (STEM) disciplines can extend their work authorisation by an additional 24 months.

The programme has become one of the most important pathways for international graduates because it allows them to gain professional experience before seeking longer-term employment through the H-1B visa system.

Unlike H-1B visas, OPT does not have an annual numerical cap on eligible F-1 graduates receiving work authorisation, making it the principal route through which many international students enter the American workforce after graduation.

Why Indian Students Would Be Among The Most Affected

Indian students are likely to be among the groups most affected by the reported proposal.

According to the Institute of International Education's Open Doors 2025 report, US institutions hosted 363,019 students from India during the 2024–25 academic year, accounting for 30.8% of all international students in US institutions. Separate data from Ministry of External Affairs (MEA) recorded 255,447 Indian students studying in the United States in January 2025, with the difference reflecting varying data collection methodologies.

Indian students also have a strong presence in STEM disciplines such as engineering and computer science, fields that frequently qualify graduates for the extended STEM OPT programme.

For many families, the opportunity to work in the United States after graduation helps justify the high cost of an American degree. A $100,000 OPT fee would dramatically increase that cost, particularly when added to tuition, accommodation and living expenses that already run into tens of thousands of dollars.

What It Could Mean For US Universities

The implications extend well beyond international students.

According to NAFSA: Association of International Educators, international students contributed $42.9 billion to the US economy during the 2024–25 academic year through tuition, housing and everyday spending, supporting more than 355,000 jobs.

Many universities, particularly those with large graduate STEM programmes, have increasingly depended on international enrolment revenue. If a substantially higher cost of post-study employment discourages overseas applicants, universities could face declining enrolment and reduced income from one of their fastest-growing student groups.

A Potential Blow To US Employers

The proposal could also affect employers.

Technology companies, healthcare providers and engineering firms are among the major sectors that employ international graduates through OPT before sponsoring some workers for H-1B visas. Because OPT allows graduates to begin working immediately after completing their degrees, it has become an important talent pipeline for sectors facing skilled labour shortages.

The reported proposal would effectively shift the cost of accessing that pathway onto graduates themselves, potentially discouraging highly qualified students from entering the US labour market altogether.

The National Foundation for American Policy has argued that immigration has become increasingly important to US labour-force growth, warning that tighter immigration pathways could reduce workforce expansion and economic growth over the coming decade.

Would Students Choose Other Countries Instead?

The United States already faces growing competition for international students.

Countries such as Canada, the United Kingdom and Australia all offer post-study work pathways without a comparable six-figure fee. India's Ministry of External Affairs estimates that more than 427,000 Indian students study in Canada, about 196,000 in Australia and more than 173,000 in the United Kingdom.

OECD data also show that while the United States remains one of the world's leading destinations for international students, other destinations have expanded their international education sectors by linking higher education with post-study employment opportunities.

A $100,000 OPT fee could accelerate that shift, particularly among Indian students, who make up one of the world's largest internationally mobile student populations.

What Happens Next?

For now, the proposal remains unconfirmed.

The Trump administration has not formally announced a rule change, and any revision to OPT fees would likely require a regulatory process through the Department of Homeland Security and US Citizenship and Immigration Services (USCIS), including public consultation before implementation.

If eventually adopted, however, the proposal would represent one of the biggest changes to the United States' post-study work system in decades. Beyond increasing costs, it would challenge one of the central attractions of an American degree: the opportunity to gain professional experience in the world's largest economy after graduation.

For Indian students weighing where to study, the reported proposal could become as important as tuition fees or university rankings in deciding whether the American dream remains financially attainable.