H-1B cap-gap for employers: keeping an F-1 OPT worker on payroll until October 1

Cap-gap is an automatic extension, not an application. When an employer timely files an H-1B cap-subject petition that asks USCIS to change an F-1 student's status, the student's F-1 status and any post-completion OPT or STEM OPT work authorization are extended until April 1 of the fiscal year requested or the approved petition's start date, whichever is earlier, under 8 CFR 214.2(f)(5)(vii). The employer's job is to file the petition correctly, keep Form I-9 current and act quickly if the petition fails. As of November 2026, DHS says its new fixed-admission rule for students did not change cap-gap.

Cap-gap exists because a cap petition may be filed no more than six months before the start date, so the earliest filing is April 1 for an October 1 start, and an OPT card can expire in between. For hiring the student in the first place, see hiring F-1 OPT students; for the Form I-9 entries in detail, see Form I-9 for H-1B workers.

How does the cap-gap timeline run?

An example, with illustrative dates: a student's OPT card expires June 30, 2026. The employer registered in March, was selected and filed a change-of-status petition on April 15, 2026 for an October 1, 2026 start. From July 1 the student keeps working on cap-gap; if USCIS approves, H-1B status begins October 1, 2026; if the petition is still pending then, the extension can run to April 1, 2027, the April 1 that falls in fiscal year 2027.

The weighted selection comes from DHS's final rule of December 29, 2025, effective February 27, 2026. USCIS's cap season page explains that a registration at wage level IV is entered in the selection pool four times and one at level I once, so the wage you offer affects the odds.

What makes the petition "timely filed"?

USCIS's cap-gap page and M-274 Section 7.4.2 set the conditions. The petition must:

• request a change of status, not consular processing;
• be properly filed during the filing period that begins April 1, based on a valid, selected registration for the same student and fiscal year;
• request a start date in the fiscal year for which H-1B status is sought, and be non-frivolous; and
• be filed while the student's F-1 admission is still in effect, which includes the course of study, any authorized OPT and the departure period after it.

The student must not have violated the terms of F-1 status. Timing matters for work: a student on post-completion OPT when you file gets the extension of both status and work authorization, while a student already in the departure period gets the status extension but, USCIS says, is not authorized to work until H-1B status begins. Cap-gap applies only to cap-subject petitions; a student moving to a cap-exempt employer such as a university does not use it.

What ends cap-gap, and what then?

Under 8 CFR 214.2(f)(5)(vii)(B), the extension terminates on rejection, denial, revocation or withdrawal of the petition, or on denial or withdrawal of the change of status request, even if the petition is approved for consular processing. USCIS adds that it ends if the registration is not selected. The student then has the standard grace period to depart, unless the change of status was denied or the petition revoked for a status violation, misrepresentation or fraud, in which case USCIS says the student must leave immediately.

If you decide not to go ahead with the H-1B, USCIS's cap-gap page says the student can return to any unused OPT on an unexpired post-completion EAD, but only if USCIS receives your withdrawal before the change of status takes effect. If it arrives later, the student is already in H-1B status and must file to return to F-1 before resuming OPT. Withdraw promptly and send the student the acknowledgment for their DSO.

How do Form I-9 and E-Verify handle cap-gap?

• Current employee on OPT. After you receive the Form I-797C, enter "CAP-GAP" and March 31 of the fiscal year of the requested start date in the Section 2 Additional Information field, for example "CAP-GAP 03/31/2027" for a fiscal year 2027 petition.
• Reverification. If no decision has arrived, reverify on Supplement B by March 31 of that year. When the petition is approved, record the new Form I-94 from the approval notice in one Supplement B block; the employee may instead present any other List A or List C document.
• New hire on cap-gap. M-274 Section 7.4.2 explains the Section 1 and Section 2 entries for a student hired during the gap, and says E-Verify employers may create a case using the Form I-9 information.
• Proof for the student. USCIS says the updated Form I-20 from the DSO is the student's proof; give the student a copy of the filing evidence and then the Form I-797C so the DSO can issue it. The student may keep working while the I-20 is being updated.

The field-by-field entries for students are in Form I-9 for F-1 OPT students, and reverification rules in I-9 reverification. Cap-gap is one of the few automatic extensions left after most EAD renewals stopped extending cards; see EAD automatic extensions and Form I-9.

Can the student travel, switch to STEM OPT or change jobs during cap-gap?

• Travel. Travel abroad while the petition and change of status are pending abandons the change of status. After approval, the student may generally travel and seek readmission in F-1 status before October 1; CBP decides admission.
• STEM OPT. A student on cap-gap may apply for a STEM OPT extension during the cap-gap period, but not after cap-gap has ended and the student is in the grace period. Your company must meet the STEM OPT employer requirements.
• Resignations. Cap-gap depends on your petition staying alive: if the student resigns and you withdraw the petition, the extension ends under 8 CFR 214.2(f)(5)(vii)(B). Treat a resignation as a trigger to call your attorney before you withdraw anything.

What does the petition cost in 2026, and what about the new fees?

A cap petition for a student is an initial H-1B petition, so the employer pays the Form I-129 fee, the Asylum Program Fee, the $500 Fraud Prevention and Detection Fee, the ACWIA fee of $1,500 or $750 unless exempt, and, for employers with 50 or more U.S. employees and more than half in H-1B or L-1 status, the Public Law 114-113 fee. The amounts are in the USCIS fee schedule, edition 10/26/26; premium processing is $2,965.

• The $100,000 payment. USCIS's H-1B page says it does not apply to a petition requesting a change of status for someone inside the United States when USCIS grants it, but does apply if USCIS finds the person ineligible for the change of status or the person departs before adjudication. USCIS also reports that a federal court vacated its implementing guidance on June 8, 2026 and that the First Circuit denied a stay on July 24, 2026, and on September 30, 2026 the Northern District of California, in Global Nurse Force v. Trump, barred the agencies from enforcing their policies under both proclamations until notice-and-comment rulemaking is done. See the $100,000 H-1B fee for the current position.
• A proposed cap fee. On August 25, 2026, DHS proposed a $103,265 fee (91 FR 54817) for every H-1B cap-subject petition, including advanced-degree cases, on top of other fees. Comments closed September 24, 2026. It is a proposal, not a current fee.

Did the 2026 fixed-admission rule change cap-gap?

No. In the final rule of July 17, 2026 (91 FR 44976), DHS states that the rule does not modify or remove the automatic extension of stay and work authorization for F-1 students who are beneficiaries of timely filed H-1B cap petitions. The rule did shorten the departure period to 30 days for students admitted to a fixed date, while students who were in the US on duration of status on September 15, 2026 keep 60 days under the transition rule. Because "timely filed" includes the departure period, a student admitted under the new rule has less time after OPT ends in which a filing still counts.

What recruiters and hiring managers should do

• Ask every candidate the two questions in work authorization questions in interviews, and decide sponsorship before the March registration, not after the OPT card expires.
• Do not promise an H-1B. Selection is a lottery, weighted by wage level.
• Tell the student promptly about selection, filing and any decision, so they can work with their DSO.
• Keep the March 31 reverification date and the October 1 start date on the HR calendar.
• If plans change, withdraw before October 1 so the student can keep any remaining OPT.