For generations of international students, the United States has offered a powerful proposition: study at an American university, gain professional experience after graduation and potentially build a long-term career in the country.
That equation is now facing a serious challenge.
The Trump administration is reportedly considering a US$100,000 fee for international graduates seeking work authorisation through the Optional Practical Training (OPT) programme, according to reports published in late July. The proposal has not been finalised or implemented, but its potential impact is already raising questions about the affordability and attractiveness of a US education.
For students and families who spend years planning for an American degree, the issue is no longer simply the cost of tuition. The bigger question is whether graduates will still be able to afford the post-study work pathway that has traditionally made studying in the US particularly attractive.
What Is the US$100,000 OPT Proposal?
The reported proposal would introduce a US$100,000 charge connected to employment authorisation for international graduates using OPT.
Importantly, this is not a current fee. It remains a proposal under consideration, and several details—including who would ultimately be responsible for paying such a charge—have not been settled.
US officials have indicated that policies are not final until formally announced. The proposal is therefore best understood as a potential change rather than an immediate requirement for students graduating from American universities.
That distinction matters. Students should not assume that the reported US$100,000 amount is already part of the current OPT application process.
Why OPT Matters So Much to International Students
Optional Practical Training, or OPT, is a temporary employment authorisation available to eligible international students studying in the US on F-1 visas.
Under current rules, eligible graduates can generally work for up to 12 months in employment related to their field of study. Students graduating from qualifying STEM programmes can obtain an additional 24-month extension, allowing eligible graduates to work for up to 36 months in total.
For many students, OPT serves as the bridge between:
US university → post-study employment → professional experience → potential H-1B sponsorship
That bridge is one of the major reasons students consider American universities despite their high tuition and living costs.
Why Indian Students Could Feel the Impact Sharply
The proposed change has particular significance for Indian students.
India is one of the largest sources of international students in the United States, and a substantial proportion of Indian students pursue STEM programmes. The opportunity to work in America after graduation has consequently become an important part of the financial and career calculation behind studying there.
For a student already investing heavily in tuition, accommodation, health insurance, travel and other living expenses, a potential additional charge of US$100,000 would represent a dramatic increase in the cost of accessing post-graduation employment.
At an exchange rate around the ₹85–₹90 per US dollar range, US$100,000 would broadly translate into more than ₹80 lakh. The exact rupee equivalent would depend on the exchange rate at the time.
That amount could fundamentally alter the return-on-investment calculation for an overseas degree.
The Hidden Economics of Studying in America
The cost of a US education is rarely limited to tuition.
International students typically have to consider:
- University tuition and fees
- Housing and living expenses
- Health insurance
- Travel costs
- Visa-related expenses
- Books and academic costs
- Local transportation
- Post-graduation employment and immigration planning
For many families, the possibility of earning a US salary after graduation helps justify the initial investment.
OPT has therefore functioned not only as an immigration mechanism but also as an important part of the economic value proposition of an American degree.
A major additional charge could weaken that proposition considerably.
The STEM Advantage Could Become a Financial Question
STEM students have historically had an additional advantage because eligible graduates can qualify for the 24-month STEM OPT extension after the initial 12-month period.
This gives eligible graduates up to three years of authorised practical training.
The extended period can be particularly valuable for students pursuing careers in technology, engineering, data science, research and other specialised fields.
But if access to post-study employment becomes substantially more expensive, the very feature that makes US STEM education attractive could become part of a much more difficult financial calculation.
For students considering expensive master’s programmes, the question could increasingly become:
Can the expected career benefit justify the total cost of the degree and the uncertainty surrounding post-study employment?
The H-1B Connection Makes OPT Even More Important
OPT is also significant because it can give international graduates time to enter the US labour market and seek longer-term employment sponsorship.
For many graduates, the next major step after OPT is attempting to transition to an H-1B work visa through an employer.
This does not mean that OPT automatically leads to H-1B status. The two are separate immigration mechanisms, and H-1B selection and eligibility requirements still apply.
Nevertheless, OPT provides graduates with valuable time to gain experience, establish professional relationships and seek employers willing to sponsor them.
That makes any major change to OPT potentially significant for the entire international student-to-employment pipeline.
How Big Could the Impact Be?
The scale of OPT itself shows why the proposal has attracted attention.
Around 419,000 international graduates were working through OPT in 2024, according to figures cited in recent reporting.
That means OPT is not a niche arrangement affecting a handful of students. It is a major component of the US higher-education and skilled-employment ecosystem.
American universities benefit from international enrolment, while US employers—particularly in technology, engineering, research and finance—recruit highly skilled graduates from American campuses.
A significant increase in the cost of post-study employment could therefore affect more than students alone.
Universities and Employers Could Also Feel the Pressure
The debate surrounding the reported proposal extends beyond international students.
US universities have long competed globally to attract talented students. The possibility that graduates may face a dramatically more expensive route to employment could influence how prospective students compare American institutions with universities in other countries.
Employers could also face consequences.
Technology, engineering, research and other industries regularly recruit international graduates from US universities. If the cost of employing or retaining those graduates increases substantially, companies could reconsider recruitment strategies or become more selective about international hiring.
The ultimate effect would depend heavily on the final design of any policy.
Is the US Becoming Too Expensive for International Students?
The proposed OPT fee arrives amid a broader debate about the cost and uncertainty surrounding international education in America.
For students, the calculation is becoming increasingly complicated.
An American university can still offer:
- Globally recognised academic programmes
- Access to major research ecosystems
- Strong employer networks
- Exposure to leading technology companies
- Opportunities for professional experience
But these advantages have to be weighed against rising education costs and uncertainty around immigration and employment pathways.
The US therefore remains an attractive destination—but the financial and policy risk associated with studying there may be increasing.
Could Students Look at Canada, the UK and Australia Instead?
If post-study work in the US becomes significantly more expensive or uncertain, competing destinations could gain an advantage.
Countries such as Canada, the United Kingdom and Australia already attract large international student populations and offer post-study employment routes of their own.
That does not mean students will automatically abandon US universities. American institutions retain enormous academic and professional appeal.
However, international education decisions are increasingly influenced by more than university rankings. Students and families are also examining:
Total cost + employment prospects + visa rules + post-study work rights + long-term career opportunities.
A major change to OPT could consequently influence how the US compares with its international competitors.
A Proposal, Not Yet a New Rule
This is perhaps the most important point for current and prospective students.
The US$100,000 OPT fee has not become an established requirement.
Reports indicate that the administration is considering the idea, while officials have not announced a final policy implementing the proposed charge. Other questions—including whether students, employers or universities would bear the cost—also remain unresolved.
Students should therefore distinguish between:
Reported proposal: US$100,000 fee under consideration
and
Current OPT rules: Existing OPT provisions continue to apply unless and until the US government formally changes them.
That distinction is particularly important for students making immediate education or career decisions.
The Bigger Question: What Is the Value of an American Degree?
The debate ultimately goes beyond one proposed fee.
The American higher-education model has historically depended partly on its ability to attract ambitious students from around the world. International students contribute to universities, research programmes and the wider US economy.
At the same time, policymakers are increasingly focused on immigration controls and prioritising domestic workers.
The tension between these two objectives is becoming increasingly visible.
If international students are encouraged to study in America but then face substantially higher barriers to remaining and working after graduation, universities and policymakers may eventually have to confront a difficult question:
How much uncertainty can the international student market absorb before students begin choosing other countries?
What the Proposal Could Mean for Indian Students
For Indian students specifically, the reported proposal could make cost-benefit analysis even more important.
A student considering a US master’s degree may need to look beyond tuition and ask:
- What is the total cost of the programme?
- How much funding or scholarship support is available?
- Is the programme STEM-eligible?
- What are the current OPT rules?
- What employment opportunities exist in the chosen field?
- What are the potential visa pathways after graduation?
- How much financial risk can the family reasonably take?
These are not new considerations, but the prospect of a very high additional work-authorisation cost could make them significantly more important.
American Dream or American Price Tag?
For decades, the American Dream for international students has been built around a simple sequence: earn a degree, gain experience and build a career.
The reported US$100,000 OPT proposal challenges the affordability of that sequence.
It does not mean the American education system has suddenly become inaccessible, nor does it mean the proposed fee will necessarily become law. But it does signal a changing environment in which international students must pay closer attention to immigration policy alongside university rankings, tuition fees and career prospects.
For Indian students in particular, the message is clear: the cost of a US education cannot be measured only by the price of the degree. The rules governing what happens after graduation may be just as important.
