H1B Wage Level Calculator

16 min read · Last verified March 2026 · By Michael Lip

Determine which DOL wage level (1-4) a salary falls into for H1B visa prevailing wage purposes. Compare your salary across annual, monthly, weekly, and hourly breakdowns against prevailing wage thresholds.

H1B Wage Level Calculator

Enter a base salary and the prevailing wage for the occupation and area to see which wage level it corresponds to. If you do not have the prevailing wage data, you can enter estimated thresholds based on BLS data or use the example values provided.

Understanding the Four Wage Levels

The Department of Labor (DOL) assigns one of four wage levels to every H1B position based on the job requirements, complexity, and level of supervision involved. These levels correspond to specific percentiles of the wage distribution for the occupation in the designated geographic area.

The wage level assigned to a position is determined by comparing the job duties, requirements, and level of responsibility to the DOL's criteria. An entry-level software developer position with straightforward coding tasks and close supervision would be assigned Level 1. A senior architect position requiring system design decisions and team leadership would be assigned Level 3 or Level 4.

The distinction between levels matters enormously for both employers and employees. The prevailing wage at Level 1 (17th percentile) can be 40-50% lower than Level 4 (67th percentile) for the same occupation in the same area. For a software developer in San Francisco, the difference between Level 1 and Level 4 can exceed $80,000 per year. This is why the wage level assignment is one of the most scrutinized aspects of the H1B petition process.

Employers have an incentive to classify positions at lower levels to reduce labor costs, while regulatory policy aims to ensure that H1B workers are paid appropriately for the actual complexity and responsibility of their roles. USCIS and DOL scrutiny of wage level assignments has increased significantly in recent years, with more Requests for Evidence (RFEs) challenging Level 1 designations for positions that appear to require more than entry-level skills.

I have seen cases where a Level 1 designation was appropriate for a genuinely entry-level position, and I have seen cases where employers tried to classify senior roles at Level 1 to reduce costs. The job description, actual duties, education requirements, and supervisory responsibilities should all align with the assigned level. Mismatches between the described position and the wage level are a common reason for petition denials or RFEs.

The Prevailing Wage Determination Process

The prevailing wage is the foundation of H1B wage compliance. It represents the average wage paid to workers in the same occupation in the same geographic area, calculated at a specific percentile based on the wage level. The employer must pay the H1B worker at least the prevailing wage for the assigned level, or the actual wage paid to other similarly employed workers at the company, whichever is higher.

Employers can obtain prevailing wage data through two primary methods. The formal method is to submit a prevailing wage request to the DOL's National Prevailing Wage Center (NPWC) using Form ETA-9141. The NPWC reviews the occupation classification (SOC code), geographic area, and wage level, then issues a Prevailing Wage Determination (PWD) specifying the wage amount. This process currently takes 3-6 months depending on volume and processing priorities.

The alternative method is to use published wage data from the Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics (OEWS) survey. This data is publicly available on the BLS website and is updated annually. Employers can look up wages by SOC code and metropolitan statistical area (MSA) to determine the prevailing wage. While this approach does not produce a formal DOL determination, it is accepted for LCA purposes.

A newer alternative is private wage surveys conducted by organizations like the Willis Towers Watson Compensation Data or Mercer compensation surveys. These surveys can sometimes yield different (often higher) prevailing wages than the OEWS data because they may capture a different slice of the labor market. Using private surveys requires specific methodology documentation and is less common than using OEWS data.

The prevailing wage is occupation-specific and location-specific. A software developer in San Jose, California has a different prevailing wage than a software developer in Des Moines, Iowa, reflecting the dramatic cost-of-living and labor market differences between those areas. This geographic specificity means that the same salary can represent a Level 4 wage in one city and a Level 2 wage in another.

The H1B Visa Process Overview

Understanding where wage levels fit into the broader H1B process provides important context for why they matter. The H1B is a nonimmigrant work visa that allows US employers to temporarily employ foreign workers in specialty occupations that require at least a bachelor's degree or equivalent in a specific field.

The H1B process has multiple steps, and the wage level is established early in the sequence. First, the employer determines the prevailing wage for the position. Second, the employer files a Labor Condition Application (LCA) with the DOL, which includes the prevailing wage, the offered wage, and attestations about working conditions. Third, the employer submits an H1B petition (Form I-129) to USCIS with the approved LCA. Fourth, if subject to the annual cap, the petition enters the H1B lottery. Fifth, if selected and approved, the worker receives H1B status.

The annual H1B cap is 65,000 regular visas plus 20,000 additional visas for workers with US master's degrees or higher. Cap-exempt employers (universities, research institutions, certain nonprofits) can hire H1B workers outside the cap. The lottery system used for cap-subject petitions has been oversubscribed in most recent years, with selection rates sometimes dropping below 30%.

The H1B is initially granted for three years and can be extended for an additional three years, for a maximum of six years. Extensions beyond six years are possible for workers who have an approved I-140 immigrant petition or a PERM application filed at least 365 days before the six-year limit.

The wage level directly affects the strength of the H1B petition. A Level 1 wage paired with a job description requiring modern skills and significant experience is a contradiction that USCIS frequently challenges. Conversely, a Level 3 or Level 4 wage paired with a detailed job description and qualifying education demonstrates that the position is genuinely a specialty occupation at the described complexity level.

LCA Requirements and Compliance

The Labor Condition Application (LCA) is filed with the DOL before the H1B petition is submitted to USCIS. The LCA requires the employer to make four attestations, the first and most significant of which relates directly to wages.

Attestation 1 covers wages. The employer attests that it will pay the H1B worker the higher of the prevailing wage or the actual wage paid to other workers in the same position with similar experience and qualifications. This "higher of" requirement ensures that H1B workers are not underpaid relative to the market or relative to their American colleagues. The wage must be the cash wage; non-cash benefits like stock options, bonuses, or housing do not count toward meeting the prevailing wage requirement unless they are guaranteed and quantifiable.

Attestation 2 covers working conditions. The employer attests that employing the H1B worker will not adversely affect the working conditions of similarly employed US workers. This means the H1B worker must receive the same benefits, hours, and working conditions as comparable US workers.

Attestation 3 addresses labor disputes. The employer attests that there is no strike, lockout, or work stoppage in the course of a labor dispute in the occupation at the place of employment.

Attestation 4 covers notice requirements. The employer attests that it has provided notice of the LCA filing to the union representative (if applicable) or has posted notice of the filing at the worksite for at least 10 business days.

Compliance with the LCA is not a one-time requirement. The employer must maintain a public access file containing the LCA, prevailing wage documentation, and evidence of notice. This file must be available for public inspection within one working day of a request. The DOL Wage and Hour Division can audit employers for LCA compliance, and violations can result in back pay, penalties, and program debarment.

Wage Data Sources and SOC Codes

The Standard Occupational Classification (SOC) system is the framework used by the DOL to categorize occupations for wage data purposes. Each occupation has a unique SOC code, and the prevailing wage is determined based on the SOC code assigned to the H1B position. Selecting the correct SOC code is critical because the prevailing wage can vary dramatically between closely related occupations.

For example, SOC code 15-1252 (Software Developers) and SOC code 15-1299 (Computer Occupations, All Other) can have significantly different prevailing wages despite sounding similar. In some metro areas, the difference exceeds $20,000 per year at the same wage level. Employers and immigration attorneys spend considerable effort ensuring the SOC code accurately reflects the position's duties.

The primary source of wage data is the OEWS survey, conducted by the BLS in partnership with state workforce agencies. This survey collects wage data from approximately 1.2 million establishments across the US every three years (with half the sample collected each year on a rolling basis). The data is published annually and is available at the national, state, and metropolitan area levels.

The Online Wage Library (OWL) maintained by the DOL's Foreign Labor Certification Office provides wage data specifically formatted for immigration purposes. The OWL publishes prevailing wages by SOC code and area, broken down by the four wage levels. This is the definitive source for prevailing wage calculations and is updated annually, typically in July, based on the latest OEWS data.

One complication is that the transition from the 2010 SOC system to the 2018 SOC system changed many occupation codes. Some occupations were split into multiple new codes, others were merged, and several completely new codes were created. The DOL provides crosswalk tables to map old codes to new ones, but the transition has caused confusion in some cases where a position does not map cleanly to a single new code.

Geographic Wage Variation

Geography is one of the most significant factors in H1B wage levels. The same occupation can have prevailing wages that differ by 100% or more between the highest-cost and lowest-cost metro areas in the country.

Note: These figures are approximate and based on recent OEWS data. Actual prevailing wages may differ based on the specific SOC code and the most current DOL data release. Always verify with the Online Wage Library or a formal prevailing wage determination.

The geographic variation creates strategic considerations for employers. An employer offering $100,000 for a software developer role would be well above the Level 1 wage in Columbus, Ohio but below it in San Jose, California. This influences decisions about where to locate positions, how to structure remote work policies, and what salary to offer. The worksite location on the LCA determines which area's prevailing wage applies, so remote work arrangements require careful attention to which location governs the wage requirement.

For H1B workers, understanding geographic variation helps in evaluating job offers. A $120,000 salary in San Francisco corresponds to a Level 1 or barely Level 2 wage for software developers, while the same salary in Dallas corresponds to Level 3 or Level 4. The wage level has implications beyond compliance, since it also signals the position's level to USCIS adjudicators who may question whether a Level 1 wage aligns with the claimed specialty occupation requirements.

Wage Level Strategy for Employers

Choosing the appropriate wage level requires balancing compliance, petition strength, and cost. I have observed several patterns in how employers approach this decision.

Conservative employers default to Level 2 or Level 3 for most positions, even when Level 1 is technically defensible. This approach reduces the risk of RFEs and denials, which can be far more expensive than the incremental wage cost. An RFE response typically costs $2,000-5,000 in attorney fees and delays the petition by 2-4 months. If the RFE results in a denial, the employer loses the filing fees ($1,710-4,000+) and must start over.

Cost-focused employers target Level 1 whenever possible and defend it aggressively. This approach saves money on wages but exposes the employer to higher RFE rates, more USCIS scrutiny, and potential DOL audit risk. For truly entry-level positions with close supervision and routine tasks, Level 1 is appropriate and defensible. The problem arises when employers try to shoehorn senior-level positions into Level 1 by downplaying the actual duties and responsibilities.

The job description is the linchpin of wage level defensibility. The duties described must be consistent with the assigned level. A Level 1 position should describe routine tasks, close supervision, and minimal independent judgment. A Level 4 position should describe complex tasks, significant independence, and leadership responsibilities. Inconsistencies between the job description and the wage level are the most common trigger for RFEs.

If proposed regulatory changes implementing wage-level-based lottery selection take effect, the strategy calculus shifts dramatically. Under such a system, Level 3 and Level 4 petitions would be selected preferentially in the lottery, while Level 1 petitions would have the lowest selection probability. This would incentivize employers to offer higher wages and classify positions at higher levels to improve their chances of lottery selection.

Common H1B Occupations and Wages

The H1B program is heavily concentrated in technology, engineering, healthcare, and finance occupations. Here are some of the most common H1B occupations with typical wage ranges across the four levels.

Note: These are approximate national average figures. Metro-level prevailing wages vary significantly. Always use the OWL or a formal PWD for the specific worksite location.

Technology occupations dominate H1B usage, with software developers alone accounting for roughly 30% of all H1B petitions. The concentration in tech has made the H1B program a focal point of technology workforce policy debates. Proponents argue that H1B workers fill genuine skills gaps and contribute to innovation. Critics contend that the program depresses wages for American workers in tech fields, particularly when employers concentrate at Level 1 and Level 2 wages.

Healthcare is another major H1B category, with physicians, physical therapists, pharmacists, and specialized nurses frequently sponsored. Healthcare H1B positions tend to be classified at higher wage levels (Level 2 and above) because the positions inherently require significant training and independent judgment. The prevailing wages for healthcare occupations also tend to be high, reflecting the specialized education and licensing requirements.

H1B Wage Levels and Green Card Processing

The wage level assigned to an H1B position has downstream implications for the green card (permanent residency) process. Many H1B holders eventually pursue employer-sponsored green cards through the PERM (Program Electronic Review Management) labor certification process, and the prevailing wage requirements carry over to that stage.

The PERM process requires the employer to offer a salary that meets or exceeds the prevailing wage for the green card position, which may be different from the H1B prevailing wage if the green card position has different duties, a different SOC code, or if the wage data has been updated since the H1B was filed. Many workers experience an increase in the prevailing wage between their H1B filing and their PERM filing because wage data is updated annually and tends to trend upward.

A common scenario involves an employee who was hired on an H1B at a Level 1 wage but has since gained experience and taken on additional responsibilities. When the employer files for the green card several years later, the position may more accurately be classified as Level 2 or Level 3, with a correspondingly higher prevailing wage. The employer must offer at least this higher wage on the PERM application, regardless of what the employee is currently being paid.

The wage level on the PERM application also affects the recruitment testing requirements. The employer must demonstrate through a rigorous recruitment process that no qualified US worker is available for the position at the offered wage. If the prevailing wage is set artificially low, the recruitment test is easier to pass (fewer US workers are willing to work for below-market wages), which is one reason the DOL scrutinizes PERM wage levels carefully.

For employees in the EB-2 and EB-3 green card categories, processing times vary dramatically by country of birth due to per-country visa quotas. Workers from India and China face multi-year (sometimes multi-decade) backlogs. During this waiting period, maintaining valid H1B status is critical, and any wage compliance issues with the H1B can complicate the green card process. Ensuring that your salary consistently meets or exceeds the prevailing wage for your current position protects both your H1B status and your pending green card application.

Remote Work and H1B Wage Compliance

The shift toward remote and hybrid work has created new complexities for H1B wage compliance. The prevailing wage is determined by the worksite location, so where an H1B worker performs their duties directly affects the applicable wage.

If an H1B worker was approved to work at an office in San Francisco but is now working remotely from a different city or state, the employer may need to file an amended LCA with the prevailing wage for the new work location. If the new location has a lower prevailing wage, the employer must still pay at least the higher of the two prevailing wages for the remainder of the current LCA period. If the new location has a higher prevailing wage, the employer must increase the salary to meet the new requirement.

The rules around short-term placements (work at a location other than the primary worksite for 30 days or fewer in a 12-month period) and non-worksite activities (conferences, trainings, meetings) provide some flexibility. These temporary activities do not typically require a new LCA. However, an extended remote work arrangement that becomes the employee's regular worksite does require LCA compliance at the new location.

Multi-state employers sponsoring H1B workers should establish clear policies about where remote work is permitted and implement systems to track H1B employee work locations. Failure to maintain LCA compliance at the actual worksite creates liability for back pay, penalties, and potential debarment, even if the employee voluntarily chose to work from a different location.

I have seen cases where employees moved to a lower-cost area during the pandemic without informing their employer's immigration team, creating inadvertent LCA violations. If you are an H1B holder considering a move or extended remote work arrangement, discuss it with your employer's immigration counsel before making the change. The wage implications are real, and proactive communication prevents compliance problems.

Salary Negotiation Tips for H1B Workers

Negotiating salary as an H1B worker involves unique considerations beyond what domestic workers face. Understanding the prevailing wage system gives you use in these conversations.

First, know the prevailing wage for your position and area before you enter salary negotiations. You can look this up on the DOL's Online Wage Library or through the BLS OEWS data. If the employer offers a salary at Level 1 for a position that clearly requires Level 2 or Level 3 skills, you can point out that the wage level may not align with the job requirements, which could create problems during USCIS adjudication.

Second, understand that H1B disclosure rules work in your favor. All approved LCAs are public records, and the H1B salary database at h1bdata.info aggregates this data. You can look up what other employers are paying for similar positions in your area, which gives you concrete data points for negotiation. If a competitor is paying $120,000 for the same role that your employer is offering at $95,000, that is a meaningful negotiating tool.

Third, recognize that employers have a vested interest in offering a competitive wage. A higher wage level strengthens the H1B petition, reduces the risk of RFEs and denials, and under proposed regulatory changes, may improve lottery selection odds. Framing your salary request in terms of petition strength can be more effective than simply asking for more money.

Fourth, consider the total compensation package rather than just base salary. While stock options, bonuses, and benefits do not count toward the prevailing wage requirement, they are still part of your total compensation. A slightly lower base salary with meaningful equity compensation can be financially advantageous, particularly at early-stage or high-growth companies. Just ensure that the base salary still meets the prevailing wage floor.

Finally, do not allow the H1B dependency to suppress your salary expectations. The prevailing wage is a floor, not a ceiling. Many H1B workers in technology roles are paid well above the Level 4 prevailing wage because the market rate for their skills exceeds what the OEWS data reflects. You deserve market-rate compensation for your skills and experience, and your immigration status should not be a discount factor.

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