H-1B Wage Levels Explained: How to Determine Yours
Updated 2026-04-23 · Based on OFLC prevailing wage data and 1.88M+ LCA filings
What Are H-1B Wage Levels?
When an employer files an H-1B visa petition, the Department of Labor (DOL) assigns a wage level from I to IV based on how the offered salary compares to the prevailing wage for that occupation in that geographic area. This wage level is now critical — starting FY2027, it directly determines your chances in the H-1B lottery.
Wage levels are derived from the Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics (OEWS) survey, broken into percentile bands:
| Level | Percentile | Description | Typical Worker Profile |
|---|---|---|---|
| Level I | 17th percentile | Entry-level wage | New graduates, limited experience, close supervision |
| Level II | 34th percentile | Qualified wage | Some experience, moderate complexity, general supervision |
| Level III | 50th percentile | Experienced wage | Specialized skills, independent work, minimal supervision |
| Level IV | 67th percentile | Fully competent wage | Expert level, supervises others, advanced knowledge |
How to Determine Your Wage Level: Step by Step
Step 1: Identify Your SOC Code
Every H-1B position maps to a Standard Occupational Classification (SOC) code. This 6-digit code determines which wage thresholds apply. The most common H-1B SOC codes from our database:
| SOC Code | Occupation | H-1B Filings |
|---|---|---|
| 15-1252 | Software Developers | 491,351 |
| 15-1299 | Computer Occupations, All Other | 80,971 |
| 15-1253 | Software QA Analysts and Testers | 50,075 |
| 15-1211 | Computer Systems Analysts | 49,436 |
| 15-2051 | Data Scientists | 41,599 |
Use our occupation browser or wage calculator to find your SOC code by searching job titles.
Step 2: Identify Your Work Location
Prevailing wages vary dramatically by metro area. The same job at the same salary can be Level II in San Jose but Level III in Austin. The work location matters, not the company headquarters. For remote roles, the remote location controls the wage level.
Step 3: Look Up the Prevailing Wage Thresholds
Here are the actual OFLC prevailing wage levels for Software Developers (15-1252) in top metro areas — the single most common H-1B occupation with 491,000+ filings in our database:
| Metro Area | Level I | Level II | Level III | Level IV |
|---|---|---|---|---|
| San Jose-Sunnyvale-Santa Clara, CA | $149,364 | $187,740 | $226,137 | $264,513 |
| Boulder, CO | $106,246 | $146,057 | $185,868 | $225,680 |
| San Francisco-Oakland-Fremont, CA | $135,699 | $161,636 | $187,574 | $213,512 |
| Oxnard-Thousand Oaks-Ventura, CA | $97,988 | $136,385 | $174,782 | $213,179 |
| Seattle-Tacoma-Bellevue, WA | $117,748 | $149,240 | $180,710 | $212,201 |
| Central Louisiana nonmetropolitan area | $69,513 | $115,731 | $161,927 | $208,145 |
| Kahului-Wailuku, HI | $71,843 | $113,401 | $154,980 | $196,539 |
| Bridgeport-Stamford-Danbury, CT | $100,630 | $131,185 | $161,720 | $192,275 |
Source: OFLC Wage Year 2025-2026. Hourly rates × 2,080 hours.
Step 4: Compare Your Offered Salary
Match your offered annual salary against the thresholds for your SOC code and metro area:
- If your salary ≥ Level IV threshold → Level IV
- If your salary ≥ Level III but < Level IV → Level III
- If your salary ≥ Level II but < Level III → Level II
- If your salary < Level II → Level I
Example: A software developer offered $180,000 in New York would be Level III (above the $160,805 Level III threshold but below the $189,592 Level IV threshold).
Why Wage Levels Matter More Than Ever: FY2027 Weighted Lottery
Starting with FY2027, USCIS uses a wage-weighted selection system for the H-1B cap lottery. Higher wage levels get more lottery entries:
| Wage Level | Lottery Entries | Est. Selection Rate | Change from Old System |
|---|---|---|---|
| Level I | 1 entry | ~16% | -48% worse |
| Level II | 2 entries | ~31% | +3% better |
| Level III | 3 entries | ~45% | +55% better |
| Level IV | 4 entries | ~61% | +107% better |
This is a massive shift. Under the old random lottery, everyone had ~30% odds regardless of wage. Now, a Level IV registrant has roughly 4x the selection chance of Level I.
Common Mistakes to Avoid
- Using the wrong SOC code. Choosing a generic code like "Computer Occupations, All Other" (15-1299) when a more specific code fits can affect your wage level. Match actual job duties.
- Ignoring geographic differences. The same salary is a different level in different cities. A $120K offer is Level II in Dallas but Level I in San Francisco for software developers.
- Salary ranges on the LCA. If the job offer uses a salary range, USCIS uses the lowest number for wage level determination.
- Multiple worksites. If the position has multiple work locations, USCIS picks the lowest equivalent wage level across all locations.
- Confusing LCA wage with actual compensation. The LCA wage is the minimum committed offer. Stock options, bonuses, and benefits do not count toward the wage level.
Strategies to Improve Your Wage Level
- Negotiate a higher base salary. Even a small increase can push you from Level I to Level II, doubling your lottery entries.
- Consider work location. Lower cost-of-living metros have lower prevailing wage thresholds. The same salary may qualify for a higher level in Austin vs. San Francisco.
- Choose the most specific SOC code. Some specific codes have lower thresholds than broad "All Other" categories.
- Understand the timing. OFLC updates prevailing wages annually. Check current thresholds before filing.
Calculate Your Wage Level Now
Use our free H-1B Wage Level Calculator to instantly see your level, prevailing wage thresholds, and FY2027 lottery odds. Just enter your occupation, metro area, and salary.