Proposed H-1B Bill Could Raise Salary Thresholds

A new Senate bill aims to link H-1B salary minimums to national wages, potentially raising them above current levels.

Updated on Oct. 7, 2026 in Employment

Bold flat-color editorial illustration showing a stack of metallic weights and a balance bar, representing economic indexing of visa salary requirements. — Senator Jon Husted introduced S.5638, a bill that would replace fixed H-1B salary thresholds with a formula indexed to national wage growth. AI Illustration. Upload story photo >

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Should the US government increase the minimum salary threshold for H-1B visa holders?

Senator Jon Husted introduced S.5638 on October 6, 2026, which would replace the stagnant $60,000 H-1B salary threshold with a wage-indexed formula. The move could significantly impact future hiring requirements for firms relying on international labor.

Why it matters

The legislation seeks to close a hiring loophole that supporters argue has allowed companies to bypass domestic labor for nearly three decades. By tying thresholds to national wage indices, the bill would force mandatory adjustments to salary minimums as the broader U.S. economy grows.

The current $60,000 H-1B threshold was set in 1998 and has remained static while average wages have climbed. Under the new formula, which targets double the National Average Wage Index, the salary floor could jump to nearly $140,000.

The players

Jon Husted

A U.S. Senator representing Ohio who sponsored the legislation to modernize H-1B salary requirements.

Senate Judiciary Committee

The congressional body currently reviewing the proposed S.5638 bill.

The details

The bill shifts the salary floor from a fixed dollar amount to a calculation based on twice the Social Security Administration's National Average Wage Index. This mechanism ensures that as U.S. wages rise, the minimum salary required to sponsor H-1B workers automatically scales upward. This would effectively eliminate the long-standing discrepancy between 1998-era salary caps and current market reality.

1998: The $60,000 H-1B salary threshold was originally established.
October 6, 2026: Senator Jon Husted introduced the bill in the Senate.

Money Landscape

The current $60,000 threshold has remained unchanged since 1998, failing to keep pace with decades of wage inflation. This legislation represents a significant attempt to recalibrate international labor costs to match contemporary economic benchmarks.

Households affected by shifting wage competition should track the bill as it moves through the Senate Judiciary Committee to understand potential impacts on their industry's labor costs. Consult with a qualified professional to evaluate how changes in corporate hiring requirements might shift the local job market.

The takeaway

The proposed indexing of H-1B salaries to the national average could fundamentally reset compensation standards for international hires in the coming years. Monitor the status of S.5638 within the Senate legislative record to stay updated on potential shifts in labor market regulations.