Unpaid Wages
Learn essential OPT employment rights and practical steps to secure post‑completion work: understand CPT work authorization rules, STEM OPT employer obligations, and the transition from OPT to H‑1B. Discover whether an employer can sponsor H‑1B, key work rules for F‑1 students, timelines, and employer checklists to avoid status violations and plan hiring with confidence today.
Estimated reading time: 15 minutes
Key Takeaways
OPT employment rights let eligible F‑1 students gain practical experience directly related to their major for up to 12 months per degree level, with a possible 24-month STEM extension.
CPT work authorization rules apply during a program when employment is part of the curriculum; full‑time CPT for 12 months at one degree level eliminates OPT eligibility.
STEM OPT employer obligations include active E‑Verify participation, a signed Form I‑983 training plan, wage/working-condition parity, and timely reporting to the DSO.
The transition from OPT to H‑1B hinges on early employer sponsorship, LCA and I‑129 filings, and possible cap‑gap coverage to maintain work authorization.
Both students and employers must follow work rules for F‑1 students, keep excellent records, and coordinate with DSOs to avoid status violations.
Table of Contents
Introduction
Overview of Work Authorization for F‑1 Students
What F‑1 Status Allows and Restricts
Primary Work Authorization Pathways
Core Compliance Rules for F‑1 Employment
Study‑to‑H‑1B Timeline at a Glance
OPT Employment Rights
What Is OPT?
OPT Eligibility and Application Steps
Rights While on OPT
Limitations and Enforcement on OPT
Compliant vs. Non‑Compliant Scenarios on OPT
OPT Timeline Milestones
CPT Work Authorization Rules
What Is CPT?
CPT Authorization Process
CPT Rules and Restrictions
CPT vs. OPT: Quick Comparison
CPT Documentation Example
STEM OPT Employer Obligations
What Is the STEM OPT Extension?
STEM OPT Employer Eligibility
Form I‑983 Training Plan
Employer Attestations and Labor Standards
STEM OPT Reporting and Timelines
Compliance Risks and Document Retention
Practical STEM OPT Employer Checklist
Transition from OPT to H‑1B Visa
Why Timing Matters for OPT‑to‑H‑1B
Employer Sponsorship: Can Employer Sponsor H1B?
Labor Condition Application (LCA) Basics
Filing the H‑1B Petition
Cap, Lottery, and Start Dates
Cap‑Gap Extension Explained
Risk Management and Backup Options
Sample OPT‑to‑H‑1B Timelines
Employer Costs and Compliance Considerations
Employer Perspective on Sponsorship and Compliance
Employer Responsibilities at a Glance
Operational Best Practices
Compliance Training and When to Consult Counsel
Quick FAQ Callouts
Conclusion
FAQ
Introduction
OPT employment rights give F‑1 students a lawful pathway to gain paid or unpaid practical work experience directly related to their major. Understanding these rights — and the broader work authorization rules for F‑1 students — is essential for students and employers who want to avoid status violations and plan long‑term hiring.
This guide explains how OPT, CPT, and STEM OPT work; what employers must do to comply; and how to plan the transition from OPT to H‑1B. It also offers timelines and checklists so readers can take informed next steps or seek expert help when needed.
We cover a full overview, OPT rights, CPT rules, STEM OPT employer obligations, the transition to H‑1B, and employer compliance. For a deeper employer perspective, see the U.S. employers guide to hiring international students and the definitive NAFSA overview of OPT.
Overview of Work Authorization for F‑1 Students
What F‑1 Status Allows and Restricts
F‑1 status allows international students to study in the United States, but employment is tightly regulated. You may only work when authorized and within the conditions of your specific authorization. Always follow your Designated School Official (DSO) and Department of Homeland Security (DHS) guidance.
Because work rules for F‑1 students are detailed and can change, verify requirements with your DSO before accepting any role. Employers should confirm authorization details during onboarding and maintain compliance documentation.
Primary Work Authorization Pathways
Curricular Practical Training (CPT) — available while enrolled when employment is an integral part of the curriculum (such as a required internship or co‑op).
Optional Practical Training (OPT) — up to 12 months of practical training, pre‑ or post‑completion, directly related to the major.
STEM OPT Extension — an additional 24 months for qualifying STEM degrees after post‑completion OPT.
H‑1B Sponsorship — an employer‑based specialty occupation visa that can follow OPT/STEM OPT.
These pathways and their timing are described clearly in the UMich career center guide and the student‑focused OPT guidance (UCSD).
Core Compliance Rules for F‑1 Employment
Work must be authorized in advance. For CPT, your school grants authorization; for OPT, most students need a USCIS Employment Authorization Document (EAD) before starting work. See the U.S. employers guide to hiring international students.
Unauthorized work risks your immigration status and future benefits. Employers should verify authorization and keep records to avoid violations, as emphasized in the UMich employer guidance and OPT guidance (UCSD).
Employers should also be mindful of I‑9/E‑Verify obligations and avoid discriminatory reverification practices. For a practical U.S. workplace perspective on verification and anti‑discrimination safeguards, review this guide to I‑9 audit employee rights.
Study‑to‑H‑1B Timeline at a Glance
Think of the student‑to‑employee journey as:
Study → CPT (optional) → OPT (12 months) → STEM OPT (if eligible, +24 months) → H‑1B (possible employer sponsorship).
This sequence helps both students and employers visualize milestones, deadlines, and when key forms (I‑20, I‑765, I‑983, LCA, I‑129) come into play. The U.S. employers guide gives high‑level timing; campus sites like OPT guidance (UCSD) add day‑to‑day reporting details.
OPT Employment Rights
What Is OPT?
Optional Practical Training (OPT) is a regulation allowing eligible F‑1 students up to 12 months of practical training per degree level, which must be directly related to the student's major field of study. See the comprehensive NAFSA OPT report for policy foundations and updates.
OPT Eligibility and Application Steps
Eligibility: Generally, you must complete one academic year in F‑1 status before applying (some curricula have limited exceptions). Your DSO can confirm program‑specific nuances based on federal rules summarized in the NAFSA OPT report.
DSO recommendation: Your DSO must recommend OPT in SEVIS and issue an updated I‑20 showing OPT recommendation, as outlined by NAFSA.
USCIS filing: File Form I‑765 (Application for Employment Authorization) with USCIS. Expect a filing fee and standard supporting documents; biometrics are typically not required for I‑765 in this context.
EAD requirement: You may not begin employment until your EAD start date is active.
Timing: There is pre‑completion OPT (during your program) and post‑completion OPT (after completing degree requirements). Most students use post‑completion OPT. For timing examples and common school practices, see the UTD post‑completion OPT guidance.
Rights While on OPT
Workload and employers: You may work full‑time or part‑time, and you may have multiple employers. All roles must be related to your major.
Self‑employment: You may start a business, provided the work relates to your degree and you properly document your hours and job duties.
Unpaid roles: Unpaid internships are permitted if they comply with labor law and relate to your field. If you are evaluating an unpaid role, learn more about when internships must be paid in this guide to unpaid internship rights.
Status and reporting: You remain in F‑1 status during OPT. You must report employment and address changes as your school requires. See reporting expectations in the OPT guidance (UCSD).
Limitations and Enforcement on OPT
Maximum duration: OPT is limited to 12 months per degree level (Bachelors, Masters, PhD). See the NAFSA OPT report.
Unemployment limit: During post‑completion OPT, you may not exceed a cumulative total of 90 days of unemployment. Days are counted calendar‑day style from your EAD start date, so track carefully, and keep strong documentation in case of audits. This rule and best practices are covered in the OPT guidance (UCSD).
Field‑related work only: Keep job descriptions, supervisor contacts, offer letters, pay stubs, and employer letters to prove your roles relate to your degree.
STEM OPT preview: Graduates with eligible STEM majors may apply for a 24‑month extension; employers must be in E‑Verify and complete a Form I‑983 training plan. Details follow in the STEM section.
Compliant vs. Non‑Compliant Scenarios on OPT
Compliant: An engineering graduate holds two part‑time roles (15 hours/week each) designing mechanical components and writing control software. Both roles are directly related to the degree; the student reports each job via the school portal and saves offer letters and supervisor contact info.
Non‑compliant: A marketing graduate informally helps a friend’s catering business “off the books,” with no clear job description or relation to the degree, and without reporting to the DSO. This risks unauthorized work and status problems.
OPT Timeline Milestones
Milestone | What to Do | Notes/Resources |
|---|---|---|
DSO Recommendation | Request OPT in SEVIS; receive new I‑20 with OPT notation | Process overview in the NAFSA OPT report |
USCIS Filing | Submit Form I‑765 with fee and supporting documents | Typical processing times; biometrics generally not required for I‑765 |
EAD Issuance | Wait for EAD approval and start date | Do not work before EAD start date |
Unemployment Tracking | Log employment dates and gaps | Post‑completion OPT limit is 90 days total; see OPT guidance (UCSD) |
STEM Extension (if eligible) | Prepare I‑983; confirm E‑Verify; file timely | STEM adds 24 months; summarized in UMich employer guidance |
CPT Work Authorization Rules
What Is CPT?
Curricular Practical Training (CPT) is employment authorization for an F‑1 student when the employment is an integral part of an established curriculum, such as required internships, practicums, or cooperative education. This framework is described in the U.S. employers guide to hiring international students.
CPT Authorization Process
Obtain CPT authorization through your DSO; no USCIS filing is required.
Your DSO issues an I‑20 endorsed for CPT, reflecting employer name (if known), dates, and whether it is part‑time or full‑time.
Timing varies by program; some graduate programs allow CPT in the first term when required by the curriculum, as noted by the UMich career center guide.
CPT Rules and Restrictions
Part‑time vs. Full‑time: Part‑time CPT is 20 hours/week or fewer; full‑time CPT is more than 20 hours/week.
Impact on OPT: If you complete 12 months of full‑time CPT at a given degree level, you become ineligible for OPT at that level. This is a common pitfall; see the UMich employer guidance.
Curricular tie‑in: CPT must be tied to your curriculum and documented by the school (course registration, course number, credit assignment). Employers should be prepared to verify assignments and dates with the school.
CPT vs. OPT: Quick Comparison
Feature | CPT | OPT |
|---|---|---|
Authorization Authority | DSO (I‑20 endorsement) | USCIS (EAD) |
Timing | During the degree program | Pre‑completion or post‑completion (typically post) |
Effect on OPT | 12 months of full‑time CPT eliminates OPT at that degree level | Up to 12 months per degree level; STEM may add 24 months |
CPT Documentation Example
Example: A Master’s in Public Health program requires a 3‑credit internship in an approved clinic. The student registers for the internship course, secures a clinic site letter, and the DSO issues an I‑20 with CPT for 15 hours/week over the semester. The employer confirms duties align with the curriculum and provides a supervisor contact for the school’s records.
STEM OPT Employer Obligations
What Is the STEM OPT Extension?
The STEM OPT extension is a 24‑month addition to post‑completion OPT for qualifying STEM degree holders, bringing total potential OPT to 36 months. See the requirements summarized by the UMich employer guidance and the comprehensive NAFSA OPT report.
STEM OPT Employer Eligibility
Enroll in and actively use E‑Verify for the STEM OPT employee’s employment.
Agree to and sign Form I‑983 (Training Plan for STEM OPT Students), outlining objectives, supervision, and evaluation methods. See the employer obligations in the NAFSA OPT report.
Because E‑Verify and I‑9 compliance intersect with anti‑discrimination rules, employers benefit from a refresher on I‑9 audit employee rights to avoid reverification pitfalls and bias.
Form I‑983 Training Plan
Purpose: Form I‑983 documents learning objectives, oversight, evaluation, and how the job advances the student’s STEM expertise.
Key fields to address:
Measurable goals: Define specific outcomes (e.g., “Develop and deploy a scalable microservice using Kubernetes to improve system performance by 20% within 6 months”).
Supervision plan: Identify the supervisor (name/title) and cadence of check‑ins.
Progress measurement: State metrics (e.g., defect rates, throughput, model accuracy, audit scores).
Hours per week: Confirm full‑time expectations where applicable.
Compensation parity: Pay must be commensurate with similarly situated U.S. workers.
Evaluation schedule: Include mid‑point and final evaluations, as required.
Employers should store signed I‑983s and periodic evaluations, and promptly update the DSO when material changes occur.
Employer Attestations and Labor Standards
Attest that the student is not displacing a U.S. worker and that wages and working conditions match those of comparable U.S. workers, consistent with the NAFSA OPT report.
Maintain a bona fide employer‑employee relationship with supervision and training consistent with the I‑983 plan.
STEM OPT Reporting and Timelines
Students and employers must report employment changes, material changes to I‑983, or termination to the DSO, and follow DHS reporting timelines, as summarized by NAFSA.
Employers should implement a shared reminder system for evaluations and status checks.
Compliance Risks and Document Retention
Failure to comply may result in loss of student work authorization and regulatory scrutiny for the employer, per the NAFSA OPT report.
Document retention: Keep I‑983 copies and updates, evaluations, I‑20s, EAD copies, pay records, and relevant email confirmations. Given growing privacy and data responsibilities, review your organization’s practices in light of employee data access rights if operating in jurisdictions with heightened data rights.
Practical STEM OPT Employer Checklist
Confirm E‑Verify enrollment and number before onboarding.
Complete and sign Form I‑983 with the student; set measurable goals and assign a qualified supervisor.
Track evaluations and report changes promptly to the DSO.
Address material changes (role, hours, location) with counsel; align wage and condition parity.
For general employer orientation to hiring F‑1 students at any stage, the U.S. employers guide to hiring international students offers clear, practical overviews.
Transition from OPT to H‑1B Visa
Why Timing Matters for OPT‑to‑H‑1B
The transition from OPT to H‑1B is a common path for F‑1 graduates seeking longer‑term employment in the U.S.; careful timing and planning protect employment continuity. Early conversations reduce risk and allow time to assemble filings.
Employer Sponsorship: Can Employer Sponsor H1B?
Yes. Employers can sponsor H‑1B if they meet program requirements and are willing to file and pay for the petition consistent with company policy. Clarify expectations with candidates and outline the filing calendar well before OPT end dates.
Labor Condition Application (LCA) Basics
The employer files a Labor Condition Application with the U.S. Department of Labor, attesting to prevailing wage, working conditions, and notice requirements. The certified LCA is a prerequisite for the H‑1B petition and must be posted per regulation.
Filing the H‑1B Petition
Once the LCA is certified, the employer files Form I‑129 with USCIS, including the H Classification Supplement and evidence of the specialty occupation, the beneficiary’s qualifications, and the employer‑employee relationship. Maintain a tidy public access file and coordinate with counsel on document readiness.
Cap, Lottery, and Start Dates
Most new H‑1Bs are cap‑subject. The typical H‑1B cap process and filings occur in spring, and selected petitions usually have an October 1 start date. These timing norms are recognized in employer guides such as the UMich career center guide.
Cap‑Gap Extension Explained
If a cap‑subject H‑1B petition is filed and selected for a student on post‑completion OPT, a cap‑gap extension can bridge employment authorization from OPT expiration to the October 1 H‑1B start date. The student’s DSO updates SEVIS to reflect cap‑gap status. This bridge is highlighted in the U.S. employers guide to hiring international students.
Risk Management and Backup Options
Start sponsorship discussions months before OPT ends.
If not selected in the cap, explore STEM OPT (if eligible), cap‑exempt roles (universities/research), or other visa classes as backups.
Maintain continuous employment documentation and avoid exceeding the post‑completion OPT 90‑day unemployment limit while awaiting results.
Employers can also use fair hiring practices during background screening. See your obligations under the FCRA employment background check rules and consider whether and when you can run a credit check for a given role.
Sample OPT‑to‑H‑1B Timelines
Example A: OPT ends May 31. Employer completes registration and files in April; petition is selected and approved. Cap‑gap covers June–September; H‑1B starts Oct 1.
Example B: OPT ends July 15. Employer files in April, but petition is not selected. Student (with a qualifying degree and E‑Verify employer) files STEM OPT extension for 24 months to continue employment and re‑enter the H‑1B lottery next cycle.
Employer Costs and Compliance Considerations
Budget for filing fees and legal support; maintain a public access file for the LCA.
Ensure job duties align with specialty occupation criteria; retain evidence of degree‑to‑role fit.
Coordinate closely with the student and DSO; keep records of communications and any work authorization updates. For broader context on immigrant workers’ rights in the U.S. workplace, see immigrant worker rights.
Employer Perspective on Sponsorship and Compliance
Employer Responsibilities at a Glance
Track I‑20s, EAD cards, Form I‑983 (for STEM), start/end dates, and reporting deadlines.
For STEM OPT: confirm E‑Verify, sign and maintain I‑983, and supervise per plan (see the NAFSA OPT report).
For H‑1B: prepare the LCA and Form I‑129 package, keep a public access file, and monitor status changes.
Ensure wages/conditions are consistent with similarly employed U.S. workers; avoid displacement.
Operational Best Practices
Create an internal tracker for each international hire with: visa type, authorization start/end, EAD/DSO contact, I‑983 status, E‑Verify confirmation, H‑1B windows, and escalation paths.
Standardize onboarding for F‑1 hires: copies of I‑20/EAD, signed I‑983 (if STEM), proof of E‑Verify enrollment, and job descriptions tying duties to the degree.
Schedule quarterly check‑ins with STEM OPT employees for I‑983 evaluations; document any material role changes promptly.
Employers handling sensitive workforce data and monitoring should also be mindful of ethical and legal obligations around privacy and oversight. Review these primers on background check obligations and workplace privacy rights to align processes with law and policy.
Compliance Training and When to Consult Counsel
Give HR and managers basic training on CPT, OPT, STEM OPT, H‑1B, and recordkeeping.
Consult immigration counsel for material changes, complex restructurings, or anticipated audits.
Red flags that warrant immediate review: unexpected terminations of STEM OPT roles, significant reductions in pay/hours, or changes that undermine I‑983 objectives.
Quick FAQ Callouts
Can an employer sponsor H1B? Yes, if the company meets H‑1B rules and agrees to file; see the sponsorship details in the transition section.
Does full‑time CPT cancel my OPT? Yes, 12 months of full‑time CPT at one degree level makes you ineligible for OPT at that level (see CPT work authorization rules).
How many days of unemployment are allowed on OPT? Post‑completion OPT allows up to 90 days total; keep detailed documentation.
For day‑to‑day OPT reporting steps and status maintenance tips, students can consult the campus‑oriented OPT guidance (UCSD).
Conclusion
OPT employment rights provide a pathway to gain practical training for 12 months, with a possible 24‑month STEM extension for eligible fields.
CPT is curricular and can affect OPT eligibility; STEM OPT includes employer obligations like E‑Verify and Form I‑983 training plans.
The transition from OPT to H‑1B requires proactive planning; employers can sponsor H‑1B but must follow LCA and petition rules.
Stay in close contact with your DSO, maintain accurate records, and time filings carefully to avoid gaps in work authorization. For authoritative reference material, review the NAFSA OPT report, the UMich employer guidance, and the student‑focused UW post‑completion employment guide. This article is informational and not legal advice; regulations change and facts matter.
Need personalized help? Contact your DSO or immigration attorney for individualized next steps and to confirm current timelines, employer duties, and filing strategies that fit your exact situation.
Need help now? Get a free and instant case evaluation by US Employment Lawyers. See if your case qualifies within 30-seconds at https://usemploymentlawyers.com.
FAQ
What are OPT employment rights?
OPT allows eligible F‑1 students up to 12 months of practical training per degree level in roles directly related to their major. Students remain in F‑1 status, must report employment, and must not exceed 90 days of unemployment on post‑completion OPT. See the NAFSA OPT report.
How does CPT differ from OPT?
CPT is authorized by the DSO during a program when work is integral to the curriculum; no USCIS filing is needed. OPT usually occurs after program completion, requires an EAD, and is limited to 12 months per degree level. Full‑time CPT for 12 months eliminates OPT eligibility. See the UMich career center guide.
How long can I be unemployed on OPT?
Post‑completion OPT permits a cumulative total of up to 90 days of unemployment. Track days carefully and keep documentation to show employment was related to your field. The OPT guidance (UCSD) explains counting rules and reporting steps.
What are STEM OPT employer obligations?
Employers must participate in E‑Verify, sign Form I‑983 with measurable training goals and supervision, and ensure wage/condition parity with similarly situated U.S. workers. Material changes and terminations must be reported to the DSO on time. Details appear in the NAFSA OPT report.
Can an employer sponsor H‑1B for a student on OPT?
Yes. Employers can sponsor qualified F‑1 graduates by filing an LCA and an H‑1B petition (Form I‑129), often aiming for an Oct 1 start date if selected in the cap. Students with filed/selected cases may benefit from cap‑gap coverage. See timing norms in the UMich employer guidance.
