H1B Prevailing Wage Calculator
Estimate the Department of Labor (DOL) Wage Level and Minimum Salary for your LCA filing.
Estimated Prevailing Wage (Hourly)
Level 1
$0
+0 Points
Wage Comparison by Level
Comparison of estimated hourly rates across all 4 H1B wage levels based on your input.
| Wage Level | Classification | Est. Hourly | Est. Annual |
|---|
What is an H1B Prevailing Wage Calculator?
An H1B Prevailing Wage Calculator is a specialized tool used by employers and immigration attorneys to determine the minimum salary required by the Department of Labor (DOL) for an H1B visa petition. The prevailing wage is defined as the average wage paid to similarly employed workers in a specific occupation in the area of intended employment.
Using an H1B Prevailing Wage Calculator ensures that the hiring of a foreign worker does not adversely affect the wages and working conditions of U.S. workers. The DOL categorizes these wages into four distinct levels, ranging from entry-level to fully competent professionals. Miscalculating this figure can lead to a Labor Condition Application (LCA) denial or a Request for Evidence (RFE) from USCIS.
H1B Prevailing Wage Calculator Formula and Mathematical Explanation
The calculation is based on the OES (Occupational Employment Statistics) survey data. The DOL applies a four-tier structure using the following logic:
- Level 1 (Entry): Approximately the 17th percentile of the local wage distribution.
- Level 2 (Qualified): Approximately the 34th percentile.
- Level 3 (Experienced): Approximately the 50th percentile (the Median).
- Level 4 (Fully Competent): Approximately the 67th percentile.
Our H1B Prevailing Wage Calculator uses a point-based system derived from the DOL Guidance on Prevailing Wage Determinations. The base level is Level 1. Points are added based on the following variables:
| Variable | Meaning | Unit | Points Added |
|---|---|---|---|
| Experience | Years of professional experience required | Years | 0 to 3 |
| Education | Degree requirement above O*NET norm | Level | 0 to 2 |
| Supervision | Management of other employees | Boolean | 1 point |
| Special Skills | Niche certifications or requirements | Boolean | 1 point |
Practical Examples (Real-World Use Cases)
Example 1: Software Developer in San Jose, CA
Suppose the median (Level 3) wage for a Software Developer in San Jose is $75.00/hour. An employer wants to hire a candidate with a Master’s degree for a role that typically only requires a Bachelor’s, plus 3 years of experience. The H1B Prevailing Wage Calculator would apply +1 point for education and +1 point for experience, moving the wage from Level 1 to Level 3. The employer must pay at least $75.00/hour.
Example 2: Entry-Level Financial Analyst in Dallas, TX
For a role requiring 0-1 years of experience and a standard Bachelor’s degree, the points remain at zero. The H1B Prevailing Wage Calculator identifies this as Level 1. If the median is $40.00/hour, the Level 1 wage might be calculated at approximately $28.00/hour (depending on the specific OES distribution).
How to Use This H1B Prevailing Wage Calculator
- Find your Base Wage: Visit the FLC Data Center (OES) and find the “Median” or “Level 3” wage for your specific SOC code and County.
- Input Experience: Select how many years of experience the employer is requiring for the role (not the candidate’s total experience).
- Select Education: Determine if the job requires a degree higher than what is standard for that occupation.
- Toggle Supervision: If the role involves managing a team, select “Direct Supervision.”
- Review Results: The calculator will instantly display the Wage Level and the estimated required hourly and annual salary.
Key Factors That Affect H1B Prevailing Wage Results
- SOC Code Selection: Choosing a “Computer Programmer” code vs. “Software Developer” can result in vastly different wage requirements.
- Geographic Location (MSA): Wages in New York City or San Francisco are significantly higher than in rural areas due to cost of living.
- Experience Requirements: Requiring even one year more than the “SVP” (Specific Vocational Preparation) range can bump the wage level.
- Education Level: Professional degrees or multiple degrees often require higher wage tiers.
- Industry Standards: Non-profit research organizations or universities may have different wage scales than private corporations.
- Job Duties: Complex duties that combine two different occupations will usually default to the higher-paying SOC code.
Frequently Asked Questions (FAQ)
No. The employer must pay the higher of the prevailing wage or the actual wage paid to other employees with similar experience and qualifications.
Employers generally use the OES data valid at the time of filing the LCA. New filings must use the updated data, usually released in July.
Yes, every new LCA filed for an H1B transfer must meet the prevailing wage requirements for the new location and role.
The Labor Condition Application (Form ETA-9035) is a document that the employer files with the DOL before the H1B petition is submitted to USCIS.
Level 1 is for entry-level, Level 2 for qualified, Level 3 for experienced, and Level 4 for senior/management positions.
Yes, but the private survey must meet strict DOL methodology requirements to be accepted for an LCA.
The hourly rate remains the same. The annual salary is calculated based on the number of hours worked per week.
If a job requires travel to multiple locations, the employer usually must pay the highest prevailing wage among all the potential work sites.
Related Tools and Internal Resources
- H1B Visa Guide – A comprehensive guide to the entire H1B application process.
- LCA Filing Process – Step-by-step instructions for filing your Labor Condition Application.
- H1B Lottery Odds – Calculate your chances of being selected in the annual cap.
- Green Card Backlog Calculator – Estimate your wait time for a permanent residency visa.
- USCIS Processing Times – Track current wait times for various visa categories.
- H1B Transfer Costs – Breakdown of fees associated with changing employers.