Optional Practical Training: The Latest News for International Students (October 2025)

Optional Practical Training (OPT) is a work authorization program that allows international students on F-1 visas to gain practical work experience in their field of study. Students can work for up to 12 months after graduation, and those in STEM fields can extend that to 36 months.

According to the 2024 Open Doors Report, approximately 200,000 international students are currently using OPT in the United States. It's one of the most valuable benefits of studying in the U.S., allowing graduates to gain American work experience and potentially transition to long-term employment.

Right now, OPT is facing unprecedented threats from multiple directions. Congressional bills aim to eliminate it entirely, new tax proposals would slash your take-home pay, and surprise government inspections are ramping up across the country.

Here's the latest news you need to know.

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The Tax Threat: Say Goodbye to Your FICA Exemption

Senator Tom Cotton just introduced the OPT Fair Tax Act, which if passed, could cost international students thousands of dollars.

Right now, F-1 students on OPT don't pay FICA taxes for their first five years in the U.S. FICA stands for Federal Insurance Contributions Act, and it covers Social Security and Medicare taxes.

That exemption saves you 7.65% of your salary. It also saves your employer 7.65% because they don't have to match your contributions.

If Cotton's bill passes, that exemption disappears.

Here's what that means in real numbers: If you earn $70,000 per year, you'd lose approximately $5,355 annually. That's money straight out of your paycheck.

According to the Times of India, this change would hit Indian students especially hard since India sends nearly 100,000 students to the U.S. on OPT.

Cotton's argument? "Our tax code shouldn't incentivize businesses to hire foreign workers."

The reality is that employers currently save money by hiring OPT workers instead of Americans. If this bill passes, that financial advantage disappears.

The Elimination Threat: A Bill to Kill OPT Completely

Senator Jim Banks introduced the American Tech Workforce Act of 2025 (S. 2821) in September 2025.

If passed, this bill would completely eliminate OPT.

No more post-graduation work authorization. No transition period. Just gone.

The bill also includes other major changes to high-skilled immigration:

• Raises H-1B minimum salary to $150,000 (currently around $60,000)

• Ends the H-1B lottery system and replaces it with salary-based allocation

• Prohibits third-party H-1B placements

• Requires employers to search for U.S. workers for 180 days before hiring H-1B workers

If this passes, international students would either have to leave the country or find an employer who would be willing to sponsor your H-1B visa.

This would fundamentally change the value of a U.S. education for international students. Many international students rely on OPT to gain work experience after graduation since there are limitations to working while studying.

The Legal Threat: Grassley Says OPT Is "Unlawful"

On September 23, 2025, Senator Grassley sent a letter to DHS Secretary Kristi Noem calling for an immediate end to OPT.

Grassley isn't trying to pass new legislation. He's arguing that OPT is already illegal and DHS should just stop it.

His main arguments:

• The F-1 visa is "solely" for education, not employment, according to the Immigration and Nationality Act

• Rising unemployment among college-educated Americans, especially STEM graduates

• National security concerns about over 33,000 Chinese student visa holders with STEM work authorizations

• FBI warnings about "systematic theft of intellectual property" and espionage risks

Grassley gave DHS a deadline: October 10, 2025 to respond.

If DHS agrees with Grassley's interpretation, it could administratively end OPT without Congress passing any new laws. That would be the fastest route to elimination. Since the government is shut down as I'm writing this, I'd be surprised if a response comes by October 10.

The Reform Threat: Possible Tougher Transition From OPT to H-1B

Senators Chuck Grassley and Dick Durbin reintroduced the H-1B and L-1 Visa Reform Act of 2025.

This bipartisan bill doesn't eliminate OPT, but I felt it was important to bring it up here because if this act passes, it could make the transition from OPT to H-1B much harder, or going directly from graduating with a bachelor's to H-1B pretty tough.

Key provisions include:

• Prioritizing U.S. master's degree holders for H-1B visas

• Raising H-1B wages to match market rates

• Increasing employer compliance obligations

• Prohibiting employers from replacing U.S. workers with H-1B holders

• Strengthening whistleblower protections

This bill has been introduced multiple times since 2007 and has never passed. But that doesn't mean it won't this time.

If it does pass, you could still use OPT, but your chances of getting an H-1B afterward could drop significantly. Employers will face more scrutiny, higher costs, and stricter requirements.

The silver lining? If you earn a U.S. master's degree, you'd get priority in the H-1B system.

The Enforcement Threat: Surprise Inspections Are Ramping Up

Even if OPT survives politically, enforcement is getting much stricter.

According to the Economic Times, the Trump administration has intensified unannounced inspections on foreign students using OPT.

The Fraud Detection and National Security (FDNS) unit is conducting surprise visits to student housing and workplaces.

What they're checking:

• Are you actually working where you said you're working?

• Is your employment related to your field of study?

• Are you being paid appropriately?

• Is your employer legitimate?

In other words: Inaccurate employment reporting can now result in immediate deportation.

I have read stories about some graduates not really working even though they are on OPT. But we're talking very few...those who follow the rules (I would think) would be fine.

What This Means for Different Groups

If You're Currently on OPT

Keep immaculate records of everything. Save pay stubs, offer letters, job descriptions, and any communication with your employer about your role.

Make sure your employment information in SEVIS is 100% accurate and up to date. Report any changes within 10 days to your Designated School Official (DSO).

If FDNS shows up for a site visit, be cooperative and have your documents ready.

You could start exploring other plans, including the EB-3 green card pathway or opportunities in other countries.

If You're Planning to Use OPT

Unfortunately, we can't assume right now that OPT will still exist when you graduate, so it won't hurt to have alternative plans.

Consider pursuing a U.S. master's degree, depending on your major.

You could also research post-study work options in Canada, UK, Australia, and other countries as backup destinations.

If You're Considering Studying in the U.S.

If you're still in your home country and thinking about studying in the U.S., it just depends on what your ultimate goals.

I've shared with students before, U.S. student visas have always been non-immigrant visas. This means you come to the U.S. to study, not work. That's why international students are limited to how much they can work while on campus. So, it doesn't surprise me that Senators are proposing the changes I listed above.

If you want to earn your degree in the U.S., that is still very much possible. However, if you want to also gain work experience when you come to the U.S., that may change depending on your education and what changes happen (if any).

For instance, if you have work experience back home and come to the U.S. for a master's degree, you may still be able to get an employer to sponsor your H-1B after graduation.

If you come to the U.S. to earn a bachelor's degree, it may be tougher to go into the U.S. workforce after graduation if any of the changes happen. You could continue your studies and earn a master's degree, and then plan to have an employer sponsor your H-1B.

This is where research will be important. Compare post-study work rights across countries. Canada offers three years of work authorization for many programs. The UK offers two years. Australia offers two to four years, depending on your degree.

Of course, stay informed about these policy changes before making your final decision. This is all still speculative.

How to Protect Yourself

Here are concrete steps you can take right now:

Documentation: Keep copies of everything related to your employment, visa status, and academic records. Store them digitally and physically.

Compliance: Report all employment changes to your DSO within 10 days. Make sure your SEVIS information is always current.

Financial Planning: Budget for the possibility of losing 7.65% of your salary to FICA taxes. Don't count on that exemption lasting.

Alternative Pathways: Research the EB-3 green card option, which doesn't require OPT or H-1B. We've covered this pathway in previous articles as an alternative to the uncertain visa lottery system.

Legal Consultation: If you're facing a site visit or have concerns about your status, consult an immigration attorney immediately. Don't wait until there's a problem.

Stay Informed: These policies are changing rapidly. Subscribe to reliable sources that track immigration news.

The Bottom Line

OPT is facing the most serious changes in its history. Multiple senators are proposing various changes from different angles, enforcement is intensifying, and while Americans in general "like" international students, there is a reported sentiment of putting restrictions on international students, especially when it comes to employment.

But here's the reality: OPT has survived challenges before. Bills get introduced and fail. Political winds shift. What matters is that you stay informed and prepared.

Don't panic, but don't be complacent either.

Keep your documentation perfect. Have backup plans ready. Stay on top of the news. And remember that you have options beyond OPT and H-1B.

We'll be tracking all of these developments and keeping you updated. This is exactly why International Student Voice exists—to give you honest, transparent information when you need it most.

Stay strong, stay informed, and stay prepared.

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Disclaimer: International Student Voice is not an immigration attorney or immigration advisor. The purpose of this content is strictly educational. Always consult with qualified legal counsel for advice specific to your situation.