When you’re on an H1B visa and face a job loss, the stakes are high, not just professionally, but legally. The question many tech professionals face is: “Should I apply for an H1B transfer or switch to H4 if I lose my job?”
In this guide, we’ll walk you through what each option entails, how to act within the USCIS grace period, what documents you need, and how to make the best decision for your immigration and career path.
Quick Summary:
Key Takeaways:
You have a 60-day grace period after job termination to take action.
H1B transfer allows you to continue working with a new employer.
H4 lets you stay in the U.S. as a dependent of an H1B visa holder, but usually without work authorization unless you have an H4 EAD.
Your choice depends on job prospects, spouse’s visa status, and long-term career goals.
What Happens When You Lose Your Job on H1B?
Understanding the 60-Day Grace Period
The USCIS 60-day grace period allows H1B workers who’ve been laid off to stay in the U.S. and find a new sponsor. You must either:
File an H1B transfer, or
Apply for a change of status (e.g., to H4, B2)
Important: If no action is taken within the grace period, you may begin accruing unlawful presence, which can impact future visa approvals.
Option 1: H1B Transfer, Stay Employed Legally
What is an H1B Transfer?
An H1B transfer is when a new employer files a petition to transfer your H1B status under their sponsorship. It does not require you to leave the country.
When to Use:
You have a job offer or are actively interviewing with strong prospects.
You want to continue working without interruption.
Your priority is maintaining work authorization in the U.S.
Documents for H1B Transfer- Checklist:
Copy of most recent I-797 approval notice
Copy of passport, visa stamp, and I-94
Most recent pay stubs (last 3 months)
Updated resume and job offer letter
Copy of previous H1B petitions
Pros:
Seamless transition without leaving the U.S.
Continued work authorization
Maintains H1B path toward green card (I-140 portability)
Cons:
Employer must file within 60 days.
Requires legal fees and active sponsorship.
Option 2: Switch to H4, A Safety Net
What is an H4 Visa?
The H4 visa is for spouses or dependents of H1B visa holders. It allows you to remain in the U.S. but does not permit work unless you obtain an Employment Authorization Document (EAD).
When to Use:
You’re married to someone on an active H1B visa.
You don’t have a job offer lined up.
You need time to plan your next move or switch careers.
Checklist: Documents for H4 Application
Your spouse’s H1B approval notice (I-797)
Copy of marriage certificate
Your and your spouse’s passports and I-94s
Photos as per USCIS guidelines
Completed Form I-539 for change of status
Pros:
Legal stay in the U.S. even without a job
Ability to apply for H4 EAD if spouse has approved I-140
No employer sponsorship required
Cons:
Cannot work unless H4 EAD is approved
Transition back to H1B may require consular stamping
Real-Life Scenario: Layoff in Texas, Decision-Making Under Pressure
Ravi, a software engineer in Dallas, Texas, was laid off from a mid-sized IT firm. With only 55 days left in his grace period, he hadn’t secured a new offer. His wife had an active H1B with an I-140 approved.
Solution: Ravi applied for a change of status to H4 while continuing his job search. Two months later, he landed an offer. His new employer filed an H1B petition while the H4 was still pending, and USCIS approved the change of status back to H1B without him leaving the U.S.
Lesson: Applying for H4 can serve as a legal bridge while you look for new employment.
Questions to Ask Your Immigration Attorney
Can I file for H1B transfer if my H4 change of status is already pending?
Can my new employer file H1B transfer under premium processing?
How long does a change to H4 typically take in New Jersey or California?
Will moving to H4 impact my green card process?
Common FAQs
Q: Can I apply for H1B transfer after applying for H4?
A: Yes. As long as your H4 is pending and you’re within the grace period or have maintained legal status, your new employer can still file a transfer.
Q: Do I have to leave the U.S. if I switch to H4?
A: No, if you file a change of status (COS) within the grace period, you can stay in the U.S. while USCIS processes the request.
Q: Can I work on H4 without an EAD?
A: No. H4 holders must have an approved Employment Authorization Document (EAD) to work legally.
What’s Better: H1B Transfer or H4 After Layoff?
Final Thoughts:
So, should you apply for H1B transfer or switch to H4 if you lose your job?
It depends on your circumstances.
If you have or expect a job offer within 60 days, go for an H1B transfer.
If you're uncertain, and your spouse holds a valid H1B, switching to H4 is a safer legal route.
Some professionals even file both simultaneously, a strategic move that requires expert legal guidance.
Plan early, consult an immigration attorney, and act within the grace period.
Action Checklist: What To Do After H1B Job Loss
Mark your last working day
Calculate your 60-day grace period
Start applying for jobs or get interview-ready
If married to an H1B holder, prepare H4 documents
Consult an immigration attorney for dual-filing strategy
Maintain documentation of all USCIS filings and responses
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