Grace Periods After OPT Job Loss

Updated: September 12, 2025

Grace Periods After OPT Job Loss

Quick Summary:

Losing a job while on OPT (Optional Practical Training) can be stressful, but knowing your options and timelines can make all the difference. This article explains the grace period after OPT job loss, what to do next, and how to stay compliant with USCIS regulations. Whether you're exploring H1B transfers, STEM extensions, or just need time to regroup, we’ve got you covered.

Key Takeaways

  • You have 60 days grace period after job loss on post-completion OPT.

  • For STEM OPT extension holders, you must not exceed 150 days of unemployment across the OPT period.

  • Options include: job search, H1B transfer, enrolling in a new degree, or changing visa status.

  • Always consult an immigration attorney if uncertain.

What Is OPT and Why Grace Periods Matter

Optional Practical Training (OPT) is a work authorization granted to F-1 international students to gain practical experience in their field of study. It typically lasts for 12 months post-graduation, with a possible 24-month STEM OPT extension for eligible STEM majors.

The grace period refers to the time you are legally allowed to remain in the U.S. after a job loss without violating your immigration status.

Also Read: Maintaining Status While on OPT

Understanding the Grace Period After OPT Job Loss

Post-Completion OPT Grace Period

  • If you're on regular 12-month OPT, USCIS allows a 60-day grace period after your employment ends.

  • You can use this time to:

  • Find a new qualifying job

  • Transfer to a new academic program

  • Prepare to leave the U.S.

Important: The 60-day grace period only begins after your EAD (Employment Authorization Document) expires or upon exceeding allowed unemployment days, not immediately after losing a job if you still have time left.

STEM OPT Extension Grace Period

If you’re on a STEM OPT extension, you must not exceed 150 cumulative days of unemployment during the entire 36-month OPT period (12-month OPT + 24-month STEM).

No additional 60-day grace period is granted after exceeding unemployment days, you must act immediately.

What Counts as Unemployment on OPT?

USCIS defines unemployment as days without qualifying employment. Acceptable employment types include:

  • Full-time or part-time paid jobs related to your degree

  • Contract work through a staffing agency (with proper documentation)

  • Self-employment (if compliant with business and F-1 rules)

  • Unpaid internships (if meeting fair labor standards and relevant to your field)

  • If you're unsure if your job qualifies, consult your DSO (Designated School Official) or an immigration attorney.

    Also Read: OPT for F1 Students: Everything You Need to Know

Real-Life Case Study

Situation: Ravi, a software engineer in New Jersey, was laid off during a company-wide restructuring while on STEM OPT. He had already used 70 days of unemployment during his 12-month OPT.
Challenge: He had just 80 days of unemployment left on STEM OPT and needed to find a job quickly.
Solution: Ravi registered on Techotlist, applied to H1B-compliant jobs, and secured an interview within two weeks. With documentation in place, he stayed compliant and filed for H1B sponsorship through his new employer.

What Should You Do During the Grace Period?

Checklist: Actions to Take After OPT Job Loss

  • Track your unemployment days carefully (across OPT + STEM OPT)

  • Notify your DSO of job loss and update SEVIS

  • Look for qualifying employment immediately

  • Apply for jobs that are eligible for H1B sponsorship

  • Consider enrolling in a higher degree program (to maintain F-1 status)

  • Explore a change of status, such as B2 or H1B, if employment isn’t possible

  • Consult an immigration attorney for complex cases

Legal Terms You Should Know

DSO (Designated School Official): School official responsible for F-1 student records

SEVIS (Student and Exchange Visitor Information System): Database that tracks international student status

EAD (Employment Authorization Document): Work permit card issued by USCIS

Unlawful Presence: Time spent in the U.S. without valid immigration status, which can trigger bars on re-entry

Questions to Ask Your Immigration Attorney

How can I switch from OPT to H1B without leaving the U.S.?

What happens if I exceed the allowed unemployment days?

Can I travel internationally during the grace period?

Is enrolling in a CPT-approved program a safe option?

What evidence do I need for self-employment on OPT?

FAQs

Can I work during the OPT grace period?

No. The grace period is for preparation to depart or transition. You cannot work unless you secure a new EAD or transfer your SEVIS record to a new school.

Can I apply for H1B after losing my job on OPT?

Yes, if you're within status and meet the cap or cap-exempt criteria. Use the grace period to find a qualifying employer.

Can I leave the U.S. and return during my grace period?

Usually no. Re-entry during the grace period is risky without a valid job or I-20. Consult your DSO before any travel plans.

Grace Periods and Immigration Hubs

This topic is especially relevant in tech-heavy regions like:

  • New Jersey – Home to many F-1 visa holders in STEM roles

  • Texas & California – High volume of layoffs in 2023–2024 impacted OPT workers

  • Hyderabad – A common location for visa stamping and return preparation

Planning your next steps early, especially if considering H1B filing or stamping, is crucial.

Final Thoughts: Don’t Panic, Act Strategically

Losing a job on OPT can feel overwhelming, but you have options and time, especially during the grace period. The key is knowing your legal rights, staying proactive, and using platforms like Techotlist to discover H1B-compliant job opportunities.

Ready to Take the Next Step?

Looking for H1B-compliant jobs? Join Techotlist today and let jobs chase you. Our platform is built for international tech talent like you, connect with top employers, track submissions, and stay ahead of visa timelines.

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