How Much Does It Cost to Hire H-2A Workers
For many farms and ranches, the question is no longer whether to use the H-2A program but whether they can afford it. With domestic labor harder to find every season, H-2A has become one of the most reliable ways to staff planting, harvest and year-round livestock work. Yet the program comes with a long list of costs, and employers who only budget for wages are often surprised when the bills start arriving.
The real cost of hiring H-2A workers includes wages, government filing fees, recruitment, housing, transportation, meals and administrative support. Some of these costs are fixed, some depend on how many workers you bring in, and some change from year to year. This article breaks down each piece so you can build an honest budget before you file.
Figures below reflect rules and rates in effect as of October 2026. H-2A wage rules in particular are changing, so always confirm current numbers before filing.
Wages: The Largest Cost by Far
Wages make up the biggest share of what you’ll spend on H-2A labor. Employers must pay H-2A workers, and U.S. workers doing the same jobs, the highest of several possible rates, including the Adverse Effect Wage Rate (AEWR), the applicable prevailing wage, and the federal or state minimum wage. For most farms, the AEWR has historically been the rate that controls.
The way the AEWR is calculated changed significantly in October 2025, when the Department of Labor issued an interim final rule. Instead of one rate per state, there are now two rates based on the skill level the job requires. Skill Level I covers entry-level work, while Skill Level II applies to jobs requiring experience. Rates are now drawn from federal occupational wage data rather than the old farm labor survey.
The new rule also introduced a housing-related adjustment. Because H-2A employers must provide free housing, the rule allows a lower hourly rate for H-2A workers to reflect the value of that housing. This adjustment is generally between about one and three dollars per hour and cannot exceed 30 percent of the hourly AEWR.
For the 2026-2027 period, the national average Skill Level I rate is about $12.31 per hour and the Skill Level II rate averages about $16.07, though individual states vary widely. In states with high minimum wages, the state minimum may end up being the controlling rate instead of the AEWR. Range occupations such as sheep and goat herding use a separate monthly rate, which is currently $2,132.41 per month.
It’s important to know that this wage framework is still in flux. A federal court has ordered the Department of Labor to issue a new rule by December 30, 2026, so employers filing for the 2027 season should expect possible changes. Choosing the correct skill level for each position is also critical, since misclassifying a job can create compliance problems later.
The Three-Fourths Guarantee
H-2A employers must offer workers employment for at least three-fourths of the hours promised in the work contract. If weather, crop failure or other factors cut work short, you may still owe pay for hours not worked. This makes it important to estimate your season length and weekly hours realistically.
Payroll Taxes
One factor that helps offset costs is that wages paid to H-2A workers are generally exempt from Social Security, Medicare and federal unemployment taxes. State unemployment rules vary, so check with your accountant or agent about your state.
Government Filing Fees
Several agencies charge fees during the H-2A process.
The first step is labor certification through the Department of Labor. When the certification is approved, employers pay a fee based on the number of workers certified, with a base amount plus a per-worker charge and a maximum cap per application.
Next comes the I-129 petition filed with U.S. Citizenship and Immigration Services. The fee depends on whether workers are named or unnamed on the petition. Petitions naming between one and 25 workers cost $1,090, while petitions with only unnamed workers cost $530. Employers with 25 or fewer full-time equivalent employees qualify for reduced rates of $545 for named and $460 for unnamed petitions. Named petitions are limited to 25 workers each, so larger crews may require multiple petitions.
On top of the petition fee, USCIS charges an Asylum Program Fee of $600 per petition, reduced to $300 for small employers and waived for qualifying nonprofits.
Workers must also apply for visas at a U.S. consulate, and the visa application fee is an employer cost because H-2A employers are required to cover visa-related fees. Recent federal changes have added new costs as well, including a $250 visa integrity fee on nonimmigrant visas and a higher Form I-94 fee. Because these newer fees are still being implemented and may change, confirm current amounts with your agent before budgeting.
Recruitment Costs
Before H-2A workers can be approved, employers must try to recruit U.S. workers. This involves submitting a job order to the state workforce agency, contacting former U.S. employees and, in some cases, placing advertisements. Recruitment costs are generally modest compared with wages, but they add time and administrative work.
If U.S. workers apply and are qualified, employers must hire them under the same terms offered to H-2A workers. That possibility should be considered when planning crew size.
Travel and Subsistence
H-2A employers are responsible for getting workers to and from the job. For inbound travel, employers must reimburse workers for transportation and daily subsistence from their home country to the work site once the worker completes half of the contract period. Many employers choose to pay these costs upfront instead, which is often simpler and helps attract reliable workers.
If the worker completes the full contract, the employer must also pay return transportation and subsistence. The daily subsistence rate is set by the Department of Labor and updated periodically.
Travel costs vary widely depending on where workers are coming from and how they travel. Bus transportation from northern Mexico costs far less than airfare from more distant countries.
Daily transportation is another requirement. Employers must provide free transportation between housing and work sites when housing isn’t within walking distance. That means budgeting for vehicles, insurance, fuel, maintenance and properly licensed drivers.
Housing
Housing is one of the most significant costs outside of wages. H-2A workers must receive housing at no cost, and it must meet federal or state safety and health standards. Housing is typically inspected before workers arrive.
Some employers already own suitable housing, while others build new housing, renovate existing buildings or rent homes, apartments or hotel rooms. Costs depend heavily on location, crew size and the condition of existing structures. Utilities, maintenance and repairs also count toward housing expenses.
The new AEWR housing adjustment recognizes some of this cost by lowering the H-2A wage rate, but employers still bear the full responsibility for providing compliant housing.
For a closer look at these obligations, read our guide to housing, wage, transportation and food requirements for H-2A visas.
Meals or Cooking Facilities
Employers must either provide three meals a day or supply free, convenient cooking and kitchen facilities so workers can prepare their own food. When meals are provided, employers may charge a limited daily amount set by the Department of Labor. Most farms choose to provide kitchen facilities, which keeps costs lower and gives workers more flexibility.
Insurance and Tools
H-2A employers must provide workers’ compensation or equivalent insurance coverage. Employers must also supply required tools, equipment and supplies at no cost to workers. These costs vary by type of operation but should be part of the budget.
Agency and Legal Fees
Most employers use an agent or attorney to manage the H-2A process. The paperwork is complex, deadlines are strict and mistakes can delay workers by weeks or even cost a season. An experienced agency handles labor certification, petitions, recruitment documentation, consular coordination and compliance support.
Agency fees vary depending on the services included, the number of workers and how much support the employer needs. When comparing agencies, look closely at what is included rather than only at the price. Our article on how to choose an H-2A agency explains what to look for.
Hidden Costs Employers Often Miss
Some H-2A costs don’t appear on a fee schedule. Delays in processing can leave crops unharvested or force employers to scramble for temporary help. Filing early reduces this risk, which is why we recommend employers start their H-2A application 120 days early.
Compliance mistakes can also be expensive. Back wages, penalties and lost eligibility can quickly outweigh the cost of doing things right from the start. Our H-2A compliance checklist for agricultural employers covers the key requirements.
Turnover is another cost. When a worker leaves early, employers may lose the investment made in travel, visa fees and onboarding.
Is H-2A Worth the Cost?
When all costs are added together, H-2A labor is rarely cheap. But for many farms, the more important comparison is between H-2A workers and having no reliable workforce at all. Crops left in the field, missed planting windows and stressed livestock cost far more than a well-planned H-2A program.
H-2A workers also tend to be dependable and committed to completing their contracts, and many return year after year, which reduces training time and improves productivity. The recent wage changes have lowered costs for many employers, especially for entry-level positions, making the program more accessible than it was just a few years ago.
For a balanced view, see our article on the pros and cons of the H-2A work visa program, and if you’re still deciding which program fits your operation, compare H-2A vs. H-2B visas for agricultural employers.
Building Your H-2A Budget
A realistic budget starts with your wage estimate based on the correct skill level and expected hours, then adds government fees, recruitment, travel, subsistence, housing, meals, transportation, insurance, tools and agency support. Planning for each of these from the beginning helps avoid surprises and keeps your season on track.
Head Honchos LLC helps farms and ranches navigate every step of the H-2A process, from cost planning and filing to compliance and worker arrival. Contact our team to get a clear estimate of what H-2A labor will cost for your operation this season.
