OEWS data, SOC codes, MSA-based calculations, why the same job has different wage levels in different cities, and how to use this for FY2027 lottery strategy
Understanding how prevailing wage levels are determined is essential for H-1B workers in 2026 — especially with the wage-weighted lottery making wage levels directly impact your selection odds. The system is more mechanical than most people realize: it's driven by Bureau of Labor Statistics data, SOC occupation codes, and geographic area. Here's how it actually works.
| Wage Level | Percentile | Interpretation | SW Engineer (SF) | SW Engineer (Dallas) |
|---|---|---|---|---|
| Level 1 (Entry) | 17th | Entry-level, close supervision | ~$120,000 | ~$85,000 |
| Level 2 (Qualified) | 34th | Qualified, limited judgment | ~$145,000 | ~$105,000 |
| Level 3 (Experienced) | 50th | Experienced, independent judgment | ~$172,000 | ~$125,000 |
| Level 4 (Fully Competent) | 67th | Fully competent, special expertise | ~$198,000 | ~$145,000 |
The prevailing wage system starts with two inputs: (1) the Standard Occupational Classification (SOC) code for the position, and (2) the Metropolitan Statistical Area (MSA) where the work will be performed. Using these, the DOL looks up the wage distribution from the Bureau of Labor Statistics' OEWS survey and calculates four levels based on percentile breakpoints.
This is why the same job title can fall into different wage levels in different cities. A software engineer earning $130,000 in San Francisco is at Level 1 (17th percentile for that MSA), while the same $130,000 salary in Dallas would be Level 3 (50th percentile). For the wage-weighted lottery, this means a Dallas-based position at $130,000 has BETTER lottery odds than a San Francisco position at the same salary — because it maps to a higher wage level.
The SOC code assignment is equally critical. The same person could be classified as a "Software Developer" (15-1252) or a "Computer Systems Analyst" (15-1211), and the wage distributions are different. Employers and attorneys choose SOC codes based on the actual job duties, but there's often legitimate flexibility in classification. A strategic SOC code assignment — always within what the duties genuinely support — can place the position in a higher wage level.
Find employers filing at Level 3 and Level 4 prevailing wages in your city.
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Search H-1B Sponsors on Wisa →The wage level must accurately reflect the position's requirements and the offered salary. Your employer cannot simply 'choose' a higher level — the LCA wage level is determined by the actual salary relative to the prevailing wage distribution for the SOC code and work location. However, you can negotiate a higher salary, which may naturally place you in a higher wage level. You can also discuss with your attorney whether a different (but legitimate) SOC code classification would result in a higher level.
Because prevailing wages are calculated from local wage distributions. San Francisco has much higher wages for tech workers — $130,000 is at the 17th percentile (Level 1) there. In Dallas, where tech wages are lower, $130,000 is at the 50th percentile (Level 3). This is why geographic location dramatically affects your wage level classification and, under the new lottery, your selection odds.
The work location on the LCA must be where the work will actually be performed. Filing a Dallas LCA for work actually performed in San Francisco is fraud. However, if you genuinely work remotely and the employer has offices in multiple locations, there may be legitimate flexibility in which location is designated. This must be discussed with an immigration attorney — the work location must be truthful.
Use the DOL Foreign Labor Certification Data Center's Online Wage Library at flcdatacenter.com. Enter the SOC code (e.g., 15-1252 for Software Developers), select the MSA/area, and it shows all four wage levels. You can also use the H-1B LCA disclosure data on Wisa to see what wage levels other employers are filing at for similar positions in your area.