TN vs H-1B: Hiring Canadian and Mexican Professionals
By Kyle Farmer, Farmer Law PC, Austin, Texas.
Last reviewed: November 9, 2026.
Short answer: For a Canadian or Mexican citizen whose job is on the USMCA professions list, TN is usually faster and simpler than H-1B. There is no annual cap, no lottery and no labor condition application, and Canadians can apply at the border. H-1B covers any nationality and any specialty occupation and allows dual intent, but it is capped and selected by registration. Many employers start with TN and plan an H-1B or green card path when it fits.
If you’re a U.S. employer weighing TN and H-1B for a Canadian or Mexican hire, book a free 15-minute intro call.
Side by side
| TN | H-1B | |
|---|---|---|
| Who | Citizens of Canada or Mexico | Any nationality |
| Job | A profession on the USMCA list (8 CFR 214.6(c)) | A specialty occupation generally requiring a bachelor’s or higher degree in the specific specialty, or its equivalent |
| Annual limit | None | 65,000 regular cap plus 20,000 for U.S. master’s degree holders, with cap-exempt employers (USCIS H-1B page) |
| Selection | None | Electronic registration and, if needed, a weighted selection based on wage level (USCIS registration page) |
| Labor condition application | Not required | Required, with wage and working-condition attestations |
| Wage rule | No prevailing wage requirement; pay should reflect professional-level work (9 FAM 402.17-6) | At least the actual wage paid to similar workers or the prevailing wage, whichever is higher (USCIS H-1B page) |
| Where to apply | Canadians at a port of entry or preclearance; Mexicans at a U.S. consulate; Form I-129 inside the U.S. | Form I-129 petition to USCIS, then a visa or change of status |
| Stay | Up to 3 years per admission, no total limit while the stay stays temporary | Up to 3 years, extendable to 6 years total, with some exceptions |
| Green card plans | Temporary entry required; INA 214(b) applies (9 FAM 402.17-7) | Dual intent allowed (8 CFR 214.2(h)(16)(i)) |
| Owner-employees | No TN for a company you solely or controllingly own (8 CFR 214.6(b)) | Possible, with shorter approval periods for majority owners (USCIS H-1B page) |
Why TN often comes first
- No cap or lottery. A TN hire can start once the worker is admitted, without waiting for a registration season. H-1B cap cases depend on selection, and USCIS reports that the FY 2027 regular cap and master’s cap have been reached (USCIS registration page).
- Simpler filing for Canadians. A Canadian citizen applies for admission with a CBP officer at a Class A port of entry, a U.S. airport that handles international traffic, or a preclearance station, with the employer letter and credentials (8 CFR 214.6(d)(2)).
- No labor condition application. TN has no LCA step. Employers still need to pay at a level that fits professional work (9 FAM 402.17-6).
- No six-year limit. Each TN admission is up to 3 years, with no total limit on years in TN status while each stay remains temporary (8 CFR 214.6(e); 9 FAM 402.17-9).
When H-1B may fit better
- The job is not on the USMCA list. TN covers only listed professions, and the duties must match the profession (9 FAM 402.17-4(A)). Many specialty occupations, such as software developer roles that are not systems analyst or engineer work, may not fit a TN category (9 FAM 402.17-6).
- A green card is planned soon. H-1B allows dual intent, so an employer-sponsored green card case does not by itself block H-1B extensions or travel (8 CFR 214.2(h)(16)(i)). TN requires temporary intent, and INA 214(b) applies (9 FAM 402.17-7). Plan the order of steps before filing a green card case for a TN worker.
- The worker owns the company. TN does not cover a company the worker solely or controllingly owns (8 CFR 214.6(b)). H-1B can be possible for an owner-employee, with an 18-month limit on the initial approval and first extension for a majority owner (USCIS H-1B page).
New H-1B costs and rules to check
H-1B rules changed in 2025 and 2026. A September 2025 proclamation added a large one-time payment for certain new H-1B petitions, mainly for workers outside the United States, and a September 2026 proclamation extended it to September 21, 2027 (91 FR 60497). On June 8, 2026, a federal district court vacated the agency guidance implementing the payment, and on July 24, 2026, the First Circuit denied the government’s request for a stay. As of November 9, 2026, USCIS says DHS will comply with that order while it considers next steps, and still plans to collect the payment if the order is lifted (USCIS H-1B FAQ). Other court cases on the payment are pending. A weighted selection rule now applies when registrations exceed the cap (USCIS registration page). Check the current status on the day you plan an H-1B filing.
Changing jobs
- TN: a new or added employer must file Form I-129, or the worker seeks readmission at the border with the new employer’s letter (a Mexican citizen presents it with a new TN visa application at a consulate). Work for the new employer is not authorized before approval of a Form I-129 request (8 CFR 214.6(i)).
- H-1B: an eligible H-1B worker can generally start with a new employer once that employer properly files a non-frivolous Form I-129, under the portability rules (USCIS H-1B page).
How TN filing works
Canadian citizens do not need a visa. You apply for admission with a CBP officer at a U.S. Class A port of entry, a U.S. airport that handles international traffic, or a U.S. preclearance or pre-flight station (8 CFR 214.6(d)(2)). You bring proof of Canadian citizenship, the employer letter and your credentials, and you pay the CBP fee on admission. An employer may choose to file Form I-129 for a Canadian outside the U.S.
Mexican citizens apply for a TN visa at a U.S. embassy or consulate, then present the passport and TN visa to CBP at the port of entry (8 CFR 214.6(d)(1)). Workers outside the U.S. don’t need a USCIS petition.
For a worker already in the U.S., the employer files Form I-129 to extend TN status, change employers, or change to TN from another status (8 CFR 214.6(h), (i); 8 CFR 248.3(a)). See TN at a port of entry vs a U.S. consulate for the two paths side by side.
For the employer side of TN, see our TN visa for employers guide. For H-1B basics, see our H-1B visa page.
How Farmer Law PC helps
Our attorneys help U.S. employers choose between TN and H-1B for Canadian and Mexican hires. We check whether the job fits a TN category, map the green card timing, and prepare the TN letter or the H-1B filing.
FAQ
Is TN or H-1B better for hiring a Canadian?
It depends on the job and plans. If the job is a listed USMCA profession, TN is usually faster, with no cap or lottery. If the job is not listed, or a green card is planned soon, H-1B may fit better.
Does TN have a cap like H-1B?
No. TN has no annual numerical limit. H-1B has a 65,000 regular cap plus 20,000 for U.S. master’s degree holders, with exemptions for certain employers.
Can a TN worker apply for a green card?
A green card is possible, but TN requires temporary intent, so the timing matters. H-1B allows dual intent. Plan the order of steps before filing.
Can a TN worker switch to H-1B?
Yes, if the employer obtains an H-1B through the normal process, including registration and selection for cap cases. The change can be made by petition inside the U.S. or through a visa abroad.
Does TN require a labor condition application?
No. TN has no LCA. H-1B requires a certified LCA with wage attestations.
Talk with us
If you’re an employer weighing TN and H-1B, book a free 15-minute intro call with one of our attorneys, or call (512) 588-5909.
