A United States passport on top of a stack of passports, symbolizing the EB5 visa pathway to citizenship through a minimum investment.

What Are the Differences Between H-1B vs. EB-5 vs. U.S. Citizenship Status?

While both H-1B and EB-5 visas are employment-based visas that allow foreign nationals to live and work in the U.S., their requirements, eligibility criteria, and immigration benefits differ significantly.

The H-1B Specialty Occupation visa allows foreign nationals with specialized knowledge to work for a U.S. company requiring their service. The H-1B visa is employment based and requires that the U.S. employer petitions for a visa on behalf of the H-1B employee.

Conversely, the EB-5 Immigrant Investor Program offers one of the few employment-based U.S. visas that do not require employer sponsorship. Instead, it grants permanent resident status to foreign nationals who can invest $1,050,000—or $800,000 in a targeted employment area—and create jobs for U.S. workers.

While H-1B and EB-5 visas offer foreign nationals the opportunity to live and work in the U.S., the H-1B visa only grants temporary U.S. residency. In other words, it is a non-immigrant visa and therefore does not directly lead to U.S. permanent residency and citizenship. The EB-5 visa offers a more direct route to U.S. lawful permanent resident (LPR) status and, ultimately, U.S. citizenship.

In this article, we’ll compare the benefits of an H-1B visa, an EB-5 visa, and U.S. citizenship.

Comparing the Benefits of H-1B, EB-5, and U.S. Citizenship

An EB-5 visa offers more immigration benefits than an H-1B visa. It is one of the fastest routes to acquiring a U.S. Green Card and does not require any particular educational qualification, professional achievement, or employer sponsorship. It also offers a quick pathway to obtaining U.S. citizenship.

Below is a side-by-side summarized comparison of the benefits of an H-1B visa, an EB-5 visa, and U.S. citizenship. We’ll compare their benefits in detail in the following sections.

BenefitH-1B VisaEB-5 Green CardU.S. Citizenship
Residency DurationSix-year maximum stay—three-year initial issuance and an additional three-year extension. Dependent on continuing employment.Two-year initial conditional residency followed by legal permanent resident status. Must be renewed every 10 years, or you can apply for citizenship after five years.Permanent—no limitations.
Employment AbilityLimited to certified H-1B employers. Must apply for a new H-1B visa to change employers. Dependent H-4 spouses can only work in certain circumstances.Allows for a flexible employment authorization document (EAD) while awaiting EB-5 petition approval. Both the EAD and the Green Card allow EB-5 investors and their dependents to work for any employer or run a business in any state.Can work in any state for any employer or run a business.
Travel AbilityAllows international travel for short periods so long as the visa is valid. If it expires while abroad, you must apply for an extension at a U.S. consulate to re-enter the U.S.Allows international travel with an advance parole (AP) document while awaiting EB-5 petition approval.An EB-5 Green Card also allows for extended and unrestricted international travel.

No travel restrictions.

U.S. passport grants short-stay visa-free travel to over 150 countries worldwide.

Family BenefitsAllows sponsorship of spouse and dependent unmarried children below 21. Dependents’ legal status is tied to the H-1B worker’s status.Grants permanent residency to spouse and dependent unmarried children under 21. Allows sponsorship of adult unmarried children upon receipt of LPR status.Allows sponsorship of adult married children, parents, and siblings to the U.S.
Educational OpportunitiesH-4 dependents can study and benefit from in-state tuition rates.EB-5 investors and their dependents can study in the U.S., benefit from in-state tuition rates, and access some federal and state scholarships, grants, and low-interest loans.Can study anywhere in the U.S., enjoy lower fees, and access all federal and state scholarships, grants, low-interest rates, and work-study opportunities.
Joining the MilitaryCannot join the U.S. military.Can serve in the U.S. military.Can join the U.S. armed forces.
Working for the GovernmentCannot work for the government.Can work with local government authorities.Can hold public offices and work for the government at local, state, and federal levels.

Residency Duration

The H-1B visa is a non-immigrant visa that grants temporary residency to specialty employees of U.S. companies. It is valid for three years, with the option to extend it for another three years. Renewing an H-1B visa beyond this six-year limit is only possible in special circumstances. This limited duration means H-1B workers must pursue permanent residency independent of their H-1B status if they intend to remain in the U.S. beyond the six-year limit.

On the other hand, an EB-5 visa is a direct route to U.S. permanent residency status. EB-5 investors will receive a two-year conditional Green Card once their I-526E and I-485 petitions are approved. After the two-year conditional residence, they can file a Form I-829 petition to remove the conditions on their Green Card.

If this petition is approved, they’ll receive legal permanent resident status without conditions, granting them the right to live and work in the U.S. indefinitely. EB-5 Green Card holders can then apply for U.S. citizenship after five years of continuous residence.

U.S. citizens can permanently live and work in the U.S. and are not subject to immigration detentions or deportations, even when convicted of a crime.

Employment Ability

A cropped image of a group of foreign investors, foreign workers or lottery system applicants sitting at a waiting room to obtain a work visa.

H-1B workers enjoy very limited employment opportunities. They can only work for qualifying H-1B employers and cannot easily change jobs. If they lose their jobs, they have a 60-day window to find a new job or leave the U.S. Even if they do manage to find a new employer who will sponsor them, they must reapply for a new H-1B visa. These guidelines limit their ability to advance their career or pursue a new career path and put their ability to stay in the U.S. in jeopardy.

Comparatively, EB-5 investors enjoy a great deal of freedom. They have the right to work for any employer they choose without sponsorship, even before receiving their EB-5 visa. They can apply for employment authorization documentation (EAD) while awaiting their EB-5 petition and adjustment of status approval. And then, upon receiving their EB-5 Green Card, they can work for any employer they choose, switch jobs whenever they like, start a business, or do freelance work, just like U.S. citizens.

Travel Ability

H-1B workers can travel outside the U.S. for short periods. However, traveling while your H-1B or extension petition is pending can make it difficult to re-enter the U.S. because you’ll need a valid H-1B stamp on your passport to re-enter the country. If your H-1B visa expires while you’re abroad, you must apply for and receive an extension at a U.S. consulate before re-entering the U.S.

EB-5 investors can apply for advance parole while awaiting their EB-5 petition approval. This document gives them the freedom to travel in and out of the U.S. while USCIS is processing their EB-5 and adjustment of status application. Once they receive their EB-5 Green Cards, they’ll no longer need an advance parole to travel.

EB-5 Green Card holders can travel abroad extensively and without restrictions. However, traveling outside the U.S. for more than two years may risk their permanent resident status. This is no longer the case if they become a citizen, as U.S. citizens can travel in and out of the country for as long as they want without losing citizenship.

Family Benefits

An EB5 investor and his extended family holding up an American flag at a beach after getting permanent immigration status through foreign investment funds.

Both the H-1B visa and the EB-5 visa allow foreign nationals to bring their spouse and unmarried children below 21 to the U.S. However, H-1B derivative beneficiaries (H-4 dependents) face more limitations than their EB-5 counterparts.

An H-4 dependent spouse can only receive employment authorization if the H-1B worker has started processing their Green Cards. They’ll also lose their ability to remain in the U.S. if the H-1B worker loses their legal status. Furthermore, H-4 dependent children will lose their status once they turn 21 and will have to switch visa routes to remain in the U.S., and there is no guarantee that they’ll be successful in doing so.

Under the EB-5 program, the legal status of derivative beneficiaries is only dependent on that of the EB-5 investor during the two-year conditional residency period. EB-5 dependents can work, live, and study anywhere in the U.S. Once the conditions are removed from their Green Cards, their legal status becomes independent of the EB-5 investor’s status.

Upon receiving lawful permanent residence, an EB-5 investor can also petition for their unmarried adult (over 21) children to immigrate to the U.S.

If they obtain U.S. citizenship, they can also sponsor their married adult children, their parents, and their siblings.

Educational Opportunities

International students who successfully changed their visa status through necessary investment posing in front of an American flag.

Although both H-1B and EB-5 dependents can study at a U.S. college or university, H-4 dependents face more restrictions in this regard. While they can benefit from reduced in-state tuition, they cannot benefit from other university funding options.

EB-5 dependents, however, have more access to financial aid for their education. Just like U.S. citizens, once they receive their EB-5 Green Cards, EB-5 dependents can access federal grants, scholarships, low-interest loans, and work-study opportunities.

Military Service

Only U.S. citizens and permanent residents can join the U.S. armed forces. Hence, H-1B visa holders are not eligible to enter the U.S. military.

Since their residency is not temporary, EB-5 investors do not face such restrictions, so they can join the U.S. armed forces once they obtain their permanent residence cards.

Right to Work for the Government

H-1B visa holders are not eligible to work in government offices or hold elected positions. While EB-5 Green Card holders may be able to work for local authorities, they may not be eligible for federal and state civil service. Most sensitive government posts, such as law enforcement and intelligence agencies, are reserved for U.S. citizens only.

Additionally, only U.S. citizens can run for public office and vote in state and federal elections. Depending on their location, EB-5 investors may be able to vote in local elections but cannot run for office. All this, of course, changes if an EB-5 investor gains U.S. citizenship.

EB5AN Can Help You Get U.S. Citizenship

An immigration attorney or regional center staff member holding up an American flag in an EB5AN t-shirt.

Although the H-1B visa allows foreign nationals to live and work in the U.S., it has several limitations. The EB-5 visa offers a more ideal permanent immigration solution for H-1B workers. It provides a fast and direct way to get a U.S. Green Card and citizenship without the strict restrictions of the H-1B visa.

If you’re an H-1B worker or a prospective immigrant looking for the best path to U.S. permanent residency, the EB-5 program is worth considering. If you choose to pursue this route, EB5AN can offer you professional guidance through each step of the EB-5 process.

For more information on how you can start your U.S. citizenship journey via the EB-5 route, book a one-on-one call with our expert team today.

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