Introduction
The Department of Homeland Security published a notice of proposed rulemaking on June 23, 2026, that would significantly increase the cost of applying for U.S. citizenship and eliminate two cost-reduction mechanisms that have helped lower-income lawful permanent residents access naturalization for decades. The N-400 naturalization application fee increase proposed by DHS would raise the standard filing fee for Form N-400 from $760 to $1,330 for paper filers and from $710 to $1,280 for online filers — while also ending the reduced-fee option and eliminating fee waivers entirely for both Form N-400 and Form N-336. For lawful permanent residents who have been counting on financial assistance to complete the naturalization process, this proposal represents a substantial shift in cost and strategy.
Background
How N-400 Fees and Waivers Have Worked Until Now
USCIS currently charges $760 to file Form N-400 on paper and $710 to file online. Applicants with a household income at or below 400 percent of the Federal Poverty Guidelines may qualify for a reduced fee. For a four-person household, this income threshold is $128,600 per year under 2025 guidelines.
Applicants who show financial hardship or receive means-tested benefits may apply for a full fee waiver. You can use Form I-912 to do this. These mechanisms have been part of the USCIS fee structure for years, with the income ceiling for the reduced fee expanded substantially in the 2024 Fee Rule.
Form N-336 is the request for a hearing after a denied naturalization application. The fee is $830 for paper filers and $780 for online filers. It has also been eligible for fee waivers under the same framework.
USCIS has historically justified keeping naturalization fees below actual processing costs on policy grounds — recognizing the unique public benefit of new citizens and the tradition of welcoming immigrants into civic life. The agency recognized in earlier rulemakings that this approach increased fees for other immigration applicants. This was necessary to support naturalization costs. The current proposal marks a deliberate departure from that approach.
What Is Changing
The Three Proposed Regulatory Modifications
DHS is proposing three distinct changes to 8 CFR Part 106. First, it would raise the Form N-400 paper filing fee from $760 to $1,330 — a 75 percent increase — and the online fee from $710 to $1,280. Second, it would raise the Form N-336 paper filing fee from $830 to $1,475 and the online fee from $780 to $1,425. The existing $50 discount for online filing would remain in place for both forms. Third, it would eliminate the reduced fee option for Form N-400 and eliminate fee waiver eligibility for both Form N-400 and Form N-336.
DHS frames these changes around the “beneficiary-pays” principle: the person who receives the benefit of a government service should pay the full cost of providing it. The agency’s internal cost analysis indicates a projected annual deficit of about $636 million for Form N-400. DHS estimates the shortfall for Form N-336 at $2.8 million.
DHS claims that keeping these fees below actual costs burdens other immigration applicants. They must pay higher fees for their applications to subsidize naturalization.
One exemption from all proposed changes remains intact: current and former members of the armed forces applying under INA Sections 328 or 329 will continue to pay no fee for either Form N-400 or Form N-336. The statute requires this exemption, and rulemaking cannot remove it.
Who Is Affected
Applicants, Families, and Legal Service Providers
The proposal directly affects lawful permanent residents who are eligible for naturalization and have not yet filed. Those who currently pay the full fee would face a 75 to 80 percent increase depending on filing method. Those who currently rely on the reduced fee — approximately 3.2 percent of all N-400 filers in the year following the 2024 Fee Rule — would lose that option entirely and face the full proposed fee. Applicants who currently qualify for a complete fee waiver would lose this option for naturalization. Recent data shows this waiver accounted for 136,000 to 157,000 approvals annually.
Applicants who have already been denied naturalization and are considering a Section 336 hearing would face a proposed fee of $1,425 to $1,475 with no fee relief available, up from $780 to $830.
If this rule is finalized, non-profit legal service organizations that assist low-income immigrants with naturalization will experience an indirect effect: their client populations, who frequently qualify for waivers or reduced fees, will have to pay the full fee. DHS acknowledges this impact in the proposal but characterizes it as likely temporary based on its elasticity analysis.
Military applicants applying under INA Sections 328 and 329 will not be affected by the proposed changes. They will continue to pay no fees under current law.
Practical Implications
What Eligible Applicants Should Consider Now
This is a proposed rule, not a final rule. Current fees and waiver availability will remain in place until the publication and effective date of a final rule. Applicants who are eligible for naturalization and currently qualify for a reduced fee or full waiver have strong practical reasons to evaluate whether filing under the existing fee structure is feasible before a final rule takes effect.
The comment period closes August 24, 2026. The agency may implement a final rule several months after that, but it has not yet announced a specific effective date. Based on past USCIS fee rulemaking timelines, several months typically elapse between the close of comments and final rule publication.
Applicants who were on the fence about timing their naturalization application should factor in the magnitude of the proposed increase. For a household that currently qualifies for the $380 reduced fee, the jump to $1,280 or $1,330 represents a cost increase of roughly $900 to $950. For those with approved fee waivers, the increase is from zero to more than $1,280. These are not marginal changes.
DHS indicated that processing costs for Form N-400 are likely to increase due to recent policy changes. These changes include a new civics test, resumed investigations, and revised evaluation standards. DHS explicitly noted that the proposed fees might not account for upcoming cost increases. Additionally, further fee adjustments could occur in future rulemaking. Applicants considering naturalization soon should view the proposed figures as a minimum. They should not see them as a maximum for financial planning.
What to Watch For Next
The public comment period for this proposed rule runs through August 24, 2026. Comments must be submitted in English through the Federal eRulemaking Portal at regulations.gov using DHS Docket No. USCIS-2026-0265. Comments submitted by email, letter, or physical media will not be accepted or considered.
After the comment period closes, DHS will review submissions and publish a final rule. That final rule may differ from the proposal — including on the specific dollar amounts — particularly if cost projections change as USCIS implements its new naturalization procedures. Stakeholders should monitor the docket for publication of the final rule, which will include an effective date. Courts have previously enjoined USCIS fee rule changes affecting naturalization fees and waivers; whether legal challenges to a final rule materialize remains to be seen and is not possible to predict at the proposed rule stage.
How Immigration Professional Association Can Help
The proposed changes create real urgency for lawful permanent residents who are naturalization-eligible and have been considering when to file. At Immigration Professional Association, we work directly with clients navigating the naturalization process — evaluating eligibility, preparing complete and accurate Form N-400 packages, and helping applicants understand their full range of options under current law before that law changes.
Applicants who currently qualify for a fee waiver or reduced fee may have a limited time to act under the existing structure. The cost calculus for those who have received a denial and are considering a Section 336 hearing has shifted dramatically. For families and individuals who are simply trying to plan the best time to pursue citizenship, this proposal introduces important new variables that should be reviewed with a knowledgeable professional.
If you or someone in your family is eligible for naturalization and wants to understand what this proposed rule means for your timeline and costs, Immigration Professional Association is here to help!
