Understanding the Differences Between the TN Visa and H1B Visa

When it comes to work visas, there are several different options that applicants can explore. Each visa type serves a distinct purpose and comes with its own set of requirements, advantages, and disadvantages. 

The TN Visa and the H1B Visa are two of the most popular visa types for professionals seeking to work in the United States. 

In this visa guide, we will tell you everything you need to know about the differences between the TN visa and the H-1B visa to help you choose which visa is right for you. 

What is an H1B Visa?

The H1B visa is a non-immigrant, employer-sponsored work visa for professionals that allows United States employers to hire foreign workers for specialty occupations. One of the key requirements of the H-1B visa is that applicants must have a minimum of a Bachelor’s degree relating to their field of employment, or the requisite work experience if the applicant does not possess a bachelor’s degree.  

If the foreign worker does not have a bachelor’s degree or possesses an unrelated degree to the specialty occupation, but has at least 12 years of relevant work experience directly related to the specialty occupation position, the work experience will demonstrate the foreign worker’s qualifications. 

What are the Requirements for the H1B Visa?

To qualify for the H1B visa:

• The candidate must have a job offer from a U.S. employer to work in a specialty occupation that requires his or her specialized knowledge.
• The candidate must have a minimum of a U.S. bachelor’s degree, its foreign equivalent, or at least 12 years of relevant work experience if he or she does not possess a college degree. 
• The prospective U.S. employer must show that there are no qualified US workers for the position. To demonstrate this, employers must file a Labor Condition Application (LCA) with the Department of Labor, stating that they will provide conditions similar to those of U.S. workers and pay the candidate the prevailing wage. The prevailing wage rate is the average wage paid to similarly employed workers in a specific occupation in the area of intended employment.

For how long is the H1B Visa valid for?

The H1B visa is valid for up to three years. But it can be extended for another three years, for a total of six years. 

What is a TN Visa?

The TN visa is a non-immigrant work visa that was created by the North American Free Trade Agreement (NAFTA). NAFTA has since been replaced by the United States Mexico Canada Agreement (USMCA). It allows Canadians and Mexicans in certain professional occupations to move to the U.S. to work temporarily.

What are the Requirements for the TN Visa?

To qualify for the TN visa, you must meet the following TN visa eligibility requirements:

• The TN applicant must be a citizen of Canada or Mexico
• The individual must have a bona fide U.S. job offer that falls under one of the qualifying professions listed in NAFTA (now USMCA).
• The applicant must have the relevant educational and professional qualifications required for the position.
• The candidate must be willing to return to their home country at the visa’s expiration.

For how long is the TN Visa valid for?

The TN visa is a temporary work visa granted for up to three years. However, it can be renewed indefinitely as long as the TN worker continues to meet the requirements for TN status. Applicants can renew their TN visa before the duration of stay is set to expire. 

Are you applying for a TN Visa or an extension? Contact TN Visa Experts to help you avoid mistakes and boost your chances of success.

Key Differences Between the H1B and TN Visa

Below is a TN visa vs H1B visa diagram illustrating the differences between these two non-immigrant visas.

Eligibility and Requirements

The H-1B visa allows employers to hire professionals to work in the U.S. in occupations requiring their specialized knowledge. Unlike the TN visa, nationals of any country can apply for the H-1B visa, as long as they meet the professional requirements. 

By contrast, the TN visa is only available to Canadian and Mexican nationals. 

The H-1B visa requires applicants to have at least a bachelor’s degree in a field relating to their position, or at least 12 years of relevant work experience if they have no academic degree or have a degree that is unrelated to their position. 

Additionally, the applicant’s position must be in a field that is complex enough to justify the need for the worker’s specialized knowledge. Typically, occupations that require such specialized knowledge fall under the STEM fields (science, technology, engineering, and mathematics), however other fields may also qualify such as fashion models. 

By contrast, the TN visa limits eligibility to a specific list of professions approved under the USMCA. However, some of the TN professions may not require a bachelor’s degree.

Comparing the Application Process

This H1B visa and TN visa differ starkly in terms of the application process.

Step-by-Step Application Process for H-1B Visa

The application process for an H-1B visa requires adhering to more rigorous immigration compliance requirements. The steps are as follows:

Step 1: The employer obtains an LCA from the Department of Labor

The H1B visa requires employment sponsorship.  Several steps must be completed by the U.S. employer to prepare for the filing of the H-1B application. The first of these steps is for the prospective employer to obtain a Labor Condition Application (LCA) from the Department of Labor. The LCA must certify that:

• Employing the candidate will not adversely affect US workers.
• The employer will pay the worker the prevailing wage in the area of intended employment and provide working conditions similar to those of similarly situated U.S. workers.

Step 2: The employer files Form I-129

Next, once the worker has gathered the necessary documentation evidencing his or her qualifications (such as academic degrees, transcripts, academic evaluations, work experience evaluations, etc.) the employer must file Form I-129 Petition for a Nonimmigrant Worker with the USCIS on behalf of the worker being petitioned for the H1B visa (also known as the beneficiary). The U.S. Department of Labor regulations require that employers pay expenses required for H-1B applications.

Step 3: Apply for an H-1B visa at a U.S. consulate

Once USCIS approves the H-1B petition, the beneficiary can apply for an H1B visa at a U.S. embassy or consulate in their home country. The applicant will need to:

• Complete the DS-160 visa application form.
• Pay the required visa fee.
• Schedule a visa interview at the U.S. consulate or embassy.
• Gather necessary documentation and prepare for the in-person visa interview. 

Step-by-Step Application Process for the TN Visa

The TN visa process is very simple. The employer is not required to meet rigorous requirements. One of the key aspects of the application is for the employer to provide a support letter.

The step-by-step process for the TN visa is as follows:

Step 1: The candidate receives a job offer

The candidate receives a valid job offer from a U.S. employer that falls under one of the qualifying professions listed in NAFTA (now USMCA). 

Step 2: The U.S. employer provides a TN support letter

Next, the U.S. employer provides the candidate a TN support letter (also called a TN Employment letter). This is simply a letter stating the candidate’s position, job duties, duration of employment, and remuneration. 

Step 3: Application for the TN visa

Canadian nationals can simply apply for a TN visa when entering the U.S. by presenting their TN visa documentation to Customs and Border Protection officers at the port of entry. 

By contrast, Mexican nationals need to apply for the TN visa at a U.S. Consulate or Embassy in Mexico, provide the required documentation, pay the visa application fee, and schedule a visa interview.

The candidate is responsible for paying any fee associated with obtaining the TN visa.

Duration and Extensions: TN vs. H1B Visa

Another important difference between the TN visa and H1B visa is the nature of extensions.

The H1B visa is granted for three years and can be extended for another three years for a total of six years. 

However, while the initial period of stay for TN visas is also three years, it can be renewed indefinitely, with each renewal valid for three years.

Advantages and Limitations of H1B and TN Visas

The main advantages and limitations of the H1B and TN visa are further explained below:

Advantages of the H1B Visa

• Path to permanent residency. Unlike the TN visa, the H1B visa is a dual intent non-immigrant work visa. This means that H1B visa holders are allowed to apply for and obtain permanent residency (a green card).
• Dependents’ rights and spousal work authorization. H1B visa holders can bring their dependents (spouses and children) to the U.S. on H-4 dependent visas. Additionally, H-4 spouses can apply for U.S. work permits with USCIS.

Advantages of the TN Visa

• Speed of application process. The TN visa application process is faster than all other work visas, as it does not require “traditional employer sponsorship.” Canadian nationals can even apply directly at a U.S. Port of Entry without filing a petition with USCIS.
• Flexibility for Canadians and Mexicans. Employers do not need to go through a rigorous process of filing a petition with USCIS before employing a TN visa candidate. Additionally, TN visas do not have annual numerical limits on visa issuance, so individuals can apply for them all year round. Furthermore, it’s easier to change employers when working in the U.S. with a TN visa.

Limitations of the H1B Visa

• Annual Numerical Cap limits and lottery system. The number of H1B visas issued annually is subject to the congressionally mandated cap of 65,000 visas, and an additional 20,000 visas are reserved for those who have earned a U.S. master’s degree or higher. Unsurprisingly, the number of applications submitted annually far exceeds the available visas. As a result, USCIS uses a lottery system to select applicants for the available H1B visas. The chance of being selected in the lottery depends upon annual demand. 
• Time constraints on employment. Only one extension of the H1B visa may be filed after receiving the initial three-year visa. The maximum period an individual may remain in H-1B status is up to six years. Unfortunately, employment duration often exceeds this limited number of years. H1B workers who wish to remain in the U.S. beyond six years  ust change to a different visa type or apply for an employment-based green card. 

Limitations of the TN Visa

• Restrictions on job categories. The TN visa can be obtained only by individuals in specific occupations listed in the NAFTA (now USMCA) treaty. 
• Limited to Canadian and Mexican citizens. The TN visa can be obtained by Canadian and Mexican citizens only.

Is the TN Visa Better Than H1B?

In the TN vs H1B visa debate, whether the TN visa is better than the H1B visa depends on an individual’s circumstances and career goals. However, we provide some reasons individuals (specifically, Canadians and Mexicans) may choose the TN visa over the H1B visa down below. 

Comparing Benefits

Candidates who want more flexibility in terms of changing employers may prefer to apply for the TN visa. The TN visa is employer-specific. Since it does not have annual caps or rigorous employer sponsorship requirements, transferring from one employer to another is very easy.

The TN visa is also a great choice for candidates with long-term career goals, as it can be extended indefinitely. However, it does not have a clear path to permanent residency like the H1B visa. 

If permanent residency is your ultimate career goal, it may be worthwhile to apply for the H1B visa to cultivate a strong relationship with a U.S. employer, which may lead to the employment sponsored green card application. However, this is not guaranteed. Workers must ensure that their employer understands the employment sponsorship green card process and is willing to sponsor them in the future. 

Comparing Limitations

The TN visa is available only to individuals in certain professions, and only to Canadian and Mexican nationals. 

However, the TN visa remains a good option for individuals in qualifying professions, because it is the fastest and least stressful U.S. work visa to obtain. Canadian nationals can easily apply by presenting their documents to Customs and Border Protection officers at U.S. ports of entry, while Mexican nationals can apply at a U.S. embassy or consulate.

Final advice on choosing the right visa

The TN and H1B visas are the most popular work visas used by foreign professionals to work in the United States. 

This visa guide explained the differences between these two visa options and important considerations depending on your individual goals and career aspirations. 

The bottom line is that for Canadian and Mexican nationals, the advantages of the TN visa far outweigh those of an H1B visa, as it’s easier and faster to obtain and allows for more straightforward job transitions.

Need help navigating the TN application process? This is where TN Visa Expert comes in! TN Visa Expert is a reputable TN Visa consultant with a track record of helping Canadians and Mexicans to successfully apply for and obtain TN visas. Book a consultation with TN Visa Expert today!