EB-5 makes US education affordable with Green Card benefits even for children

High-net-worth families can secure a future for their kids through the EB-5 Immigrant Investor Program.

Written by Guest

February 8, 2025 16:47 IST

Studying in America, EB-5 visa, children, education, Immigrant, investor

EB-5 visa allows families to secure Green Cards, ensuring that their children have access to superior educational opportunities and a robust start in the U.S. job market. (The New York Times)

By Rozy Efzal

For many Indian students aspiring to study in the United States, the path is riddled with challenges—from restrictive visa conditions and exorbitant tuition fees to a fiercely competitive job market. But for high‑net‑worth families looking to secure a brighter future for their children, an alternative route is emerging: the EB‑5 Immigrant Investor Program. This pathway not only paves the way to permanent residency but also offers significant educational and career benefits.

Restrictive Visa Conditions: F‑1 visa holders face limited work opportunities (often restricted to on‑campus or short‑term OPT arrangements) and must continually prove non‑immigrant intent.

Skyrocketing Tuition Fees: International students are burdened with premium fees—often paying nearly three times what U.S. residents pay.

Job Market Limitations: Without a Green Card, graduates struggle to secure stable, well‑paid employment, with employers preferring candidates who do not require visa sponsorship.

EB‑5: The Route for High‑Net‑Worth Families

The EB‑5 program, established in 1990 to stimulate U.S. economic growth, offers a compelling alternative for families with a substantial corpus. By investing in a qualifying new commercial enterprise, a family can secure permanent residency (a Green Card) for themselves and their immediate dependents.

Key EB‑5 requirements

Investment Amount: A minimum of USD 1,050,000, or USD 800,000 if invested in a Targeted Employment Area (TEA).

Job Creation: The investment must generate or preserve at least 10 full‑time jobs for U.S. workers.

For high‑net‑worth individuals (HNIs), EB‑5 is not merely an investment in a business venture—it’s an investment in the future. With a Green Card in hand, their children transition from temporary student status to U.S. residents, unlocking a host of benefits.

Benefits of Being a Green Card Holder

Lower Tuition Fees: Green Card holders qualify for in‑state tuition rates, often dramatically lower than international fees. For example, while an international student might pay USD 75,000 per year, in‑state residents may pay around USD 25,000.

Access to Financial Aid: Eligibility for federal student aid, scholarships, and grants significantly reduces the overall cost of higher education.

Expanded Employment Opportunities: Unlike F‑1 visa holders, Green Card holders face no restrictions on employment. They can pursue internships, full‑time roles, or even launch entrepreneurial ventures without the constraints of visa renewals.

Long‑Term Stability: With permanent residency, families gain the security of a stable legal status, paving the way for future U.S. citizenship if desired.

A Practical Calculation

Consider a family targeting the reduced investment threshold of USD 800,000 (applicable for projects in TEAs). Suppose they commit to an annual investment over 20 years. Using a simplified compound interest model with an average annual return of 10% , they have to invest $1053 on a monthly basis i.e approximately Rs.90K per month.

Over 20 years, the total amount invested would be approximately $252841, which, thanks to the power of compounding, grows to the target USD 800,000 approximately.

For context, if the current exchange rate is roughly INR 85 per USD, this annual investment equates to about INR 10,74,060—demonstrating that early, regular investments can be a financially viable strategy for meeting EB‑5 requirements.

Early Planning: A Key to Securing a Brighter Future

The benefits of early planning cannot be overstated. By beginning investments well in advance, families not only take advantage of compounding returns but also gain ample time to satisfy all EB‑5 criteria—such as the job creation requirement. This proactive approach allows families to secure Green Cards, ensuring that their children have access to superior educational opportunities and a robust start in the U.S. job market.

Conclusion

For Indian families facing the steep costs and limitations of traditional study abroad routes, the EB‑5 Immigrant Investor Program offers a transformative alternative. With benefits that include lower tuition fees, expanded employment opportunities, and long‑term legal stability, the EB‑5 route facilitated by early investments can secure a better future for the next generation. Through disciplined, early planning and investment, what may seem like a significant financial commitment today can evolve into a priceless asset tomorrow opening the door to the American dream for education and beyond.

(Author is Co Founder, Invest4edu)

Disclaimer: Views, recommendations, and opinions expressed are personal and do not reflect the official position or policy of FinancialExpress.com. Readers are advised to consult qualified financial advisors before making any investment decision. Reproducing this content without permission is prohibited.

This article was first uploaded on February eight, twenty twenty-five, at forty-seven minutes past four in the afternoon.