I am actually on F1 visa. My F1 visa will expire at the end of the year. I graduated with a master degree.

My employer file H1-B visa on my behlaf. I received a receipt of my being selected for the H1-B visa.

When I receive the original approval notice (called a Form I-797) do I need to go or stay in school in order to keep my status until October when they will issue H1-B visa?

Does the Form I-797 automatically change my status?

Thanks

If you want your H-1B to be approved as a change of status and not as consular processing, you have to be maintaining status through September 30. With approved H-1B, your status will be changed automatically on October 1, 2008 to H-1B if you were maintaining status through that date.