The very first thing you need to do in order to change your J-1 status is the apply for a waiver at the U.S. Department of State, Waiver Review Division. The applications form DS-3035 (aka "J Visa Waiver Recommendation Application") is available online on the link above. You can start the online application and download, reserve a case number and begin the J Visa Waiver or advisory opinion process online. In addition, you can download the form DS-3035, fill and print the application. The website also has a "statement of reason" template.
The non-refundable application processing fee is $215 and can be sent in cashier’s check or money order form, must be made payable to the U.S. Department of State. The most cost effective way is to get a money order from a local store such as RiteAid. I paid $0.70 for my money order (of $230 at the time), cashier's checks are usually around $10. Don't forget to write down your case number, birth date, country of citizenship and postal address on that money order.
Documents Required for the application:
1. Application fee of $215 PER J-1 APPLICANT.
2. Any additional pages needed to full respond to the questions in this form;
3. A statement demonstrating why the exchange visitor is eligible to receive a waiver of the two-year home country requirement of the exchange visitor program. The length of the statement may vary;
4. Copies of all DS-2019 "Exchange Visitor Program Certificate Of Eligibility For Exchange Visitor (J-1) Status" (formerly IAP-66) forms;
5. Notice of Entry of Appearance as Attorney or Representative (G-28 form), if you are represented by an attorney;
6. Copy of the data page of the exchange visitor's current passport containing name and birth date.
7. Two self-addressed, stamped envelopes.
Send above documents with "Registered Mail" or "Certified Mail" so that there is a signature verification upon delivery. This may be the only verification you will receive in the beginning. Also, money orders purchased from local stores, such as the "Western Union" money order that I used (See -> evrak arsivi/Document Archive), can provide you with tracking information.