What is the Foreign Earned Income Exclusion (FEIE)?


The IRS has many tools in place in order to reduce double taxation. One of those tools is the Foreign Earned Income Exclusion (FEIE).

If you qualify as an expat, for the 2022 tax year (filed in 2023) you are able to exclude up to $112k of your foreign-earned income from US taxation via Form 2555. Note that this amount cannot be deducted from any income earned inside the United States. Also, government employees (including military service members) are unlikely to qualify for the Foreign Earned Income Exclusion.

Check out our article on FEIE for more information and prerequisites to using this exclusion on your US taxes.