---
title: "Foreign Earned Income Exclusion Calculator"
description: "Calculate your foreign earned income exclusion (FEIE) for 2026. Estimate how much overseas income you can exclude and your federal tax savings."
canonical_url: "https://www.themoneypocket.com/tools/feie-calculator"
last_updated: "2026-07-02T13:57:47.952Z"
---

**Estimate your foreign earned income exclusion instantly.** Our calculator uses the official 2026 FEIE limit of $132,900 and helps US citizens and residents abroad understand how much income they can exclude from federal tax.

<feie-calculator>



</feie-calculator>

For a complete guide to qualification tests, housing exclusions, and MAGI impacts, see: [Foreign Earned Income Exclusion Guide](/articles/foreign-earned-income-exclusion-guide).

## What Is the Foreign Earned Income Exclusion?

The **foreign earned income exclusion (FEIE)** allows qualifying US taxpayers to exclude a portion of their foreign earned income from US federal income tax. For tax year 2026, the maximum exclusion is **$132,900** (up from $130,000 in 2025).

This is one of the most valuable tax benefits for Americans working abroad — but you must meet strict qualification tests and file Form 2555 with your tax return.

## Who Qualifies for FEIE?

To claim the exclusion, you must meet **all** of these requirements:

- Your **tax home** is in a foreign country
- You have **foreign earned income** (wages, salary, or self-employment from foreign sources)
- You meet either the **bona fide residence test** or the **physical presence test**

### Physical Presence Test

You must be physically present in a foreign country for **at least 330 full days** during any 12-month period that includes part of the tax year. Travel days and brief US visits count against you.

### Bona Fide Residence Test

You must be a **bona fide resident** of a foreign country for an entire tax year (January 1 through December 31). This requires establishing a genuine home abroad with no definite intent to return to the US.

## 2026 FEIE Limits

<table>
<thead>
  <tr>
    <th>
      Item
    </th>
    
    <th>
      2026
    </th>
    
    <th>
      2025
    </th>
  </tr>
</thead>

<tbody>
  <tr>
    <td>
      Maximum earned income exclusion
    </td>
    
    <td>
      $132,900
    </td>
    
    <td>
      $130,000
    </td>
  </tr>
  
  <tr>
    <td>
      Housing exclusion
    </td>
    
    <td>
      Separate calculation
    </td>
    
    <td>
      Separate calculation
    </td>
  </tr>
</tbody>
</table>

The housing exclusion is additional — it covers qualifying housing expenses above a base amount set by the IRS for your location. Use Form 2555 to calculate the exact housing exclusion.

## How FEIE Affects Your Taxes

**Tax savings:** Excluded income is not subject to federal income tax, which can save thousands for expats in higher brackets.

**MAGI impact:** Excluded foreign earned income is **added back** when calculating Modified Adjusted Gross Income for many purposes, including Roth IRA eligibility and the premium tax credit. Use our [MAGI Calculator](/tools/magi-calculator) to see the full picture.

**Foreign tax credit:** You generally cannot claim both the FEIE and the foreign tax credit on the same income. You must choose which benefit is more valuable — FEIE for low-tax countries, FTC for high-tax countries.

## FEIE vs. Foreign Tax Credit

<table>
<thead>
  <tr>
    <th>
      Factor
    </th>
    
    <th>
      FEIE
    </th>
    
    <th>
      Foreign Tax Credit
    </th>
  </tr>
</thead>

<tbody>
  <tr>
    <td>
      Best for
    </td>
    
    <td>
      Low/no foreign tax countries
    </td>
    
    <td>
      High foreign tax countries
    </td>
  </tr>
  
  <tr>
    <td>
      Self-employment tax
    </td>
    
    <td>
      Still owed on excluded income
    </td>
    
    <td>
      Still owed
    </td>
  </tr>
  
  <tr>
    <td>
      State taxes
    </td>
    
    <td>
      May still apply
    </td>
    
    <td>
      May still apply
    </td>
  </tr>
  
  <tr>
    <td>
      Form required
    </td>
    
    <td>
      Form 2555
    </td>
    
    <td>
      Form 1116
    </td>
  </tr>
</tbody>
</table>

## Common FEIE Mistakes

**Assuming all overseas income qualifies:** Investment income, pensions, and US-source wages are not eligible for FEIE — only earned income from foreign sources counts.

**Missing the 330-day threshold:** Counting partial travel days incorrectly can disqualify you. Keep detailed travel records.

**Forgetting self-employment tax:** FEIE excludes income from income tax but **not** from Social Security and Medicare taxes on self-employment income.

**Not filing Form 2555:** You must actively claim the exclusion on your return. It is not automatic.

## Worked Example

**Scenario:** Single filer, $140,000 foreign salary, meets physical presence test (335 days abroad), $22,000 marginal rate.

1. Maximum exclusion: $132,900
2. Taxable foreign income: $140,000 − $132,900 = **$7,100**
3. Estimated tax savings: $132,900 × 22% = **$29,238**

## Key Takeaways

- 2026 FEIE limit: **$132,900** per qualifying taxpayer
- Must meet physical presence (330 days) or bona fide residence test
- File **Form 2555** to claim the exclusion
- Cannot double-dip with foreign tax credit on same income
- Excluded income affects MAGI for other tax benefits

---

**Related:** [Foreign Earned Income Exclusion Guide](/articles/foreign-earned-income-exclusion-guide) | [MAGI Calculator](/tools/magi-calculator) | [Federal Tax Bracket Calculator](/tools/federal-tax-bracket-calculator)

*This tool is for informational purposes only and does not guarantee accuracy for your specific tax situation.*