Foreign Income Exclusion (FEIE) Calculator Online
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FEIE Calculator (Form 2555)
2025 Tax Year
Foreign Earned Income Exclusion Calculator
Calculate how much of your foreign earned income you can exclude from U.S. taxes using IRS Form 2555. Determine your eligibility through the Physical Presence Test or Bona Fide Residence Test, and estimate your potential tax savings including the Foreign Housing Exclusion.
Form 2555
Physical Presence Test
Bona Fide Residence
Housing Exclusion
01
Tax Year & Filing Status
02
Qualification Test
Start of your 12-month qualifying period
End of your 12-month qualifying period
Must be 330 or more full days to qualify (out of ~365 days)
The country where you established bona fide residence
03
Foreign Earned Income
$
Wages, salary, and self-employment income earned while working abroad
$
Portion of foreign income that is self-employment (included in total above)
04
Foreign Housing Costs
$
Rent, utilities, insurance, and other qualifying housing costs
Number of days in the tax year you qualified (max 365/366)
2025 Housing Limits: Base amount is $19,760 (16% of $123,500). Default cap is $37,060 (30% of $123,500). Some high-cost cities have higher limits.
Total Tax Exclusion
$0
Exclusion Breakdown
FEIE Eligibility Rules
Key requirement: Your tax home must be in a foreign country. Simply working abroad is not enough if your tax home remains in the U.S.
- Who qualifies: U.S. citizens and resident aliens with foreign earned income and a tax home in a foreign country.
- Physical Presence Test: You must be physically present in a foreign country for 330 full days during a 12-month period. The 12-month period doesn’t have to match the calendar year.
- Bona Fide Residence Test: You must be a bona fide resident of a foreign country for an uninterrupted period that includes an entire tax year (Jan 1 – Dec 31).
- What’s excluded: Only earned income (wages, salary, self-employment) qualifies. Investment income, pensions, and social security are NOT eligible.
- Self-employment tax: The FEIE does not exempt you from self-employment tax (15.3%). You still owe SE tax on self-employment income.
Annual Exclusion Limits
Note: These limits are per person. If married filing jointly and both spouses qualify, each can claim their own exclusion.
| Tax Year | Max Exclusion | Housing Base |
|---|---|---|
| 2025 | $130,000 | $20,800 |
| 2024 | $126,500 | $20,240 |
| 2023 | $120,000 | $19,200 |
- Housing base amount: 16% of the FEIE limit. Housing expenses above this amount qualify for exclusion. 2025: $20,800
- Housing cap (default): 30% of the FEIE limit. Some high-cost cities have higher caps per IRS tables. 2025: $39,000
- Proration: If you qualify for only part of the year, the exclusion and housing amounts are prorated based on qualifying days.
Common Questions
Yes, but for the Physical Presence Test, you cannot exceed 35 days in the U.S. during your 12-month period (365 – 330 = 35 days). Days spent in transit don’t count as days in the U.S. For the Bona Fide Residence Test, brief visits to the U.S. are generally acceptable as long as they don’t disrupt your foreign residency.
Yes. U.S. citizens and resident aliens must file a return if their gross income exceeds the filing threshold, even if all income is excluded by the FEIE. You must file Form 2555 with your Form 1040 to claim the exclusion. You may also need to file FBAR (FinCEN 114) and Form 8938 for foreign financial accounts.
The Physical Presence Test is purely date-based: 330 full days abroad in a 12-month period. It’s simpler and more objective. The Bona Fide Residence Test looks at your intentions and living situation – you must genuinely reside in a foreign country, not just visit. It requires an entire tax year and considers factors like housing, community ties, and intent to remain.
Yes. If your employer provides or pays for your foreign housing, the value above the base housing amount can be excluded as a Foreign Housing Exclusion (added on top of the FEIE). If you’re self-employed and pay your own housing, you can claim a Foreign Housing Deduction instead. The housing exclusion/deduction is calculated on Form 2555.
No. The FEIE only excludes income from federal income tax. Self-employment income is still subject to self-employment tax (15.3% for Social Security and Medicare), unless you’re covered by a totalization agreement with the country where you work. About 30 countries have these agreements with the U.S.
Yes, if both spouses independently qualify (each meets a qualification test and has foreign earned income), each can claim their own FEIE up to the maximum. This effectively doubles the exclusion for a couple. Each spouse files their own Form 2555.
Important Disclaimer
This calculator provides estimates based on general IRS rules for the Foreign Earned Income Exclusion (Form 2555). Actual exclusion amounts depend on your specific circumstances, including high-cost city adjustments, partial-year prorations, and other factors. This tool is for informational purposes only and does not constitute tax advice. Consult a qualified tax professional for guidance specific to your situation.