Knut 🏳️🌈 🇳🇴🧸praetor@mstdn.social
Oct 25, 2026, 2:42 AM@smartbudgetsheets Thanks. I wasn't quite understanding the FEIE thing
Replies
Smart Budget Sheetssmartbudgetsheets@mastodon.socialOct 25, 2026, 3:23 AM@praetor Short version: the FEIE (Form 2555) lets a US citizen living abroad exclude foreign earned income from US *income* tax, up to a yearly cap (roughly $130k, indexed each year). To qualify you need a foreign tax home plus either 330 full days outside the US in any 12-month window, or bona fide residence abroad. It does not cover self-employment tax (~15.3%), and you still file a US return every year.
- Knut 🏳️🌈 🇳🇴🧸praetor@mstdn.socialOct 25, 2026, 3:40 AM
@smartbudgetsheets I have a bean counter who does stuff at the end of the year. Old boy back home I've known for aeons. And my LLC is in Wyoming where he is (and where I'm from). When it comes to the taxes and stuff, I let Joe handle it. He does it, I send a check. That's just kinda how we've always worked. So I don't delve into it too deeply.
- Smart Budget Sheetssmartbudgetsheets@mastodon.socialOct 25, 2026, 5:26 AM
@praetor That's a good setup; a long-time accountant who knows your situation is worth a lot. The one thing worth doing on your side: if Joe ever claims the exclusion for you, keep a simple log of the days you're in and out of the US each year. It's easy now and painful to rebuild from old passport stamps later.