Foreign Earned Income Exclusion: How to save on taxes while living abroad

Sovereign Confidential

Alert

As we release this SMC Alert, there’s a lot of post-election uncertainty in the United States.

And over the next few weeks, there might be continued uncertainty. It’s possible that the election results remain unclear even into mid-January. All the while, peaceful protestors could swarm D.C. and other cities.

Or maybe hours after this hits your inbox, the winner will be clear. And all will be calm.

As we often say, around the Sovereign Man office, crystal balls are short in supply.

So, rather than focus on what’s unknown and uncontrollable, maybe it’s time to focus on what’s within your control. And maybe a move abroad - somewhere to ride out the chaos in a beautiful location - is just the solution you need.

Aside from a safety hatch, there’s another big benefit of going abroad: Saving, or potentially eliminating, US taxes on your earned income.

In today’s SMC Alert, we’ll detail how you can do so with the Foreign Earned Income Exclusion (FEIE), the Foreign Housing Exclusion and Deduction (FHE), and Foreign Tax Credit.

And we’ll provide some generic examples, so you can gain a better understanding of what may be best for you.

You can access this SMC Alert here.

As we release this SMC Alert, there’s a lot of post-election uncertainty in the United States. And over the next few weeks, there might be continued uncertainty. It’s possible that the election results remain unclear even into mid-January. All the while, peaceful protestors could swarm D.C. and other cities. Or maybe hours after this hits…

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