@mnrosinger The answer is correct. It is still true for 2018. The new tax law has not changed this calculation. If you carefully examine the answer above and the tax calculation on the Foreign Earned Income Tax Worksheet you will see that, while the foreign earned income does increase the tax on your non-excluded income, the foreign income is not really included in your taxable income. I agree that this is something of a fine distinction, but it's what the tax law requires.
If you wish, as an experiment, since you are using the CD/Download TurboTax software, you could make a copy of your tax return with a different name and change it to not claim the foreign earned income exclusion. Then you will see that the tax is much higher, so you will see how much you benefit from the exclusion, even though it's not quite the same as if the foreign income was completely ignored.
