Instead of using form 2555 for the exclusion, see if you can use form 1116. In many cases you will end up with a credit which you can carry forward to future years. That will also make you eligible for IRAs, which, as you note, you are not eligible for if you use the exclusion. Otherwise, you can also use a low cost variable annuity; it will defer any gains until you take distributions in retirement. In term of tax efficiency, it sit between the IRA and the Roth IRA. Beware of the high cost annuities, which are are more common.