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Cost of Living in Dubai UAE

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What is the Average Cost of Living in Dubai?

Dubai is a magnificent city with world-class social infrastructure, a stable economy, and an extremely low crime rate. It consistently ranks among the safest cities in the world and attracts expatriates of all nationalities. If you are among those people considering moving to the city, you may be worried about the cost of living in Dubai, UAE. A major chunk of your monthly budget comprises housing costs, grocery, and utility bills. The other expenses include transportation, entertainment, education, and healthcare. The total expenses may vary for singles, couples, and families with children. The table below shows the monthly average cost of living in Dubai for a couple with no children.
Type of Expense Cost (AED)
Rent 5,000 to 9,000
Groceries 2,000 to 2,500
Utilities 1,200 to 1,500
Transportation & Fuel 900 to 1,900
Entertainment 1,000 to 1,500
Total 10,100 to 16,400

Cost of Living in Dubai for a Single Person

Single individuals spend relatively less on housing and groceries. They do not have other liabilities, such as school fees. However, they may spend more on eating out and leisure activities. The housing cost varies widely across localities and types of accommodation. The monthly living expenses in Dubai for a single person range between AED 5,500 to AED 9,000. The breakdown is as follows:

Type of Expense Cost (AED)
Rent 2,500 to 4,200
Groceries 950 to 1,100
Utilities 900 to 1,000
Transportation & Fuel 500 to 1,500
Entertainment 700 to 1,400
Total 5,550 to 9,200

Cost of Living in Dubai for a Family

Families typically incur higher expenses on account of bigger housing, childcare, and education expenses. The average living expenses in Dubai for a family of four may be upwards of AED 20,000 per month based on their lifestyle choices. Refer to the table below for a breakdown of these expenses.

Type of Expense Cost (AED)
Rent 6,000 to 12,000
Groceries 3,500 to 4,500
Utilities 2,500 to 3,500
Transportation & Fuel 1,500 to 3,500
Entertainment 2,500 to 3,000
Education (2 children) 5,500 to 12,000
Total 21,500 to 38,500

Factors That Determine the Cost of Living in Dubai

The cost of living in Dubai is dependent on several factors. The details are given below:

Housing

The rent or the purchase price of a house is primarily based on its location, size, and amenities. Downtown Dubai is prohibitively expensive for common people.

Food & Groceries

Fresh produce and meat are relatively cheap in Dubai. Several supermarkets have special offers and discounts on select days. However, imported foodstuffs and international brands are expensive. For eating out, you can choose between affordable fast-food centers, fine dining, and high-end restaurants based on your budget.

Utilities

The electricity, gas, water, and phone charges depend on your family size and consumption

Transportation

Public transport (metro, bus, taxi) is cheaper in Dubai. However, it is typically more expensive to use a private vehicle as it involves additional expenses on fuel, insurance, and maintenance.

Education

Public schools are quite affordable in Dubai. If you want to enroll your children in private schools, you can choose between Indian, American, and British schools based on your budget.

Healthcare

Most employers in Dubai provide basic health insurance coverage to their employees. However, you may have to incur additional expenses if your employer does not cover your dependents or if you want higher coverage.

Entertainment

This includes the expenses for the cinema, theme parks, adventure activities, nightclubs, music & dance events

Shopping & Personal Care

The cost of clothing, footwear, cosmetics, gym memberships, salon visits, etc. are based on your preferences

Tips On Reducing the Cost of Living in Dubai

Here are some great tips to help you reduce your living expenses in Dubai:

If you are single, you can share an apartment with 3 to 4 people and cut down on your rental expenses. If you have a family, you can avoid Downtown Dubai and look for housing in affordable areas such as Deira or Al Nahda.

Negotiate hard with the landlords to get a good deal by signing up for longer leases.

Using public transportation or carpooling can help you reduce your fuel expenses, interest charges, and maintenance costs incurred on a private vehicle. You can use the Nol cards for public transport to get discounts on fares.

Buy groceries at budget-friendly stores such as Lulu Hypermarket or Carrefour. You can purchase non-perishable items in bulk to get some attractive discounts.

Eating home-cooked food is healthy and can help you save a significant sum every month. If you want to eat out, you can choose good local eateries instead of high-end restaurants.

Avoid misuse of electricity, gas, and water. Please use energy-efficient devices. Check with your service provider for family packages on phone and internet plans. Pay your bills on time to avoid penalties.

Enroll your children in good public schools or affordable private schools. Several international schools may offer little benefits beyond their snob value.

Entertainment can indeed be cheap or free of cost. You can explore the bounties of nature by visiting public beaches, parks, and historical sites instead of cinemas and theme parks.

Do not sign up for expensive gym memberships at the beginning of the year just because they offer a discount. Most of us can keep ourselves fit by staying physically active and leading a disciplined lifestyle.

Lastly, draw up a practical monthly budget to match your income and expenses. Save and invest a fixed sum every month before you start spending.

Cost of Living in Dubai v/s Abu Dhabi.

Dubai is the most expensive city to live in the UAE. The city is a global financial hub and a world-class tourist destination. It attracts expatriates and tourists from all across the globe. The capital city of Abu Dhabi is relatively more affordable. A comparison of the living expenses in both these cities is given in the table below.
Type of Expense Cost in Dubai (AED) Cost in Abu Dhabi (AED)
Monthly rent for a 1-BHK apartment in the city center 10,000 to 12,000 7,000 to 10,000
Monthly expenses on groceries 800 to 1,200 700 to 1,100
Transportation cost (Monthly Pass) 300 200
Utility bills 600 to 1,000 500 to 900
Dining costs in a mid-range restaurant for two people 200 to 250 120 to 200

Note: Education and healthcare expenses are almost the same in Dubai and Abu Dhabi. While public services are cheap and affordable in the UAE, the private sector offers a range of services to suit your budget.

Important Things to Know Before Moving to Dubai

Relocating to Dubai can offer a transformative experience to many people with its high living standards and abundant opportunities for work & leisure. However, it is imperative to know a few things before you make the move.

Legal Permit

The employers sponsor the employment visas for their employees to work in Dubai. The expat workers typically need to obtain residency visas for their dependents.

Living Expenses

The downtown Dubai life cost is prohibitively high. Many people reside in the suburbs or look for other affordable housing options. As Dubai has no income tax, you can save a decent sum with some astute financial planning.

Transportation

You can use your international DL for a temporary period. However, a UAE driving license is mandatory for residents. Dubai also has an excellent public transport system comprising metros, trams, buses, and taxis.

Climate

Dubai has hot weather, especially from May to October. The temperature easily crosses 40 degrees Celsius, and it is advisable to avoid outdoor activities during the daytime.

Customs & Culture

Expatriates should respect the local culture and wear decent clothing in public places. They must avoid any kind of PDA. There may be a few additional restrictions during the holy month of Ramadan.

Medical Care

Health insurance is mandatory for all the residents of Dubai. If your employer covers you but does not cover your family, purchasing health insurance for them is your responsibility. Further, Dubai has top-notch healthcare facilities (both public and private) to serve its residents.

Working Hours

Most companies and business establishments in Dubai work from Monday to Thursday between 9 am to 6 pm. Friday is a public holiday in the UAE.

Social Life

Dubai is a cosmopolitan city with a vibrant expat community. You can indulge in a host of leisure activities and savor the iconic landmarks, beaches, nightlife, entertainment zones, and shopping destinations in Dubai.

Language

English is widely spoken across Dubai. It is helpful to familiarize yourself with a few basic Arabic words & phrases.

Frequently Asked Questions on the Cost of Living in Dubai

A monthly salary in the range of AED 10,000 to AED 15,000 can ensure you a decent quality of life in Dubai. This also enables you to save a reasonable amount every month.



A monthly salary of around AED 20,000 is considered to be quite attractive in Dubai. A salary upwards of AED 35,000 per month can ensure a comfortable life for expatriates who can afford to stay in a villa in any of the sought-after locations.

The average rent in Dubai depends on the location, home size, and the type of amenities offered. While a 1-BHK apartment in the city center can cost you around AED 5,000 to AED 6,000 per month, a 3-BHK unit costs over AED 10,000. 

Yes. Dubai is the most expensive city to live in the UAE. It is a global business hub and a world-class tourist destination. The average cost to live in Dubai is at least 15-20% higher than that in Abu Dhabi.

The housing rent is more expensive in Dubai. While renting a 1-BHK apartment in Dubai can cost you around AED 5,300, you can rent a similar property in Abu Dhabi at AED 4,300.

The Dubai average living cost depends on your family size and lifestyle choices. The average expenses for a single person range between AED 5,600 to AED 9,200. A couple with no children would require around AED 10,500 to AED 16,000 per month. The monthly expenses for a family of four range between AED 22,200 to AED 37,500.

Yes. Dubai has one of the lowest crime rates in the world. The UAE laws are stringent, and the country has a sound and speedy justice system. The majority of Dubai’s population is expat-friendly. Women, children, and senior citizens can safely stroll through the city at night.

Yes. Dubai is a global business hub with a robust economy. The job & business opportunities are abundant, diverse, and competitive. The salary is tax-free. The sky is the limit for highly qualified and skilled expatriates.

Dubai has a flourishing economy and a business-friendly environment. The city is modern and cosmopolitan with the best physical & social infrastructure. The opportunities are abundant for working professionals, entrepreneurs, and investors. Expatriates can move their families to Dubai without any hassle. The city is considered to be amongst the safest in the world with very low crime rates.