SteuerrechnerDubai
Cost of Living in Dubai
The cost of living in Dubai is a hugely important factor for some expatriates when deciding whether this city could indeed become their new home. For this reason, we will discuss in detail below what everyday costs of living in Dubai can be expected, as well as the cost of less routine purchases in Dubai.
How high are the living costs in Dubai?
The cost of living in Dubai largely depends on one's personal standards. To live comfortably in Dubai as a single, a monthly income of at least EUR 4,000 is required. Detailed information on the cost of living in Dubai:
Dubai Cost of Living – Daily Essentials
It’s important to know that thanks to a low value-added tax of just 5%, many goods in Dubai are quite affordable. In particular, regional daily essentials are often of good quality and absolutely affordable. In contrast, imported foods, for example, can be somewhat more expensive than you might be used to from your home country.
Those who want to keep their daily living costs in Dubai as low as possible should therefore prefer regional products in their daily life and also favor supermarkets that are not located directly in a mall or near a tourist hotspot.
Dubai Cost of Living – Clothing
The prices for clothing in Dubai are sometimes higher than what you might be accustomed to from European countries, all depending on your standards and style of dressing. However, you might get tailored suits or dresses from a British Tailor in Dubai for less that you would spend in the renown areas in London.
You just have to know where to shop. Outside the centre of Dubai, there are many boutiques, malls and outlets where prices are much lower for the same quality. In addition, the annual DSF – Dubai Shopping Festival – offers discounts of up to 80% on high-end brands.
Dubai Cost of Living – Rent, Electricity, and Water
The monthly rental costs for an apartment or villa usually represent the largest expense among the cost of living in Dubai. Driven by steady population growth (Dubai population 2010: 1.8 million, Dubai population 2017: approx. 2.2 million, Dubai population 2026: approx. 3.5 million), the demand for rental properties, apartments, and villas is extremely high.
We would like to give you specific examples for calculating your cost of living in Dubai, but these depend on many individual factors, such as location, size, amenities, etc., that we must unfortunately refer you to the internet at this point. Using search terms such as,
- Apartments for rent in Dubai
- Houses for rent in Dubai
- Dubai real estate rentals
- Dubai rental properties
- Dubai rental homes
- Dubai rental apartments
you will quickly find information and get a clear idea of the rental costs you should calculate for yourself in Dubai.
Electricity prices in Dubai are comparatively low. The monthly costs depend on the size of the household, consumption, and type of use. Most households have a monthly electricity meter that measures actual electricity consumption. The current price for a kilowatt-hour of electricity in Dubai, as of 2023, is about 70% lower than the typical electricity price of European countries.
The tap water in Dubai is of high quality, but not drinking water, and is supplied by the Dubai Electricity and Water Authority (DEWA). Water prices, like electricity, are relatively inexpensive compared to Central Europe and naturally depend on the amount and type of use as well.
Dubai Cost of Living – Telecommunications
When calculating your cost of living in Dubai, the monthly fees for telephone and internet services are unlikely to constitute a significant expense.
Generally, the monthly costs for telephone and internet depend on various factors, such as the provider you choose, the package you select, and the internet speed you require.
Some of the most popular providers for telephone and internet services in Dubai are Etisalat and DU. Both offer a variety of packages. Typically, there are two types of internet connections available: fixed-line and mobile. Most providers offer packages for both types of connections.
A typical internet and telephone package currently (as of 2026) costs between approximately USD 45.00 and USD 90.00 per month. Additionally, there are also some prepaid plan options available that allow you to pay only for the services you actually use.
Dubai Cost of Living – Insurance Coverage
In Dubai, it is solely up to you to decide whether and what type of insurance coverage you need. However, based on our many years of experience, we would like to offer two well-intentioned pieces of advice regarding this:
Do not forgo a private health insurance with comprehensive outpatient and inpatient services, including appropriate coverage abroad. The monthly premiums for private health insurance from European specialty insurers are significantly lower than those for private health insurance in the UK, Austria Germany, France.
Please also do not skimp on private liability insurance. Unintentionally inflicted damages to third parties can not only abruptly end your dream of emigrating but can turn into a real nightmare. If you have any questions about this topic, we are, of course, also available at any time to assist you in this area.
Fees for Kindergarten and School
As we have already provided detailed information about kindergartens and schools in Dubai elsewhere, here we will focus solely on the costs associated with attending a private kindergarten or private school in Dubai.
The fees for attending a private school in Dubai vary depending on the type of school, its location, and its educational program. When calculating your cost of living in Dubai, you should anticipate at least EUR 10,000+ per year per child. Some schools may also charge significantly higher fees.
On the other hand, attending a private kindergarten in Dubai is considerably less expensive. Here, the annual fees per child typically range from USD 5,000 to USD 15,000.
Dubai Cost of Living – Conclusion
Regarding the level of general living costs in Dubai, there are many rumors and myths. Let’s therefore summarise some facts again at this point:
Prices for Groceries in Dubai
Those who shop for groceries at supermarkets where the majority of Dubai’s residents shop will generally find reasonable prices. Local products are usually significantly cheaper than imported goods.
Prices for Electronics, Cars, and Furniture
The prices for cars, electronics, and furniture are generally cheaper compared to Europe or the US. Compare offers online and visit places like the Dragon Mart Dubai. Here, you can find furniture and much more at real bargain prices.
Rent and Utility Costs in Dubai
Do your research online. Depending on the location and amenities, you may find a two-bedroom apartment for an annual rent of AED 50,000 , while a similar apartment in a better location could cost up to AED 300,000 per year. The location particularly determines the rental price in Dubai.
Schools and Kindergartens in Dubai
Those who emigrate to Dubai say goodbye to a free or state-subsidized education system. Instead, your children grow up multilingual and with a much broader perspective. Both significantly increase your child’s chances of success later in life, one day they will thank you for it one day.
Those considering the cost of living in Dubai and calculating it for themselves should remember that Dubai does not charge income tax. From a certain income level, this fact may offset the higher costs associated with rent or school fees. Adding the tax exemption to the increased quality of life, this should be a clear plus for a residence in Dubai.
If you have specific questions about this or any other topic, or if you would like to discuss your plans with one of our experienced experts at this point, please contact us.
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