Moving to Dubai is attractive to many people, especially due to the favorable tax conditions, booming economy and high quality of life. However, before you take the plunge, it's important to understand how much money you'll need for a successful emigration to Dubai. In this article, we look at the key cost points you need to consider in order to plan realistically.

1. Visa and residence permit

To live and work legally in Dubai, you need a visa. There are different visa categories, but the most common for expats is the work visa, which is sponsored by an employer. Alternatively, as an entrepreneur, you can apply for an investor or start-up visa.

• Work visaThe costs for a work visa are normally covered by the employer. However, if you are emigrating on your own, the cost of a visa can be around AED 4,000 to 6,000 (around EUR 1,000 to 1,500).
• Investor visaAn investor visa costs between AED 10,000 and 15,000 (EUR 2,500 to 3,700) and often comes with additional requirements such as setting up a company or buying property.
• Golden VisaIf you are looking for a long-term residence permit, the so-called "Golden Visa" may be an option, which is valid for 5 or 10 years. The costs for this start at around AED 50,000 (around EUR 12,500).

2. Cost of living in Dubai

The cost of living in Dubai varies greatly depending on lifestyle and location. Here are some basic cost points:

• RentDubai offers a variety of housing options, from luxury villas to basic apartments. For a one-bedroom apartment in central areas such as Dubai Marina or Downtown Dubai, you can expect to pay around AED 7,000 to 10,000 (EUR 1,700 to 2,500) per month. In less central areas such as Jumeirah Village Circle or Al Barsha, rents are around AED 4,000 to 6,000 (EUR 1,000 to 1,500) per month.
• Incidental costsThe costs for water, electricity and air conditioning can range from AED 500 to 1,000 (EUR 125 to 250) per month, depending on the size of the apartment and its use.
• FoodFood is relatively expensive in Dubai, especially imported products. For one person, you should expect to pay around AED 1,000 to 1,500 (EUR 250 to 370) per month.
• TransportationMany expats prefer to own a car, as the public transportation network is not yet fully developed. You should budget around AED 20,000 to 30,000 (EUR 5,000 to 7,500) for the purchase of a used car. The running costs for fuel and insurance are around AED 1,000 to 1,500 (EUR 250 to 370) per month.

3. Company formation costs

If you are moving to Dubai to start a business, you need to consider the costs involved. The amount depends largely on what type of company you are setting up and whether you are doing so in a free zone or on the mainland. Setupco can help you find the ideal company structure.

• Free trade zoneCompany formation in a free zone costs around AED 12,000 to 50,000 (EUR 3,000 to 12,500), depending on the zone and the type of business.
• Mainland companyThe cost of setting up a business on the mainland starts at around AED 20,000 (EUR 5,000) and can increase depending on the industry and requirements.
• Office spaceIf your business requires a physical office, you will need to budget for additional rental costs. Prices start at around AED 3,000 (EUR 750) per month for small office units.

4. Health insurance

Health insurance is compulsory in Dubai. The costs depend on your age and state of health.

• For basic insurance, you need to budget around AED 2,000 to 5,000 (EUR 500 to 1,250) per year.
• If you want more comprehensive insurance with more benefits, the costs can be up to AED 15,000 (EUR 3,700) per year.

5. One-off removal costs

Various one-off costs are incurred when moving to Dubai:

• Flight ticketA one-way ticket from Europe to Dubai costs around EUR 500 to 1,000, depending on the season and airline.
• Removal goodsIf you want to bring your furniture and personal belongings to Dubai, the cost of an international removal service can range from EUR 3,000 to EUR 10,000.
• Furnishings and household itemsWhen furnishing your new home in Dubai, you will need to budget around AED 10,000 to AED 20,000 (EUR 2,500 to EUR 5,000) for furniture, electrical appliances and other household items.

6. Other costs

• EducationIf you have children, choosing the right school is important. Tuition fees for international schools in Dubai vary widely, but on average range from AED 30,000 to AED 100,000 (EUR 7,500 to EUR 25,000) per year.
• Leisure and entertainmentDubai offers a variety of leisure options, from luxurious restaurants to theme parks. You should budget around AED 1,000 to 2,000 (EUR 250 to 500) per month, depending on your lifestyle.

7. Income tax

A big advantage of living in Dubai is that there is no income tax. This means that you receive your entire salary net, which can be a great incentive, especially for high earners.

Conclusion: How much money do you need in total?

To summarize the costs, here is a rough overview of the one-off and ongoing expenses:

• One-off costs:
• Visa: 1,000 to 12,500 EUR
• Relocation: 3,500 to 10,000 EUR
• Company formation (optional): EUR 3,000 to 12,500
• Set-up costs: EUR 2,500 to 5,000
• Running costs (monthly):
• Rent: 1,000 to 2,500 EUR
• Service charges and living expenses: EUR 500 to 1,000
• Transportation: 250 to 370 EUR
• Health insurance: 500 to 1,250 EUR (annually)

Depending on your lifestyle and professional situation, you should expect to have start-up capital of at least EUR 10,000 to EUR 20,000 when emigrating to Dubai. If you want to start a business, the amount can be correspondingly higher.

With the right planning and support from service providers such as Setupco you can organize the move smoothly and successfully master the financial challenges.