The cost of living in the United Arab Emirates (UAE) can generally be compared to that in Germany. There are many things, such as fruits, vegetables, herbs, gasoline, and car insurance, that are cheaper in the UAE, but also things like rent, cell phone rates, clothing, and internet connections that are more expensive in the UAE. According to the latest Cost of Living Index, where #1 is the most expensive city, Dubai is ranked 284th out of 568, compared to Munich, which is 92nd.
Dubai is a vibrant metropolis where only a small percentage of the population consists of locals. The internationality of the city is clearly visible in the high proportion of foreigners, which is over 90%. This diversity is reflected in all areas in Dubai. Although the national language is Arabic, English is spoken everywhere and both street signs and all contracts must by law be bilingual in English and Arabic.
The United Arab Emirates is considered a country that is very much geared towards expats. People with a valid visa have the possibility to emigrate to Dubai. There are two ways to obtain a visa: either by starting a business or by working for a company that already operates in the UAE.
Rental prices in Dubai vary depending on location, but can generally be compared to those in major German cities. A major advantage of living in Dubai is the larger living space compared to similar apartments in Germany. Generally, rent is paid for a year in advance, however, due to the effects of the Corona pandemic, some landlords also accept payments per quarter or even monthly. Since new apartments and houses are constantly being built in Dubai, there is a surplus of vacancies, resulting in a greater supply than demand. Apartments and houses are usually listed by the number of bedrooms and often have a living room as well as an extra room for a domestic helper, called a maids room. If advertisements say "Chiller Free," don't expect to pay extra utilities because they are already included in the rent. Otherwise one pays the additional costs (electricity, water, gas) to the DEWA, which are due monthly and consist of the exact consumption as well as 5% of the monthly rent. You can find housing in Dubai via Dubizzle and Propertyfinder, among others.
The establishment of a company in a Freezone can be completed in as little as 10 business days, provided that all required documents are complete. The processing time for issuing the Establishment Card is an additional 3 business days. Due to our good relations with the various Freezones, we can also complete the company establishment without the presence of the client.
It is possible to incorporate a company in Dubai without having a residence in the United Arab Emirates (UAE). However, in some cases it may be advantageous to have a UAE residence, depending on the type and scope of the desired company formation.
It is possible to set up a company in Dubai from Germany by contacting a professional agency. Residency in the United Arab Emirates (UAE) is not essential for this, but it may be useful depending on the type of company. However, entry is required for the visa and Emirates ID, if desired. You can either enter with a tourist visa and change status on the spot, or enter directly with an e-visa (entry visa) applied for by us, thus saving the cost of the change of status. We recommend the less expensive option of the E-Visa. Once the E-Visa has been applied for by us, you must enter Dubai within 60 days, otherwise it will become invalid and additional costs may be incurred.
It is possible to incorporate a company in Dubai from Germany by contacting a professional agency. Although residency in the United Arab Emirates (UAE) is not mandatory, it may be useful depending on the type of company. However, a visa and Emirates ID, if desired, are required and will require entry. You can either enter on a tourist visa and change status on the spot, or enter directly on an e-visa (entry visa) applied for by us, saving the cost of the change of status. We recommend the more cost effective option of the E-Visa. Once the E-Visa has been applied for by us, you must enter Dubai within 60 days, otherwise it will become invalid and additional costs may be incurred.
However, there are also some aspects that should be considered when moving to Dubai. For example, the country has a different culture and social structure than Germany, and there are also some restrictions on freedom of expression and general freedom. It is also important to know and follow the rules and laws of the country, as they may be different from those in Germany. It is advisable to thoroughly research the living conditions in Dubai and familiarize yourself with any potential challenges before moving.
The payment system in Dubai is very modern and simple. There are many ways to pay bills, such as online, at the gas station, via SMS or with various mobile payment apps. It is possible to pay all kinds of bills like electricity, water, gas, car or cell phone bills. There are no reminders, but if you want to renew something, you have to pay your full bill. Parking tickets can be paid by SMS and for parking tickets, which can be quite high in Dubai, you will also receive an SMS with the amount due and you can choose where to donate this amount.
It is possible to set up a company in Dubai from Germany by contacting a professional agency. Residency in the United Arab Emirates (UAE) is not essential for this, but it may be useful depending on the type of company. However, entry is required for the visa and Emirates ID, if desired. You can either enter with a tourist visa and change status on the spot, or enter directly with an e-visa (entry visa) applied for by us, thus saving the cost of the change of status. We recommend the less expensive option of the E-Visa. Once the E-Visa has been applied for by us, you must enter Dubai within 60 days, otherwise it will become invalid and additional costs may be incurred.
Dubai is actually a very child-friendly country, with many indoor playgrounds and activities as well as classes for children. There are breastfeeding rooms and diaper-changing facilities in public places and restaurants, and the range of children's menus is wide. However, kindergartens and private schools are relatively expensive, and it is common for children to have to take Arabic as a minor subject. Bullying is not tolerated in schools, and the health care system is progressive. Dubai is also a very safe country where drugs and alcohol are not readily available. It is common to employ a nanny to make everyday life with children easier.
There are no taxes on income, profits or assets in Dubai. The only exception is the value added tax (VAT) of 5%. In order to fully benefit from the tax exemption in Dubai, it is necessary to deregister one's residence in Germany and to adhere to the 183-day rule, i.e. not to stay in Germany for more than 183 days per year (6 months). However, there are also other tax saving models that do not necessarily require emigration.
Dubai is a city with a very low crime rate. It is considered one of the safest cities in the world. This is not only due to the extensive video surveillance and harsh penalties, but also the lack of poverty in the city. Since the locals are wealthy and expats are only allowed into the country if they either have a job or have started their own company, there is hardly any unemployment here. So everyone living in Dubai either has a job or is earning money.
Although Dubai is an Islamic country, the presence of Islam in the daily experience of expats is low, as the majority of the population consists of foreigners. The percentage of locals is less than 10%. The internationality in Dubai is very high and the presence of Islam is mainly represented by the laws and traditions of the country, but not necessarily in the daily experience of expats.
Until recently, unmarried people in Dubai were only allowed to live together. But since the end of 2020 it is now officially allowed and legal! It is also possible for the founder of the company to issue a visa to his partner through the company. In addition, marriage is no longer a requirement if there is a desire to have children. Since November 2021, it is officially allowed for unmarried expats to give birth to children in Dubai!
There are several ways to obtain a visa for the United Arab Emirates (UAE). A simple option is the tourist visa, but it is limited to 90 days. If you are an employee, you can get a work visa from your employer, which allows you to live in the UAE while performing your job. However, if you lose your job, you only have 30 days to find a new job, otherwise you have to leave the country. Platforms for online job search include LinkedIn, Dubizzle, Gulftalent and Bayut. Another option is the investor visa, which requires buying a property worth at least €250,000 in the UAE. When setting up a company in Dubai, one receives a work visa for 3 years, while employees receive a visa for 2 years. The visa can be extended while performing the activity.
When establishing a company in a Freezone in Dubai, such as a Freezone Entity (FZE) or Freezone Company (FZC), the owner of the company is granted a visa for 3 years and the employees are granted a visa for 2 years. These visas can be renewed as many times as needed if the company continues to operate. An advantage of this way of establishing a company is that one has to pay 0% taxes. However, the company license must be renewed annually, which costs about 5000 euros per year, depending on the free zone and type of license.
Setting up a company in Dubai, especially in a Freezone, is possible even without residency in the United Arab Emirates (UAE). A professional agency can assist with this and initiate the necessary steps. However, entry is required for a visa and Emirates ID. There are different types of visas, such as the tourist visa, the work visa and the investor visa. For the tourist visa, the length of stay is limited to 90 days, while for the work visa and investor visa, longer periods of stay are possible. For employees of a Freezone Entity/Company, such as an FZE/FZC, a visa is possible for 2 years and can be extended as often as desired if the activity is continued. In a Freezone, one pays 0% taxes, but there is an annual cost for renewing the company license. To be on the safe side, one should take out an international private health insurance, which is cheaper and with a higher scope of benefits compared to a PKV in Germany. We offer our customers an additional discount on the international health insurance.
To drive a car in Dubai, you need a local driver's license. However, you do not have to take another test, you only have to translate your existing driver's license and then have it rewritten. Driving a car in Dubai is much cheaper than in Germany. For example, a fully comprehensive car insurance for an SUV costs about 350€ for a whole year. Car taxes are not available. And gasoline costs about 0,90€ per liter. Parking is also much cheaper compared to Germany!
Dubai has an average annual temperature of 28 degrees and there are only 7 rainy days per year. During the summer (June-September) temperatures can reach over 40 degrees, but it should be noted that temperatures drop in the evening and you should plan your outdoor activities in the afternoon/evening hours. Winter in Dubai is pleasantly warm, with lows around 15 degrees. Even in the coldest month, daytime temperatures are pleasant at 24 degrees. Otherwise, the weather is very pleasant throughout the year. The water temperature varies between 23-34 degrees throughout the year, which makes it possible to swim pleasantly all year round. The weather in Dubai is very bright and sunny all year round, with the sun shining for an average of 10-11 hours per day in summer and still 8 hours in winter.
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