Dubai is one of the most popular locations for expatriates worldwide. Luxury shopping, jubilant nightlife, beaches, and other attractions make it an appealing location for people around the world.
If you are considering a permanent move, it’s important to keep the cost of living in Dubai in mind. Housing, food, transportation, healthcare, and entertainment expenses all affect your cost of living in Dubai. Learn how much it costs to live in Dubai versus the United States.
Do you have friends or family in Dubai who could use a little extra money for expenses? Discover ways to send money to the United Arab Emirates.
Average cost of living in Dubai vs. the US
While Dubai is known for its opulence, the monthly income you’d need to live there isn’t unreasonable. According to Numbeo, a family of four could live on 14,765.30 AED per month. A single person would need 4,183 AED. Using a currency converter, we can take the current USD-to-AED exchange rate to learn that those amounts equate to $4,019.90 USD and $1,138.90 USD, respectively.
Dubai exists within the United Arab Emirates (UAE), similar to a state within the US. To compare the cost of living in Dubai vs. the USA, we need to compare the UAE vs. the USA. Through that lens, the cost of living is 25.9% lower than it is in the US. Making it a viable option for those who previously thought living in Dubai was unattainable.
Cost of housing in Dubai vs. the US
You can potentially get free or subsidized housing through your employer – by law, a company that offers you a job must provide housing. Housing is either provided entirely by your employer or a stated portion of your monthly salary covers it.
However, housing costs may be high for an unemployed expatriate, depending on where you want to live. The average one-bedroom apartment in Dubai’s city center will cost $2,287.70 (8,402.75 AED) per month for rent. You can save yourself some money by choosing to live outside the city center, where rent for a one-bedroom will cost $1,449.76 (5,325.00 AED) on average.
Those numbers are significantly higher than in the US, where a one-bedroom inside metro or city centers costs an average of $1,667.09. Outside the city center, the average price is $1,358.21. For expats, this means you may want to focus on locations away from Dubai’s downtown district, or be prepared to pay a premium.
| Costs in Dubai | Costs in the US | |
| 1-Bedroom (City Center) | 2,287.70 USD | 1,666.97 USD |
| 1-Bedroom (Outside City Center) | 1,449.76 USD | 1,358.21 USD |
Source: Numbeo
Cost of food in Dubai vs. the US
The cost of food in the United Arab Emirates (UAE) tends to be lower than in the United States. Staples like meat, produce, bread, and milk are, on average, cheaper than in the United States.
| Item | Costs in Dubai | Costs in the US |
| Bread (1 lb loaf) | 1.29 USD | 3.30 USD |
| Milk (1 L) | 1.86 USD | 1.06 USD |
| Eggs (12) | 3.53 USD | 4.36 USD |
| Chicken (1 lb) | 3.52 USD | 5.58 USD |
Source: Numbeo
But most Americans aren’t eating every single meal at home. You’ll want to take a look at the prices of eating out, because tasting the local flavors is a big part of living the Dubai lifestyle. As a global economic hub, expats can get an authentic taste of their home country or try food from almost any other part of the world they can imagine.
Americans might be surprised by the price they’ll pay when dining at Dubai’s restaurants and hot spots. Stopping into an inexpensive restaurant for a quick bite is over 25% cheaper than in the US. You may pay a few dollars more for a sit-down culinary experience, but that extra cost may be worth it for the world-class dining Dubai offers.
| Costs in Dubai | Costs in the US | |
| Inexpensive restaurant | 12.80 USD | 20 USD |
| Mid-range restaurant (3-course) | 81.68 USD | 76 USD |
Source: Numbeo
Cost of transportation in Dubai vs. the US
Transportation in the United States is more expensive than in Dubai. The price of fuel is 12% higher per gallon in the United States. The cost of taking a taxi is 272% higher in the US than in Dubai. One-way public transportation tickets are 53% higher in the United States than in Dubai. However, the Dubai metro system is still under development and doesn’t connect to the entire country.
| Costs in Dubai | Costs in the US | |
| Public transport fare | 1.63 USD | 2.50 USD |
| Monthly local transport pass | 95.29 USD | 65 USD |
| Taxi (1 mile) | 1.10 USD | 2.99 USD |
| Gasoline (per liter) | 0.79 USD | 0.89 USD |
Source: Numbeo
Cost of key utilities in Dubai vs. the US
American expats shouldn’t expect to save much on utilities when relocating to Dubai. It’s not that the cost of living in Dubai is unreasonable; it’s just that it’s on par with American expenses. Essential utilities, a mobile phone plan, and internet service cost about the same, with Dubai being slightly more expensive for utilities and internet.
Of course, these expenses will fluctuate depending on how you use your utilities and where you choose to live. Your monthly bills may be higher if you choose to live in the city center rather than a town on the outskirts.
| Costs in Dubai | Costs in the US | |
| Utilities | 231.87 USD | 213.53 USD |
| Mobile phone plan (per month) | 56.77 USD | 61.30 USD |
| Internet (60+ Mbps) | 92.59 USD | 73.09 USD |
Source: Numbeo
How do healthcare costs in Dubai compare to those in the United States?
The Dubai Health Authority (DHA) regulates public and private healthcare. All residents, including expatriates, are legally required to have health insurance. Although the public healthcare is free, it doesn’t offer full coverage for its citizens. For example, dental and vision are not included.
When comparing the price of holistic healthcare insurance in the United States and the UAE, it’s more expensive in the US. Private healthcare insurance costs International health insurance plans may be cheaper and have the coverage you need.
Median annual income in Dubai vs. the US
Living in Dubai, the cost of living discussion isn’t complete without understanding your potential income. The average expat salary is around $52,000 (190,000 AED). That means you’ll take home about $4,000 per month living in Dubai. The upside is that Dubai is a tax-free country. What you make is what you earn. But the shopping is also tax-free, so be careful and control your spending!
| Dubai | US | |
| Average monthly net salary | 4,072.30 USD | 4,320.26 USD |
Source: Numbeo
Is moving to Dubai worth it?
Expats do see a lower cost of living in Dubai than in the US. However, it’s important to do your research before making a big decision like this. Look into the administrative process for moving to Dubai. Figure out what types of documentation (passport, visa, etc.) you’ll need to establish your citizenship.
Also, consider the type of lifestyle you’re after. Are you a single professional moving there to advance your career, or is it somewhere you’d like to settle down and start a family? Whatever your path, it helps to understand how far your money will go.
If you’re planning to send money overseas to the United Arab Emirates, it’s important that you understand the exchange rate. When you’re ready to send or receive money, you can go to our website or download the Western Union app. If you prefer to send money in person, you can also visit an agent location.
Dubai cost of living FAQs
Expats typically need around $4,019.90 per month for a family and $1,138.90 per month for an individual to live comfortably in Dubai, excluding rent. Dubai’s tax-free income policy helps offset these costs, making take-home pay go further than it would in the US.
Yes, US citizens can live in Dubai with the correct visa. Your employer typically sponsors a residence visa. Alternatively, the golden visa is based on financial investment in the country or other business details. The Virtual Working Program and visa is also available for remote workers. They can remain in the UAE for up to a year with a remote work permit while working for US-based employers.
Dubai’s cost of living is roughly 38% lower than that of big cities in the US, like New York City, though it varies by lifestyle. Average rent in Dubai is almost 50% lower compared to NYC, making Dubai a relatively affordable option for expats.
