Many consider the life in UAE to be "expensive."         

The UAE is made up of seven emirates, each of which has major cities. It is not very accurate to claim that all emirates in the UAE are of a high cost of living. It depends in fact pretty much on the city you're in.         

Let’s go over some important facts related to the cost of life in UAE:         

Cost of Living in UAE: a General Overview         

If you're wondering if life in UAE is expensive, the answer is yes. While the cost of living in the UAE varies by the emirate, the overall cost is high. Abu Dhabi and Dubai have both dropped in the global rankings of the most expensive cities for expats!         

• Dubai is the most expensive emirate (with Abu Dhabi as a close second).         
• Ajman is the cheapest emirate in UAE (up to 3 times cheaper than Dubai).         

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Summary of Average Cost of Living in UAE: Abu Dhabi, Average Cost of Living in Dubai, and Ajman Respectively         

Monthly Cost of Living for Single Person UAE         

• Cost of living in Abu Dhabi 8,200 AED (2,230 USD)          
• Cost of living in Dubai 9,420 AED (2,565 USD)         
• Ajman 10,090 AED (2,750 USD)         

Monthly Cost of Living for Family of Four UAE         

• Cost of living in Abu Dhabi 20,330 AED (5,535 USD)         
• Cost of living in Dubai 22,970 AED (6,255 USD)         
• 13,200 AED (3,595 USD)          

Cost of living in United Arab Emirates is more expensive than major countries in Middle East. The cost of living in the UAE is also higher than the world's major countries.         

Let's go through the living expenses of life in UAE one by one.         

Living Expenses in the UAE : updated table       

In comparison to rent prices, daily living expenses UAE are not exorbitant. The average monthly cost of living for a family of four is around 12,000 AED (3,000 USD). This includes items such as groceries, transportation, leisure activities, and dining out. The average budget for a single person should be around 3,000 AED (800 USD).         

UAE Food Prices         

Grocery Item AED          

Personal Care AED          

Utility Costs Prices UAE         

Utility costs for electricity, gas, and water will average around 600 AED (163 USD). The majority of this cost will be for electricity and running the air conditioner. You shouldn't have to pay more than 300 AED per month (82 USD).         

Life in UAE: Average Accommodation Prices UAE: Rent Prices UAE         

While most expats are covered by their employers for housing, it is still a good idea to be aware of the costs. In the UAE, the cost of a studio apartment ranges from 30,000 to 50,000 AED (8,100 to 13,600 USD) per year. The cost of an apartment with one or two bedrooms ranges from 70,000 to 100,000 AED (19,000 to 27,220 USD). A high-end, one-bedroom apartment in Dubai's most expensive emirate will cost around 96,670 AED per year (26,317 USD). The cost of a low-end one-bedroom apartment is around 56,200 AED per year (15,300 USD).         

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Healthcare Cost UAE         

Expats, like students, must pay for both public and private health insurance. Health insurance is required in the UAE, and you will not be granted a residence visa unless you have proof of coverage. Employers in Dubai and Abu Dhabi are required to provide insurance to their employees. If your employer does not provide health insurance, you must obtain your own.         

In the UAE, a reasonably comprehensive health insurance policy will cost around 10,000 AED per year (2,720 USD). A family of four will pay around 17,000 AED for basic coverage (4,630 USD) per year.         

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Cost of Education UAE         

Whether your child attends public or private school, you must pay. Despite the fact that Emirati citizens are entitled to free public education, expat families must pay a charge. The annual cost of government schools is approximately 6,000 AED (1,635 USD). Private and international schools will cost expats between 27,640 and 43,790 AED (7,525-11,922 USD). The cost varies according to city, school, and grade level.         

Transportation in the UAE         

Transportation Cost UAE         

Transportation Type AED          

Driving in the UAE, which is known for its fast, reckless driving and six-lane highways, can be intimidating for many expats. The best advice is to be cautious and to expect other drivers to drive very dangerously.         

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How to Get a UAE Driving License?         

You cannot drive in the UAE with a foreign license or an International Driving License if you have a residence visa (IDL). If you are a tourist, you can only drive with a foreign license or an IDL. More information can be found in the rental car details section below.         

If you already have a valid driving license from one of the countries listed below, you only need to convert it to a UAE license. You must bring a letter certifying your license from your country's consulate or embassy. You will not be required to pass a driving test in UAE.         

If you do not have a valid driving license from one of your countries, you must enroll in a driving school and pass a driving test. You will be issued a two-year license if you pass the test:         

Required documents for driving license UAE vary slightly from emirate to emirate, but, in general, these are the documents you will need:         

• Copy of your passport with a valid visa         
• No objection letter from a sponsor         
• Health certificate         
• Five passport-sized photographs         
• An eye examination (can be arranged at Driving Center)         
• The license will be obtained through the Road Transit Authority. The price ranges between 200 and 300 AED (54 to 86 USD).         

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Driving Rules in UAE         

Driving laws in UAE are very similar to those in Europe and the United States. If you are caught driving without a license, you may be fined up to 5,000 AED (1,360 USD). Driving while talking on a cell phone is strictly prohibited.         

Other driving regulations include, but are not limited to:         

• The right side of the road is where all automobiles drive.         
• If you exceed the speed limit by more than 80 km/h (50 mph), you will be fined 3,000 AED (817 USD) and your car will be impounded for 60 days.         
• Seat belts are required for all passengers in a vehicle.         
• Front seat passengers must be at least 145 cm (4'7") tall and over the age of ten.         
• Other violations to be aware of include: sudden swerving, littering, driving a noisy polluting automobile, and crowding accident sites.         

In the UAE, if you have an accident, you must leave your car exactly where it is. Even if the accident occurs in the middle of the road, this rule applies. Only in Dubai is it legal to move your car.     

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Age for Driving in the UAE         

At the age of 18, you can legally obtain a driver's license. You can begin training at the age of 17 years and 6 months.         

Driving a Rental Car UAE         

Previously, every visitor to the UAE was required to have an International Driver's License (IDL) in order to rent a car. Austria, Australia, Belgium, Canada, Denmark, Finland, France, GCC, Germany, Greece, Hong Kong, Ireland, Italy, Japan, Netherlands, New Zealand, Norway, Poland, Portugal, Romania, Singapore, Spain, South Africa, South Korea, Sweden, Switzerland, Turkey, the United Kingdom, and the United States can now drive on their home license as long as it is not expired.         

Only tourists (not residents of the UAE) are permitted to drive or rent a car with a foreign driver's license.         

A few other things to keep in mind when renting a car in the UAE         

The minimum age to rent a car is 25. At the start of your contract, all rental companies are required to request a deposit. This deposit will be for a set amount and will be held on a credit card until the car is returned in good condition.         

If you intend to drive your rental car to another Gulf Coast country, you must notify the rental company and obtain additional insurance. However, this is also dependent on your rental company, as some prohibit taking their vehicles to another country.         

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Public Transportation in the UAE         

Dubai has the most extensive public transportation system in the UAE as the most developed emirate. In the city, there are metro, monorail, and tram lines connecting all areas. Dubai even uses a Nol Card, which is an electronic ticketing system for all modes of transportation.         

Other Ticketing Options:         

Abu Dhabi: Hafilat smart card         

Sharjah: Sayer card         

Per trip, public transportation costs between 6 and 8 AED (2 USD).         

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Life in UAE: How is Public Transportation in the UAE?         

Buses         

The rest of the UAE's public transportation is primarily provided by air-conditioned buses. The network of buses is widespread, encompassing many corners of the UAE. Tickets are considered cheap, ranging between 3 to 8 AED (1–2 USD) for a single trip and 8 to 17 AED (8–5 USD) for a pass. The cost are likely to depend on your area and trip type. Tickets are available for purchase using the Nol Card.         

Taxis         

Taxis are the most common mode of transportation in each emirate. Taxis are regulated by the RTA and are relatively inexpensive. Most fares begin at around 20 AED (5 USD) and increase by 2 AED per kilometer (less than 1 USD). A 10 km (about 6 mile) ride will cost around 32 AED (9 USD).         

There are numerous taxi companies operating throughout the UAE, so finding a cab at any time of day should be easy. All taxis are governed by the RTA.         

Women and Children         

Pink taxis, driven by women and intended only for female passengers and children under the age of 10, are available in Abu Dhabi and Dubai. Sharjah also has female-only taxis, but you must phone ahead to reserve one (600525252) or book online.         

Parking spaces for women are also available in Abu Dhabi and Dubai. These are marked with pink paint.         

Dubai trains reserve the front car for women and children under ten.         

Culture and Social Etiquette         

The UAE, as previously noted, is governed by Sharia law and is significantly influenced by Islamic culture and beliefs. Of course, there are no fees to pay if you are not Muslim. You should just familiarize yourself with the taboos and customs associated with the Muslim religion. In the UAE, making an offense against Islam can have dire consequences.         

Crime and Punishment UAE         

Aside from its wealth and elegance, the UAE is also known for its severe regulations and harsh punishments. A fine or even jail time may be imposed for violations like cursing. Alcohol consumption can lead to flogging. Most crimes carry a jail sentence, a fine, or deportation for expats. However, it does not hurt to be cautious.         

Last Words         

Now that you have a glimpse of all the costs of life in UAE, UAE prices, living expenses UAE, and rent prices UAE, it is important to choose the emirate that suits your income and saving.         

If you want to stay within your budget, you should always calculate all: rent, essential expenses, and entertainment expenses.         

As we discovered, living in UAE is quite expensive- but definitely worth it - so, you should always be financially prepared!       

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