We look after a wide range of nationalities expatriating all over the world, but we find the most common questions are people moving to the UAE with the most popular emirate Dubai being at the top of the list. With the population rising every year and no sign of the benefits slowing down it is still a very desirable destination for expats and their families.
Expat Population Statistics
- 240,000 British
- 7,000 Australians
- 40,000 Americans
- 40,000 Canadians
- 100,000 South Africans
Moving to Dubai
If you are thinking of coming to Dubai without a job lined up, you will have to enter on a tourist visa. This visa gives you 30 days before you must exit the country. This technique is used by people who want to see if Dubai is for them. This is not the ideal way of coming to Dubai especially if you have a family as it will become very impractical and cost baring in the long run.
Most people move to Dubai with a job waiting for them when they arrive especially people with families. The visa is arranged by your employer allowing you to enter the country. Visa costs are covered by employer.
Documentation List:
Your employer will contact you regarding their requirements to process the visa, but the following are usually mandatory.
- Offer letter signed
- Educational certificates
- Passport copy
- Attested certificate/Apostille stamp by the Foreign & Commonwealth Office (FCO) and then attested by the UAE Embassy in London (Once in Dubai these will get attested by the Ministry of Foreign Affairs)
Each contract is different, and it is down to your employer about other costs within your contract. Such things as: - Schooling paid, or part paid
- isa and healthcare for family members (some employers ask you to pay for this cost)
- Housing paid for or part paid
- 1 return flight a year
- Company car
*TIP: Take at least 6 passport pictures to Dubai as first few days is a lot of paperwork! *
These are all the things you need to look for within your contract and will help with start up costs when arriving. It is important to discuss these with your employer before making the move.
When you arrive in Dubai:
When you arrive in to DXB (Dubai International Airport) you will most likely be greeted by a representative from your new employer and they will escort you through the process and take you to your accommodation for usually the first week or two covered by the company. This will give you time to find and apartment/Villa to stay. As discussed earlier this may be your cost or the company’s.
Health Check for Visa Process:
A compulsory health check is carried out before the process of your visa and Emirates ID card (Identity Card). The Emirates ID card has all your information such as bank details, medical records, schools etc and to prove you can work in the UAE. The health check is a simple blood test and results usually take less than a week. By law your employer will take care of your health insurance as it has been made compulsory by the Dubai Government.
Finding a home in Dubai:
This may seem a daunting task for anyone leaving their home country, but it is very important to chose wisely where you live. Over 80% of the population are expats and areas are broken down into areas, some suitable to families and some not so. You can choose from modest studios, apartments, townhouses and villas. Rents can vary massively, and it is all down to your budget. If you need advice on where to live in Dubai please click here and we will get one of our recommended partners to contact with you.
Schools in Dubai:
As a parent this will most likely be your top priority. Unlike the UK the British curriculum schools are private schools and fees vary per school. This includes nursery, infant, primary, high school, college all the way up to university. The 58 British schools in Dubai are all vetted by the KHDA, which gives parents a fantastic variety when it comes to their children educations. If your company is not contributing to your child’s education, it is best to save sooner rather than later. If you want your child to go to university back in the UK they will be classed as an expat (3-year rule) which does not grant them for a loan. To find out how to save effectively offshore for this please click here for more details.
Cost of living in Dubai:
Unfortunately, the start of your journey in Dubai can be quite expensive especially if your employer does not cover accommodation. You will have to budget for a deposit for an apartment (even more if you decide to rent unfurnished) renting or buying a car and of course the general lifestyle of Dubai. It is important to not get too caught up in the lifestyle due to it being so expensive, it is a very easy place to save due to the tax-free rules but also the easiest place to spend money. It is sensible to set some money aside for your retirement or if your plan is to pay off a mortgage back home. You can save much faster and efficiently in the UAE. To find out more about how you can make the most of your savings contact us or click here to find out more about retirement planning
Lifestyle in Dubai:
Dubai is arguably the most glamorous city in the world. It has everything you need from shoppingcentres (malls), restaurants, bars, hotels, beaches, everything you need to settle in. Dubai is also in the top 10 safest cities in the world which makes the move a lot easier especially if you have children. There are many social groups in Dubai and is very easy to make friends through work and forums for example “Brits in Dubai” so help you settle. It may take some time to get used to the weather especially in the months May to Sept as temperatures can reach 50 degrees. Overall Dubai has something for everyone and you don’t have to look far to find what your after.
American Citizens Dubai:
The documentation is very similar as the UK when coming to Dubai. You will need to get your educational certificate/degree attested. Next step is to get authentication from the UAE embassy which is based in Washington D.C
Taxes: Unfortunately for US citizens the tax benefits are not as desirable as other countries coming to the region. As a US citizen or green card holder you still must file your taxes annually back in the US when living overseas or face penalties by the Internal Revenue Service (IRS). Filing your taxes can become more complex when marrying a none US citizen. It is very important to seek professional help when filing your returns and there are ways to minimise your taxes whilst living in the UAE.
Other areas to consider:
Foreign Earned Income Exclusion (FEIE) Based on form 2555
Bona Fide Residence Test
The Foreign Tax Credit (FTC) (Form 1116)
Foreign Housing Exclusion
If you are self-employed, you need to calculate your housing expenses in a different way.
If you live together and are married, you have to calculate housing expenses jointly
To schedule a call with one our team regarding this please click here.
Canadians:
The UAE seems to be a very popular destination for Canadian Expats with over 45,000 being residents. See below some key points to consider:
- Due to the double taxation agreement (DTA) Canada has with the UAE this means a Canadian citizen living abroad will not get taxed in home country.
- Due to the UAE having zero tax on income there is no reason why you should be liable for double taxation.
- If you are still a resident of Canada for example have health insurance, a property, bank account or any asset in Canada you may be liable for tax. This is all dependant on the Canadian Revenue Agency (CRA).
- Due to Canadian healthcare cover being so comprehensive it may be worth checking your UAE cover with your employer before considering cancelling Canadian policies as some UAE plans can be very basic.
- Unfortunately, it would not be beneficial to transfer your Canadian pension due to heavy penalties. It is best to keep your pension frozen.