# Need information to help decide on whether to accept a position in Dubai



## Dawn A (Dec 5, 2008)

Hi everyone, I am a married female and I live in the US and I am considering a position in Dubai. I am trying to collect as much information as possible on Cost of Living vs. US, cost to rent, Pets, motorcycles, finding a position for my spouse etc. 

What is the tax implication working for a local company? What does the IRS get? Are motorcycles driven in Dubai, if yes, can I ship my Harley? Is it worth the trouble to bring my dogs with me? My son will be graduating high school in the states and may want to live with me, can he be under my Visa? My husband is a carpenter, will he be able to get sponsored if he finds a job, or will he always be sponsored under me?


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## bigdave (Oct 22, 2008)

Dawn A said:


> Hi everyone, I am a married female and I live in the US and I am considering a position in Dubai. I am trying to collect as much information as possible on Cost of Living vs. US, cost to rent, Pets, motorcycles, finding a position for my spouse etc.
> 
> What is the tax implication working for a local company? What does the IRS get? Are motorcycles driven in Dubai, if yes, can I ship my Harley? Is it worth the trouble to bring my dogs with me? My son will be graduating high school in the states and may want to live with me, can he be under my Visa? My husband is a carpenter, will he be able to get sponsored if he finds a job, or will he always be sponsored under me?



i am on my wifes visa. from what we were told the woman either has to be high ranking in her company or something like a doctor to beable to sponsor her husband.

you dont want to drive a motorcycle in Dubai. once you get here and see the traffic and the crazies that drive here you will not want to ride your bike.

the cost of living for rent is just stupid. To get our 4 bedroom bungalow it was 105,000$ american dollars for one years rent and it must be paid in advance. So make sure your company is paying for housing. School is really expensive but sounds like you wont have to worry about that. Basically everything else is comparable to the states.

pets, you need to make sure they are up to date on all shots including rabies. The animals must be microchipped, make sure you get the chip with the frequency for over seas. you also need a document from the vet stating the animal is safe to fly 10 days before plane trip. There is NO quarentine. yay. through continental airlines from houston to dubai its g oing to cost us about 200 us dollars to fly the dogs over to dubai. for both.

Work for your husband is going to be very hard hard hard to find. The type of work he would do there is a gauy from pakistan there willing to do the same work for 1/16th of what your husband would want.

your son can travel on your visa


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## Dawn A (Dec 5, 2008)

bigdave said:


> i am on my wifes visa. from what we were told the woman either has to be high ranking in her company or something like a doctor to beable to sponsor her husband.
> 
> you dont want to drive a motorcycle in Dubai. once you get here and see the traffic and the crazies that drive here you will not want to ride your bike.
> 
> ...


Thank you, this was very helpful. My husband was a homebuilder here in the states, he is very versatile, homebuilding, pool building, carpentry. Before he went out on his own, he was a supervisor of a construction company. Any thoughts, on where he should direct his search? 

Since my son will be 18 when he gets out of high school, will his age be an issue under my visa since he is no longer a minor? 

Can you provide any insight in what I would get hit with in filing taxes? Is there a limit or overage where I will be taxed in the states? I am trying to figure out if the offer is going to set me back or not.


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## bigdave (Oct 22, 2008)

Hi Dawn-

As far a taxes for a US citizen, my understanding is as long as you establish residency in Dubai or be out of the US for at least 330 days, you will have a foreign tax credit of $87,000. Anything over that amount you will be taxed at the rate of the amount over. So simplified, if you make 100K, the first $87K would not be taxed but $13K would be taxed at the $100K rate.

HTH


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## Nickel (Dec 7, 2008)

Dawn A said:


> Thank you, this was very helpful. My husband was a homebuilder here in the states, he is very versatile, homebuilding, pool building, carpentry. Before he went out on his own, he was a supervisor of a construction company. Any thoughts, on where he should direct his search?
> 
> Since my son will be 18 when he gets out of high school, will his age be an issue under my visa since he is no longer a minor?
> 
> Can you provide any insight in what I would get hit with in filing taxes? Is there a limit or overage where I will be taxed in the states? I am trying to figure out if the offer is going to set me back or not.


Hi! I am also an American here in Dubai. The tax issue is acutally better for us compared to some. Though there has been some "rumblings" in the US in recent years to do away with tax free income earned overseas, it still hasn't come to fruition. 

While here, you will not have taxes taken out. That means no federal, state, or SS taxes. But there is a caveat to that - you must stay out of the country for one full tax year (Jan-Dec) OR be out of the States for 330 days in either 2 or 3 years. You still file income tax returns, though. There is an income cap to be tax free - I think it is now around $85K - and that includes the value of housing if your company is providing it. Your best bet is to read Publication 54 on the IRS website. There are some other papers you have to fill out when you file your taxes and if you aren't comfortable with tax filing, you may want to find a person at home (NOT H&R Block!!) who understands and has done overseas clients' taxes.

Living in Dubai is like living in NYC - very expensive!! Housing is outrageous, the traffic a nightmare but it is a neat place to be.


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## sgilli3 (Mar 23, 2008)

Dawn- you wont be able to sponsor your son.
He will need to sponsored by an employer/school.


Gulfnews: Sponsoring teenagers


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## Dawn A (Dec 5, 2008)

Thank you this helps. Housing, a car (insurance and fuel) and utilities are included in my contract. I have been told so far the housing allowance is 120,000. Will that be enough to live in a decent 2 bedroom? Ive heard there is a glut of apts. these days and there is room for negotiating. Correct?

I live in Rhode Island and work in NYC, RI has a tax base higher than New York, so I appreciate the comparison and the information to help me make my decision.


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## Nickel (Dec 7, 2008)

Dawn A said:


> Thank you this helps. Housing, a car (insurance and fuel) and utilities are included in my contract. I have been told so far the housing allowance is 120,000. Will that be enough to live in a decent 2 bedroom? Ive heard there is a glut of apts. these days and there is room for negotiating. Correct?
> 
> I live in Rhode Island and work in NYC, RI has a tax base higher than New York, so I appreciate the comparison and the information to help me make my decision.


Your welcome. 

Glut of apartments? Probably, but at some really high rents, IMHO.

120,000 for a 2 bedroom might be tough, depending on where you want to live (and does that figure include the utilities?) My company was "slacking" trying to find me my housing but I finally found one in The Greens - one bedroom fully furnished for 130,000. And that has utilities on top of that. 

Where in Dubai will you be working? That might narrow down on where you want to live.


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## Dawn A (Dec 5, 2008)

Thanks for the help.

The office is in Rashidya. I was told by the hiring manager that this should get me a 2 bedroom in the marina area. Not sure the distance between the 2 locations. The utilities is covered in addition to the accomadation allowance. 

What are the furnished apts. like?


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## sgilli3 (Mar 23, 2008)

If the office is in Rashidiya, then I would look at staying in Rashidiya or even out at Mirdiff.

You should find an apartment within your budget in both areas.Mirdiff is only 10 or so mins away...much closer than Marina, which is total opposite direction.


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## Dawn A (Dec 5, 2008)

Thanks, Any information on whether furnished apts. can set you back? Or, if they are even nice at all? I have visions of really bad summer rentals that I've seen hear on the east coast of the US. Looks ike a bunch of college students lived there for the summer.


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## DesertStranded (Oct 9, 2008)

Dawn A said:


> Thanks, Any information on whether furnished apts. can set you back? Or, if they are even nice at all? I have visions of really bad summer rentals that I've seen hear on the east coast of the US. Looks ike a bunch of college students lived there for the summer.


hehehe

That's pretty much what every furnished apartment here I've seen looks like. There's either hardly any furniture at all and what there is is mismatched or there is so much obviously cheap furniture jammed into the room that you can hardly move.

It's better to get an unfurnished place since the rent will be cheaper and then you can just go to an affordable furniture store to get what you need. You might have to pay more upfront to get all the furniture at once but in the long run I think you will save more because the landlords add a hefty sum to the rent for a badly furnished flat. Then when you leave you can sell the furniture or make a deal with the landlord to get an extra month free if you leave him the furnishings.


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## ExpatAl (Dec 9, 2008)

I agree. Live a near as possible to were you are going to work unless you enjoy sitting in traffic.
When I was looking at renting a two months ago you could not get a studio in the Marina for less than 120K.
Rents in Jumeirah Lake Towers area (Saba Towers) also above 120K for 2 bed apartment. And remember these area as still not finished. Construction works are still going on.....dust / trucks / cranes / road works etc..which is not to everybodies taste.


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## Nickel (Dec 7, 2008)

Dawn A said:


> Thanks for the help.
> 
> The office is in Rashidya. I was told by the hiring manager that this should get me a 2 bedroom in the marina area. Not sure the distance between the 2 locations. The utilities is covered in addition to the accomadation allowance.
> 
> What are the furnished apts. like?


I agree with the other person who answered you. The Marina, while very nice, is far from Rashidya. The commute could be very daunting. Plus getting a 2 bedroom there would be over your budget. In my apartment search (oops, they call them "flats" here!!  ), I looked at 1 bedrooms in the Marina and, unfurnished and some with no "white goods" (frig, stove, etc), the rent was 120,000-130,000.

Luckily, I found a nice fully furnished apt - right down to silverware, dishes, sandwich maker, mixer, etc - that really suited my tastes. Lots of candleholders and a HUGE balcony. But I think furnished apts are a hit and miss in terms of "appropriateness", if you know what I mean.


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