An illustrative first-year relocation budget for an investor family moving to Riyadh, showing how schooling, housing and setup costs add up in SAR.
A family relocation budget should be built from schooling and housing outwards, because those two lines usually dominate the first year. The example below uses illustrative assumptions in SAR for a family of four moving to Riyadh, and shows how to separate one-off costs from recurring ones. Replace every number with quotes from schools, landlords and insurers before you rely on it.
The situation
An investor, a spouse and two children aged eight and twelve are moving to Riyadh, where the investor will run a newly formed company. The company will cover the investor's own residency costs. The family needs a home near an international school, cars, insurance and a first year of setup costs.
Assumptions (illustrative)
- Assumed annual rent for a family villa near the school: SAR 180,000, paid in two instalments.
- Assumed school tuition: SAR 55,000 per year for the younger child and SAR 70,000 for the older child.
- Assumed one-off school registration and assessment fees: SAR 5,000 per child.
- Assumed family health insurance for three dependants: SAR 9,000 per person per year.
- Assumed dependant residency and visa charges, documents and checks: SAR 6,000 per dependant in the first year.
- Assumed setup costs (furniture, appliances, deposits, utilities connection): SAR 60,000.
Step 1: Schooling
Tuition 55,000 + 70,000 = SAR 125,000. Registration 5,000 x 2 = SAR 10,000. Total schooling = 125,000 + 10,000 = SAR 135,000.
Schooling is the largest recurring line after housing. The registration part is one-off; tuition repeats and usually rises with year group.
Step 2: Housing
Annual rent = SAR 180,000, paid as two instalments of 180,000 / 2 = SAR 90,000.
The instalment structure matters for cash flow: SAR 90,000 falls due at signing, before the family is fully settled.
Step 3: Insurance and status
Insurance 9,000 x 3 = SAR 27,000. Status and documents 6,000 x 3 = SAR 18,000. Total = 27,000 + 18,000 = SAR 45,000.
These lines are small individually but recur every year, and dependant charges follow the rules in force at renewal.
Step 4: One-off setup
Setup costs = SAR 60,000, plus school registration already counted in step one.
Setup is concentrated in the first three months and is the line most often underestimated.
Step 5: First-year total
Schooling 135,000 + housing 180,000 + insurance and status 45,000 + setup 60,000 = SAR 420,000.
This is the budget before food, transport, travel and leisure, which depend on lifestyle.
Step 6: Recurring cost from year two
Tuition 125,000 + rent 180,000 + insurance 27,000 + an assumed renewal of status of 4,000 x 3 = 12,000. Total = 125,000 + 180,000 + 27,000 + 12,000 = SAR 344,000.
The second year drops by SAR 76,000 because setup, registration and first-issue charges fall away, but it is still most of the first year.
What changes the answer
- A villa in a compound rather than a standalone house can add substantially to rent and changes the school commute.
- A third child adds tuition, insurance and status charges at once, roughly a full additional row in each step.
- If the company pays school fees as part of your package, the cost moves from family budget to company payroll, with its own implications.
- Choosing a school earlier in the year reduces the risk of paying for a place at a more expensive school because the preferred one is full.
- Paying rent in a single instalment may secure a better rent but doubles the cash needed at signing.
What the numbers tell you
- Choose the school first, then search for housing within a realistic commute.
- Budget the second year as well as the first, since recurring costs dominate.
- Separate the costs your company will carry from the costs the family will carry, and agree them in writing.
- Keep a cash buffer for the first quarter, when rent, deposits and setup fall together.
Limits of this example
Every figure above is an illustrative assumption used to show the method, not a quote, valuation or market rate. Costs, rates, fees and regulations change and must be confirmed with the relevant authority, lender or supplier before you commit.
Domira works with foreign investors on the property side of entering Saudi Arabia: finding land or premises, due diligence, design, construction and asset management. For licensing, tax and legal steps, work with a licensed adviser; we coordinate with yours so the property decision fits the structure you choose.
Frequently Asked Questions
How much does it cost to move a family to Riyadh?
It depends mostly on the school and the home you choose. Housing near sought-after international schools and tuition for each child tend to be the largest lines, followed by insurance, dependant charges and setup costs. Get fee schedules from shortlisted schools and quotes from landlords, then build a budget for the first two years, not only the move itself.
Should I choose a school or a house first when moving to Saudi Arabia?
Choose the school first. Good international schools can have waiting lists, and traffic makes a long commute tiring for children. Once you have a place, search for housing within a reasonable distance. Families who sign a lease first often end up paying for a longer school run or a school that was not their first choice.
Do Saudi employers pay for international school fees?
Some employers include an education allowance in senior expatriate packages, while others pay a higher salary and leave schooling to the employee. If you own the company, deciding whether it pays these costs affects your payroll, your records and possibly tax. Agree the approach with your adviser rather than mixing personal and company payments.
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