Dubai has become a very expensive place to live and continues to do so at a fairly rapid pace. I know it probably compares with Europe however at the present rate of inflation it will be more expensive than Europe in the near future. A FO will not have much chance of saving anything unless he is single with no kids or the wife has a good job. Once there are a wife and kids in the equation I do not know of anyone who finds it possible to save much.
The schooling is generally of a good standard however it can be difficult if not impossible to get your kids into some of the chosen schools.