There are certain caveats with a firebed, which is what you describe. As has been pointed out, you can end up taking a steam bath if moisture laden soil thaws during the night (This is one instance where a couple large contractor trash bags between you and the firebed are worth their weight in gold as a waterproof barrier). However, even in the most frozen conditions you can still successfully make one of these. I recommend just doing a "torso-length" one at most, since you'll expend less calories, and really the key is to keep your core body temp going. Plus, you use less fuel to build the fire. But for true luxury, a full body length firebed is an amazing wilderness experience.
I use the 2-4-8 rule as taught to me by my friend Ron Hood. You build and maintain a strongly burning 2 hour fire, in a pit dug 8" deep, with the bed of coals sitting at 4" deep once the fire has died down. Line the bottom of the pit FIRST with rocks (make sure they are not moisture filled rocks from a stream bed or drainage area - the moisture can expand with heat and explode, causing serious shrapnel wounds). Leave a 1/4" or so of airspace between the rocks for some airflow so that the fire can draw the oxygen...plus, the heated rocks will radiate heat throughout the night in addition to the coals on top of them.
Once you have that bed of coals ready after two hours, then bury them with dirt. After about 45 minutes, the heat should start to radiate through, and should, if done right, last about 6-8 hours. Your mileage may vary depending on conditions.
I just demonstrated this to a group of kids that a friend of mine teaches/counsels in a wilderness therapy program about 3 weeks ago, with great success. Everyone had a great time and great success with it, and the kids were hungry for more survival-related ideas. They could not believe how luxurious a primitive camping experience could be in the bitter cold! However, you have to experiment, like any other skill, to get this technique down and be able to use it efficiently.
If the ground is frozen, you can still make a firebed, but it will not be as effective. You have to burn the fire on the ground to thaw it first. As long as you use the fire for cooking and other purposes (multitask use of the fire) you can do the firebed technique effectively. And, it can save your life when other alternatives are not as readily available!