The true cost of pet ownership

Welcoming home a new pet, be it a dog, a bird or a hamster, is exciting, joyful and filled with new experiences as they become part of your family. However, with pet ownership comes the responsibility to care for this living creature that is totally dependent on you. That means budgeting for pet expenses.

Over 82 million households in the U.S. own a pet and they're spending more on their cuddly, energetic or slithery companions than they did a decade ago—to the tune of $876 per year, according to a 2023 report. We're looking at you, fancy dog beds and funny Halloween costumes!

Employers help with the cost of pet care
Beyond luxury or fun items, pet costs can also start digging into finances if a pet becomes injured or ill. While the cost of a veterinarian emergency room visit can vary by location, the breed of pet you have and the type of emergency, the average cost of surgery can run from $2,000-5,000, plus $80-$200 for bloodwork and $150-$600 for X-rays, if needed.

Some employers are beginning to support the needs of employees’ furry family members through benefit offerings.

"We want to provide a robust benefits plan for our employees at any stage of life and whatever needs they have," said Jill Dail, senior employee benefits consultant at BOK Financial® where they offer discounts on pet insurance and pet supplies as part of the employee benefits package.

And pet perks are becoming more in demand from employees weighing benefits packages for new jobs. After all, having a sick pet at home can be as stressful as having any loved one ill, and employees want the same consideration in finding the means to care for them, whether it be taking them to the vet or staying at home with them during difficult times.

"They're not just a pet, they're a family member," said Dail. "So, it's important that we provide benefits to every family member, whether an animal or human."

Budgeting for pet ownership
For pet owners, animal care should be accounted for in regular living expenses, like any budget item. To understand how much to reserve from your income, try keeping a journal of pet expenses for two to three months and average out how much is spent on food, grooming and other needs.

According to Rover.com, pet parents can expect to pay between $1,520-$6,415 in the first year of bringing a new dog home, with average annual costs in 2025 ranging from $1,390 to $5,295. Cats are slightly less expensive, coming in around $445 to $1,620 annually.

Considerations when bringing a dog into your life
Depending on the size, breed and age of a dog, expenses can vary. Larger dogs will eat more, while certain breeds and younger dogs require more exercise and stimuli. Some breeds need more grooming, while others are genetically prone to more health issues, which could lead to more vet bills. Expenses may also vary by city, but will likely include:

• Adoption fee
• Spay/neuter
• Pet license and microchip
• Food and bowls
• Treats and chews
• Toys, bedding, crates
• Collars, harness, leashes
• Waste pickup bags
• Flea and tick prevention
• Grooming
• Pet insurance
• Veterinary care (checkups, shots, bloodwork, dental cleaning)
• Emergency care
• Overnight pet sitting/boarding for when you take vacation
• Pet deposits for apartments
• Obedience training
• Considerations for care during the workday if you’re not at home
• Pet costumes (if you're into that)

Having a cat right meow
As with dogs, cat care costs can vary depending on the breed and whether it's an indoor or outdoor cat, but are likely to include:

• Adoption fee
• Spay/neuter
• Pet license and microchip
• Food, treats, bowls
• Scratching post
• Grooming supplies (brush, nail clippers)
• Toys, bedding, carrier
• Litter box and litter
• Flea and tick prevention
• Pet insurance
• Veterinary care (checkups, shots, bloodwork, dental cleaning)
• Emergency care
• Pet sitting/kennel for when you take vacation
• Pet deposit for apartments
• Pet costumes (if you're into that)

Just like costs for people, pet care costs can increase as your pet ages and has health issues, which may require more vet visits, medications, special food and end-of-life expenses including euthanasia, cremation/burial, so budgets may need to be adjusted over time.

Financial expense in exchange for furry unconditional love
While budgeting for a pet may sound like a lot, for many, the benefits far outweigh the cost. The joy of seeing a happy pet greeting you at the door and snuggling with you when you're down can be worth more than money. In fact, there are scientifically proven health benefits to owning a pet from lowering blood pressure, increasing exercise and easing loneliness.

So, the next time Fido brings you a toy to toss, be sure to thank him—and buy him some extra treats! After all, you budgeted for it!