The True Cost of Owning a Dog or Cat and How to Plan for It

Bringing home a dog or cat can change your daily life in ways both big and small. Whether it’s a puppy greeting you at the door, a cat curled up beside you while you work, or simply having a steady companion, pets often become part of the family faster than we expect.

That’s why many of us consider the rewards of pet ownership well worth the investment. In fact, about two-thirds of Gen Z and Millennial pet owners say their pets help keep them grounded, even though caring for them can put a strain on their finances, according to Northwestern Mutual’s 2025 Consumer Sentiment Survey.

And there is an investment involved. Beyond the initial adoption fee, pet owners need to budget for food, routine veterinary care, grooming, training, and the occasional unexpected expense. As veterinary costs and other pet-related expenses continue to rise, those financial considerations have become a bigger part of the decision-making process.

Rover’s True Cost of Pet Parenthood Report for 2025 estimates that caring for a dog over the average lifespan of 10 years can cost roughly $35,000, while a cat may cost around $32,000 over an average lifespan of 16 years. For many pet owners, those numbers are contributing to growing concerns about affordability.

Understanding the true cost before bringing home a dog or cat can help you prepare financially and avoid surprises down the road. Here’s what to know and how to plan for the expenses that come with pet ownership.

Adoption costs vary

If you adopt from a shelter, expect to dish out a few hundred dollars to cover adoption costs. Adoption fees typically range between $50 and $500 or more, according to Adopt a Pet, although cat adoptions are generally less expensive. The cost will vary depending on what services the adoption fee will cover (e.g., spaying or neutering, medications, flea/tick treatments) and where the shelter derives its funding from. Shelters with no outside funding, for example, may rely on these adoption fees to remain open. Many shelters will also offer discounts when they’re full or beyond capacity, so be sure to check.

Pet store prices may run higher, but make sure you’re getting an animal that’s healthy and well cared for. And if you’re looking for a pure breed, expect to spend even more. Purebred dogs can range anywhere from $800 to $2,500+, and cats can run from $500 to $1,500+, according to PetLifeCalc. ’Expect even higher costs for show-quality pets, at $1,500–$5,000+ for dogs and $2,000–$4,000+ for cats.

Licenses are mandatory in many states

Although there are no federal laws mandating the licensing of dogs and cats, all states require some sort of licensing for dogs, according to the Michigan State University Animal Legal & Historical Center. Licensing fees are nominal (at about $5 to $20 according to TheGrubbyPuppy) and may be cheaper if your dog is neutered. This is much more affordable than fines for not registering your dog, which can range from $50 to $500+. Cat licensing is mandatory in California, Hawaii, and Rhode Island and optional in other states, according to AdvocateAvenue. Fees are generally in the $5 to $50 range, with potential fines for not having a license in the mandatory states of up to $500.

Healthcare and vet visits add up

Some shelters and pet stores will conduct an initial checkup, take care of spaying/neutering, and administer vaccine shots as part of the adoption package, but others do not. Check to see if you’ll need to enlist your own veterinarian for this. Here’s what you can expect to pay to maintain a healthy pet, according to Webvet:

While these are average costs, yours could be lower or higher, based on whether it’s a general practice, emergency room, or specialist and your pet’s size and age. You’ll also pay more

if you have a pet with a chronic condition or one that acquires an illness. Luckily, pet health insurance can help with emergencies, and some humane societies offer low-cost solutions. Other options you can consider to reduce or spread the bill include low-cost clinics, vet schools, wellness plans, payment plans, and charity assistance, according to Webvet.

Food and other essentials are often underestimated

Owning a pet means both immediate setup costs and ongoing ones in the form of food, litter, and toys. PetLifeCalc estimates your first week of dog essentials, which includes things like a collar and leash, food and water bowls, a dog bed, crate or carrier, toys, and initial food supply, will be $205–$740. First-week costs for cats are less at an estimated $165–$540—with collars, toys, and beds generally cheaper—although there are some different items to consider, like a scratch post and litter box.

Make room for additional expenses like grooming, boarding, pet sitting, and training

You can groom a dog or cat on your own, but if you go with a groomer, expect to pay between $40 and $75 for dogs, depending on the breed and size, whereas cats will run between $30 and $70, according to Homeguide. (Prices can be higher depending on where you live and what you want to get done.)

Prices for dog boarding vary by facility and range on average from $25 to $85 per night. Dog walking services run between $10 and $60, depending on location and length of a walk.

Doggie daycare costs can vary widely—between $18 and nearly $30 as the national average for a full day and $15 for a half day. Some daycare places may also offer long-term packages of $2,000–$3,000 for six months or $5,000–$6,000 a year. Several beginner socialization and behavior sessions with a professional trainer will run about $250 or more, depending where you live.

How to plan for pet ownership

As the numbers above show, caring for a furry friend is a long-term financial commitment.

Northwestern Mutual’s 2025 Consumer Insights Survey found that 42 percent of Americans spend money on pet care each month, with the average being about $97 and one-quarter spending more than $100.

That’s a significant amount by itself and should be tracked and accounted for in your monthly budget alongside other recurring expenses. But if your furry friend suddenly becomes ill or gets injured, you could be looking at a more substantial bill.

Keep money aside for vet visits

Emergency surgery, chronic illnesses, specialist care, and after-hours vet visits can quickly cost hundreds or even thousands of dollars. Yet many owners don’t maintain dedicated savings for pet emergencies, leaving them to rely on credit cards, payment plans, or loans when a major health issue arises.

That’s why financial professionals often recommend treating pet healthcare the same way you’d approach other emergency planning: Expect the unexpected and build a cushion before you need it.

One way to reduce financial stress is to create a separate savings account, or sinking fund, for pet-related expenses. You could also set aside extra money for unexpected pet costs in your emergency fund, which should generally cover three to six months of your overall expenses.

A good figure to aim for is saving $1,000–$3,000 for pet emergencies, depending on the type, age, and health of your pet. Even small automatic contributions of $20–$50 per paycheck can build this reserve over time.

Consider pet insurance

Pet insurance won’t eliminate every expense, but it can help reduce the financial shock of an unexpected illness or accident.

The average cost per month for a policy with $5,000 of annual coverage is $56 for dogs and $24 for cats, according to Forbes. Although bear in mind the actual cost depends on factors like your pet’s age, size, and breed, as well as the state, the type of policy, and the insurer. Most plans reimburse a portion of covered veterinary expenses (often about 80 percent) after you pay the bill upfront, so even with insurance you can expect at least a temporary hit to your finances.

Whether insurance makes sense depends on your financial situation. Some owners prefer paying premiums, while others choose to self-fund pet emergencies through dedicated savings.

Your advisor can help

Deciding to adopt a pet has become an increasingly significant life event, especially among younger Americans who may be delaying other milestones. If you’re planning to bring home a cat or dog, it’s worth treating the decision like any other meaningful financial commitment. Building pet expenses into your monthly budget can help you stay on track toward other goals, whether that’s paying down debt, saving for a home, growing your emergency fund, or preparing for a family.

Your financial advisor can help you think through how a new recurring expense fits into your larger financial picture. Having a plan in place can make it easier to enjoy the rewards of pet ownership without sacrificing progress toward other priorities.