The highlights
- Create a list of everything you’ll need to purchase before you get your new pet and account for these costs in your budget.
- Budget for the average amount of money you plan to spend regularly on pet supplies and services.
- Plan for healthcare and emergencies by considering pet insurance and boosting your emergency savings.
- Pets have a positive effect on our mental and physical health, and budgeting for their care is a worthwhile habit.
You may have a pet already, or perhaps you’re considering getting a puppy or kitten, but the costs associated with pet ownership can be easy to overlook. Creating a pet budget is a great way to ensure you can keep pace with the different expenses that vary based on animal type, breed, age, and many other factors.
How to create a pet budget
A pet budget can help you manage everyday expenses and plan for the unexpected. New pet owners may not know all the potential costs or may forget to plan for illnesses and accidents. We humans may also face things like job losses or illnesses that could affect pet care. A pet budget can help you feel more in control of your funds and better able to direct financial resources toward things that really matter to you.
Budgeting for your pet starts with taking inventory of what your current or future family member needs today, and then consider what they may need on an ongoing basis and into the future.
New to budgeting? No problem—you can get started by downloading our Super Budget Spreadsheet.
Budget for the up-front costs
If you’ve decided to get a new pet, creating a pet budget can help you financially prepare for the new arrival. Here are some of the costs to consider as you plan:
The cost of the pet itself: Whether you’re adopting from a shelter or purchasing from a retailer or breeder, specific breeds, species, and even genders of pets can vary in price, so do your due diligence and research. Doing some research up front can also help you ensure that your pet is coming from an environment that supports the health and safety of the animals.
- Cost-saving tip: Many local shelters hold adoption events where fees are reduced or eliminated to help as many pets as possible find new homes. If you have a certain breed in mind, there are many breed-specific rescue groups that offer adoption, and it’s generally much less expensive than purchasing from a breeder.
Initial food costs: This will be an ongoing expense, but in your early days of pet ownership, you may need to try different foods and treats to find what works best for your pet. Cost-saving tip: Many pet food companies and online retailers offer trial-sized bags for low or no cost. It’s a great way to try to match your pup’s palate or your kitty’s discerning diet preference before investing more in cost-conscious bulk buys.
Pet beds and other accessories: You should account for the cost of beds, crates, tanks or other pet dwellings. You’ll also need to get any other pet-specific accessories such as a collar, harness, and leash for a puppy or a litter box for a kitten. These won’t be a monthly expense, but future pet owners should plan and make sure everything is in place before their new family member’s arrival.
- Cost-saving tip: Get bedding with removable covers for washing. You can keep your pet and your home clean and comfortable without having to replace items that will inevitably get dirty. Thrift stores and online resale markets are also great places to find gently used items like crates, carriers, and baby gates to save money.
Check your pet policy.
If you rent your home or live in an apartment, read your lease agreement to determine what the pet policy is. In some cases, there may be breed restrictions or a one-time pet deposit to pay and possibly a monthly fee as well.
First-year vet care: Many new pets will have initial healthcare needs like vaccinations, health screenings, and spaying or neutering. Find a vet that’s conveniently located and offers pricing that’s in line with your budget. It’s worth shopping around to find out the average cost of initial healthcare and routine visits. Shopping around also gives you a chance to experience the customer service so you can find a clinic that makes you feel confident in their care.
- Cost-saving tip: Many areas have low-cost spay and neuter clinics that make this procedure more affordable than traditional vets, though there can be a waiting list. Additionally, some organizations hold vaccination events that offer routine shots and other basic pet healthcare like deworming or flea prevention and treatment.
Budget for ongoing care
After the initial purchase or adoption of your new pet, it’s important to keep in mind the average amount of money you’ll be spending on your pet for certain supplies or services. Some of these expenses will be monthly while others will be less frequent.
As you keep track of your expenses, you’ll start to see patterns in your spending that can help you refine your pet budget. Over time, you’ll get better at estimating and planning for these costs.
Potential ongoing costs:
- Regular supplies like food, treats, and cat litter
- Medications and preventative treatments
- Bathing and grooming
- Monthly residential pet fees
- Vet visits
- Boarding services
- Dog walking services
- Replacing beds, toys, and other accessories
Save for pet emergencies
It’s a good idea to have a pet emergency fund for your furry friend. Pet insurance can help with unplanned healthcare expenses (more on that later), but some emergencies aren’t healthcare related at all. Also, some pet parents may not have insurance, or some expenses may not be covered under their current plan.
Some emergency costs to consider:
- Sickness: Contact your vet or perform a thorough search and look at the average amount it may cost to bring your pet in for possible problems, such as stomach issues, fleas, etc. The more you know about the possible issues and care costs, the better you can align your savings plan.
- Accidents: The average amount of money spent for an injured pet can be overwhelming financially and emotionally—and it can also vary depending on a wide range of things including x-rays, surgeries, and even emergency room stays. Ask your vet or spend some time researching so you can get an idea of potential costs.
- Last minute boarding or pet care: If you ever have to go out of town on short notice or can’t look after your pet for any reason, you’ll likely need to arrange for their boarding and supervision. Having some funds available to ensure your pet gets the care they need in your absence will mean one less thing to worry about.
- Loss of income: If you lose your income, having an emergency fund that can cover at least 3-6 months of expenses can help you care for your pet and yourself through a challenging time.
Sometimes, emergency savings don't align with the timing of an emergency—so what do you do if you can’t cover your pet’s expenses?
- Pet food solutions: An internet search can lead you to food banks and other resources that can provide you with free pet food and other necessities until you can get back on your feet.
- Financing care: Many clinics offer payment plans, which are credit-based but can be a worthwhile solution if your finances can’t cover the bulk of the cost.
- Alternative assistance: Some vets may let you make payment arrangements, and there are nonprofits and rescue groups online where you can apply for financial assistance based on need, breed, and funding availability.
Breaking down pet insurance
Like any type of insurance, pet insurance can help you protect the things (or beings) that are most valuable to you. By researching different providers and plans, you can determine if pet insurance is right for you and include its cost in your budget.
Questions to ask when doing your research:
- Does your pet have a pre-existing condition?
Oftentimes, pre-existing conditions aren’t covered, so keep this in mind when selecting a plan and budgeting for your pet’s healthcare. - Does the insurance policy have a waiting period?
Some providers require a waiting period—which can range from days to months—before coverage can begin. - Is there a yearly benefits cap?
Some insurers have a maximum dollar amount they will cover or reimburse within a policy year. As you create your budget, consider what your out-of-pocket costs may be if you reach your benefits cap. - How does the provider pay for your pet’s care?
Will you pay the vet bill and be reimbursed, or will your vet bill your insurance provider directly? If you’ll be reimbursed, how long will it take you to receive your funds? - What’s the cost benefit for me?
Choosing a higher deductible plan can result in lower premiums, but if your pet gets sick or hurt, your coverage may be insufficient, leaving you to cover a lot of the cost yourself. Consider the health and age of your pet to help you decide if paying your monthly premiums and deductible would be more financially sound than boosting your emergency savings to cover your pet’s healthcare costs. Shop around and make sure you look at several different plans before committing.
There is no in-network or out-of-network system for pet insurance like there is with human health insurance. You can go to any vet you choose, and you’ll typically pay the bill yourself and submit a claim to the provider to be reimbursed.Disclosure 1 How much you are reimbursed depends on your plan’s reimbursement rate.
What does pet insurance cover?
Coverage comes in three basic offerings, but what your plan will and won’t cover is based on how you customize your plan.
- Wellness plans cover most preventative treatments, such as checkups and vaccines, as well as neutering or spaying your pet. Dental care may be included with these plans.
- Accident plans cover unexpected healthcare emergencies, such as cuts, broken bones, other animal bites, or accidental ingestions.
- Comprehensive plans cover chronic conditions and illnesses in addition to injuries from accidents. This is a good option if your pet could be predisposed to develop breed-specific issues, such as hip dysplasia, which occurs in many larger dog breeds.
Why wellness plans can work:
A wellness plan can be purchased as a stand-alone plan, but they also work well as supplemental add-ons to accident or comprehensive plans. Either way, wellness plans are a proactive cost-saving way to keep on top of your pet’s medical needs throughout the year—enabling you and your vet to catch any underlying issues or conditions that may arise early and choose treatments and care quickly.
The benefits of having a pet
The benefits of pet ownership are numerous, and the return on investment is exponential. Pets bring us joy, happiness, and companionship. Pets can also provide the perfect excuse for staying active—both physically and mentally. Whether it’s getting out for a walk or teaching your pet new tricks, your companion can help keep you on your toes. And pets are the perfect mental health boost because they are happy to listen and provide unconditional love. The comfort of a pet companion has been scientifically proven to boost your mood, improve your heart health, and lower your stress levels.Disclosure 3These benefits are priceless.
Next step suggestions:
- Download our Super Budget Worksheet and start drafting your pet budget today and be ready to protect what matters most to you with an expanded emergency fund.
- Research pet insurance options and compare cost versus value when it comes to premiums, benefit limits, reimbursement rates, and deductibles.
- Consider how much your pet brings to your life when planning your budget and make sure to include splurges on this like a self-cleaning litter box, training courses, or a GPS collar tag.