February is the season of love and it’s no secret that many Americans love their pet. What you may not know is that owning a pet can cost tens of thousands of dollars over the life of the pet. For those considering becoming a pet parent, you need to consider affordability and the ongoing costs. If you are already a pet parent, consider the costs that need to be part of your monthly budget.
Acquisition Costs
If you are considering getting a pet for your family, there are some upfront costs that you should be prepared for. Whether you purchase or adopt, you will surely have some costs to bring home your new pet. While these vary based upon the size or variety of pet, expect pay adoption fees, to have an initial vet visit, purchase food, toys, crates and other necessities. The ASPC estimates the average initial cost for getting a cat is $455 and $1030 for getting a dog. This is above and beyond the initial cost of your pet.
Necessities For Your Furry Friend
It goes without saying that if you have a pet, you will have a line item in your budget for ongoing expenses. TotalVet.com reports that the price of dry and wet pet foods has increased 45.5% from 2020 to 2024. That equates to over $20 per 40lb bag. This increase in feeding pets has caused an increase in in the number of pets surrendered to shelters according to The Humane Society of the United States.
If you have an older or younger pet, you may need to budget for specialized expenses such as extra vet visits, medications or daycare/boarding. Some pets are more susceptible to certain medical conditions, while others require regular trips to the groomer. All these details factor into what you can expect to pay monthly to care for your pet.
Is Pet Insurance Worth The Hype?
Pet insurance is gaining a lot of market share, and you may be wondering if this is something you should consider. It can be easy to assume that it works just like your health insurance, but pet insurance policies can vary greatly in coverage and expense. It is important to understand what it covers, what exclusions apply and the costs of both the premium and out of pocket costs that would apply if you used it. Most plans will reimburse 70-90% of your bill after you have met a deductible, however you will still need to pay for your vet bill upfront. Pre-existing or elective procedures may not be covered at all.
While you may think that all the caveats of pet insurance make it an automatic “no”, do consider that emergency vet care can run thousands and can be a life-or-death situation. Many pet owners report going into debt to save their pet. It is about balancing cost and peace of mind when it comes to the decision to buy pet insurance.
Weighing Out Benefits vs. Cost
While owning a pet may seem like a huge cost, there are benefits. Having a pet is shown to help people to be healthier and more active. Pets reduce stress and encourage you to be more social. People who own pets have routines and tend to be more responsible. Pets can be great for your mental health, reducing stress and loneliness and giving your life purpose. You simply cannot put a price tag on the joy of pet ownership.
 |
Rebecca AgamaiteInvestment Advisor Representative Rebecca joined the firm in 2011 as an Investment Advisor Representative. In this role, she works with clients to manage their investment assets and help them obtain their financial objectives. Rebecca brings a great deal of experience to the team having worked for several years at Marshall & IIsley Bank and MetLife. She earned a Masters of Business Administration degree (with an emphasis on finance) from Concordia University. |
Advisors Management Group, Inc. is a registered investment adviser whose principal office is located in Wisconsin. Opinions expressed are those of AMG and are subject to change, not guaranteed, and should not be considered recommendations to buy or sell any security. Past performance is no guarantee of future returns, and investing involves multiple risks, including, but not limited to, the risk of permanent losses. Please do not send orders via e-mail as they are not binding and cannot be acted upon. Please be advised it remains the responsibility of our clients to inform AMG of any changes in their investment objectives and/or financial situation. This commentary is limited to the dissemination of general information pertaining to AMG’s investment advisory/management services. Any subsequent, direct communication by AMG with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. A copy of our current written disclosure statement discussing our advisory services and fees continues to remain available for your review upon request.
