Jennifer GaengOct 9, 2025 4 min read

Is Pet Ownership Now a Luxury Item?

As inflation soars, owning a pet is starting to look more like a luxury than a lifestyle. (Adobe Stock)

Welcome to 2025, where even Fido is feeling inflation. Turns out, being a pet parent in America is starting to look less like a lifestyle choice and more like a luxury hobby for the financially comfortable.

The Truth About Pet Debt

Let’s start with this brutal stat: One in five pet owners is drowning in at least $2,000 of pet-related debt, according to MetLife Pet Insurance. One in seven people are in “pet poverty” — which is exactly as grim as it sounds: sacrificing basic personal needs to keep a four-legged companion fed and alive.

Need more sticker shock? The lifetime cost of owning a cat now hovers around $32,000. A dog? Nearly $35,000, says Rover. And no, that doesn’t include their emotional support hoodie or the Halloween sushi costume.

Pets Are Family… Until the Vet Bill Hits

Americans adore their pets, but half have skipped vet care due to costs — even when lives are on the line. (Adobe Stock)

Americans are more obsessed with their pets than ever — 94 million households now include one, up from 82 million just a year ago. Two-thirds of the country say pets are part of the “American Dream,” which, apparently, now includes refinancing your house to pay for your dog's knee surgery.

In surveys, people say pets are family. In reality, over 50% of pet owners have skipped necessary veterinary care — not because they didn’t want to help, but because they couldn’t afford to. One emergency vet visit for your cat can run up to $1,850, and that’s before you even get the bad news.

Only 40% of pet owners think they’ll ever get another pet. The rest? They're quietly retiring from pet parenthood, due to rising costs and guilt.

So, What’s Driving the Sky-High Costs?

A lot of things — none of them cute.

For starters, veterinary costs have skyrocketed 60% since 2014. Blame supply and demand. COVID ushered in the “pandemic pet” era, but the number of vets didn’t magically multiply. In fact, many left the field, citing burnout, low wages, and impossible hours. The result? Fewer vets, longer waits, and ballooning bills.

And the vets who are left? They're operating in a brave new world of high-tech pet care. MRI for a dog? Standard now. Emergency surgery at 2 a.m. on a Sunday? Totally possible — and totally expensive.

The profession has gone from house calls and rabies shots to full-blown animal hospitals with specialists in dermatology, oncology, and even pet psychiatry. No joke.

Pet Insurance: Lifeline or Letdown?

More people are turning to pet insurance in desperation. In 2024, over 6.4 million cats and dogs were covered — more than double what it was in 2020. But let’s not pretend it’s a cure-all.

Pet insurance comes with serious fine print: deductibles, coverage caps, and more exclusions than a country club. And the premiums? Roughly $749 a year for dogs, $386 for cats, according to NerdWallet. That’s assuming your pet is young and healthy. Older pets? Don’t even bother – and they’re the ones who need it most.

Consumer Reports dug into 14 different pet insurance plans. The verdict? Meh. Most people break even, if they’re lucky.

So... Should Some People Not Own Pets?

That’s the uncomfortable question. As costs climb, are pets becoming the domain of the well-off?

“I see a lot of people putting themselves in financially precarious positions just to keep a pet,” said Dr. Rebecca Greenstein, a veterinary advisor at Rover. Translation: love doesn’t pay the vet.

Still, Greenstein — like many — argues that the emotional value of a pet is “hard to put a price on.” But maybe we need to try for the sake of our financial health.

LendingTree’s Matt Schulz compares it to having a child: “You know it’s going to be expensive, but you never really know how much until you’re in it.”