Pet ownership is up. So is consumer spending on dogs, cats for the holidays.

Annie Miller is a 25-year-old high school art teacher.

But she's also the self-professed dog mom to her 4-year-old mini goldendoodle named Norman.

Miller, who lives in Broadview Heights, Ohio, just set her budget for next year. She has allocated about the same as she spent this year on Norman: $850 a month – or $10,200 for the year. The biggest expense is $650 a month for four days of doggie daycare. Her mom picks up Norman on the fifth day of the week for "grandma puppy time."

The Gen Zer said she knows she spends a lot on her dog, including $100 for his Christmas presents. She estimates it to be about one-fourth of her salary. But she also knows there are a lot of other pet parents who will similarly spend a lot of money on their furry companions.

"My job is to make his life the best it could be," she said. But Miller, who wants to get married and have kids, said she and other young people are finding it hard to afford houses, so instead, they are spending on their pets.

Pet ownership has skyrocketed

Indeed, Miller is not alone.

Pet ownership has skyrocketed in the last three decades – and so has spending on pets.

Data analyzed by Forbes Advisor shows U.S. pet ownership has soared in the past three decades. Forbes found that 66% of U.S. households own a pet. That number is up from 56% in 1988.

And the family pet isn't just a companion; 97% of pet owners consider their pets to be part of their family, according to Forbes Advisor.

Statistics from the American Pets Products Association, a trade organization for the pet industry, show similar trends.

"Over the past three decades, the rise in pet ownership has been remarkable, and the reasons behind this growth speak to a deeper societal trend: the strengthening emotional bond between humans and their pets," Peter Scott, President & CEO of American Pet Products Association, told USA TODAY. "Today, pets are not just companions but cherished family members, with 76% of owners worldwide describing their pets in these terms."

The connection between pets and their owners, paired with "the proven benefits pets bring to mental and physical health, has driven more people to welcome animals into their homes," he said.

Pets are big business

Pet owners were expected to spend $150.6 this year, according to the association. In 2018, they spent $91 billion, and, in 2022, it shot up to $137 billion, according to the association.

In its 2024 State of the Industry report, the trade organization said the outlook for the pet industry's continued growth means there may be $207 billion in pet spending by 2030.

“The data shows us that despite economic pressures, the majority of pet owners continue to spend on their pets," said Scott.

According to the association, 82 million U.S. households own a pet. The largest number, 58 million, own a dog, followed by cats at 40 million. Other popular pets include freshwater fish, reptiles, birds, horses and saltwater fish.

Pet supply retailer Petco has seen that growth, said Dr. Whitney Miller, the chain's chief veterinarian.

"Pets have nuzzled their way into our hearts over the years... and it’s only gotten stronger over time," Miller told USA TODAY. "When Petco was founded almost 60 years ago, most dogs slept in the backyard. Now, they sleep in our beds and are integral to our lives. Today, pets are family."

Pet ownership grew during the pandemic

Since 2010, the percentage of U.S. households that own pets has remained fairly stable, said the trade association. But the 2020 COVID-19 pandemic had a huge impact on Americans, resulting in a rise in pet ownership and spending.

"A pandemic-era spike in pet ownership through adoption and purchase, and a rise in multi-pet households bolstered the pet industry during a time when many other industries in the U.S. struggled."

According to the association's National Pet Owners Survey data from 2022, 66% of households in the U.S. owned two or more pets after the pandemic. That represented a steady increase over prior data from 2018 and 2020 and is largely explained by pet owner sentiment around the decision to add a pet to the household, the group said.

Younger generations lead in pet ownership

This pandemic also saw an increase in pet ownership among Millennials and Gen Z. The association report found that 73% of Millennials and 71% of Gen Z owned two or more pets, making them the leaders in multi-pet ownership.

The Forbes Advisor report said Millennials make up the largest percentage of pet owners at 33%, followed by Gen X at 25% and Baby Boomers at 24%.

Miller got Norman during the pandemic in January 2021, when she was in college and taking classes online.

"I was a stay-at-home puppy mom," she said. That, she thinks, is part of the reason she describes Norman as a "velcro" dog, who is also anxious.

Spending on Christmas gifts for pets

Eighty-one percent of respondents to a Blueprint/USA TODAY survey in September said they planned to buy holiday or Christmas gifts for their dogs, cats and other pets. Most pet owners surveyed said they were buying food, treats and Christmas toys for their pets.

Fifteen percent of pet owners surveyed said they planned to spend $51 to $75 on their pets' holiday gifts while 11% said they'd spend $126 to $150 and 7% said they'd spend $201 to $500. A combined total of 6% of respondents said they would spend more than $1,000 on pet gifts.

Forty-nine percent of respondents were buying clothes for their pets while 28% said they planned to treat themselves and their four-legged pal to a special pet portrait.

The trade organization said 52% of dog owners and 41% of cat owners planned to purchase Christmas gifts for their furry family members.

Petco's survey in July 2024 found 97% of shoppers were planning to purchase gifts for their pets.

Miller said she would be buying Norman two dog bones and three toys for Christmas.

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Pets are treated differently now

Miller remembers her grandparents' dog was fed whatever scraps the family had left over from their cooking. Her family's dog, Jack, got food from a dollar store.

But Miller chooses to buy her dog high-end food because she says she cares what he eats and he's a picky eater. She also spends $100 a month on his medications and preventative care and $100 every eight weeks for grooming. There is also a $30 per month add-on pet fee to her rent for Normal and she allocates $20 per month for his dog treats and toys.

Miller recently moved from her parents' house to her own apartment and knew she would have a huge expense for doggie daycare since her dog barks a lot and she didn't want to upset her new neighbors.

Norman loves daycare and has a doggie girlfriend, Miller said.

But Miller said she sacrifices, buying budget items for herself so she can spend more money on Norman.

"I'll be shopping at Aldi while giving him $50 food," she said. She also only buys coffee once a week.

Because pets are seen as family members, "this emotional bond has driven demand for tailored solutions – premium foods, wellness products and innovative toys that support their health and happiness," said Scott. "Today’s pet stores cater to a lifestyle that celebrates pets as integral to our lives, providing experiences and products that go far beyond what used to only be available on one aisle, for example.”

Betty Lin-Fisher is a consumer reporter for USA TODAY. Reach her at blinfisher@USATODAY.com or follow her on X, Facebook or Instagram @blinfisher. Sign up for our free The Daily Money newsletter, which will include consumer news on Fridays, here.

This article originally appeared on USA TODAY: How much do people spend on holiday gifts for their pets?