Skills or Abilities are the stats of your pet, you can level them up by earning Experience which directly effects how well your pet does in Crafting, Combat and other activities.

There are also some Player skills, which are unaffected by your active pet.

The skill set level is always rounded up to the nearest whole number (example: 17,66 becomes 18), before being calculated into overall
Pet's hover text displays the skill set levels and overall, can also be viewed with Pet Stats.
Stats is an abbreviation of statistics

Krafties Creature Skills

Crafting Skill

Skill	Description
Crafting	This skill is directly connected to the ability to use the Crafting Temple in order to create items. The higher the skill, better the chances at creating quality items. Crafting is also called a Healing Skill since it decides when your pet learns Healing spells and how much it heals

Combat Skill Set

As the name implies, Combat skills effects how well your pet does in a fight. It is the calculated average of Attack, Strength, Defense and Hitpoints.

Choosing the "All Round" battle style, you train all the combat skills equally.

Skill	Description	Battle Style
Attack	Also known as Accuracy. Increasing your creature's attack level will improve their chances of scoring a hit in combat. This does not affect how much damage is dealt, just the ability to hit the opponent.	Accuracy All Round
Strength	Strength is your creature's physical prowess, determining how much damage they can inflict as well the maximum damage possible.	Aggressive All Round
Defense	This determines the creature's ability to absorb damage, reducing their overall loss of hitpoints.	Defensive All Round
Hitpoints	Hitpoints is the Health of your creature and measure how much damage your creature can take before they can no longer fight. The more hitpoints your creature has, the longer they can last against tough opponents. Hitpoints regenerate over time, but eating Food and using Healing spells will recover them faster.	Any Style

Mental Skill Set

The mental ability of your pet can change your strategies in battle, since mental spells can either buff or debuff the target, which effects their stats.

It is the calculated average of Intellect, Focus and Fortitude

Skill	Description
Intellect	It is like Mental Strength Intellect determines the force of your mental spells. Similar to strength, the higher this level the more effective your mental spells are.
Focus	Focus determines the chance of success hit with your mental abilities. Similar to attack, the higher this level the more chance of striking a successful mental attack.
Fortitude	It is like Mental Defense Fortitude is your ability to defend mental attacks. Similar to defense, the higher this level the more chance of you defending a mental attack.

Overall Skill Level

A creature's overall level is the average combined level of the creature's experience. Since the soul contains all the pet's experience, the overall effects how skilled your pet is at creating souls
calculated average of all the other creature skills

Player Skills

These are skills that are not effected by what pet you have active, and are increased by simply doing more of it.

Enchanting - touch your Enchanting Tablet to see current level
Mining - touch your Pickaxe to see current level

Where do I see these Skills?

Pet Stats

Partially in the hover-text above pet
On the Pet Menu is a button for it. It lists all the statistics of your pet
You can also decide how your Combat experience is spread by setting the "Battle Style" on the Pet Menu (under Battles).