A Costco membership is worth it if you regularly buy groceries, household items, or gas in bulk and can take advantage of their low per-unit prices, which often offset the annual fee. It’s especially beneficial for larger households or anyone who shops frequently and values high-quality store-brand products like Kirkland.
Costco is a membership warehouse club, which means it's a retailer that deals in bulk items and requires a membership to shop there. They stock everything from multipacks of romaine lettuce to huge boxes of cat litter – and much more.
If you're looking for ways to save money on everyday household items, shopping at Costco might be just the ticket – but it's not right for everyone.
Key Takeaways
- An annual Gold Star membership at Costco costs $65, and the Executive membership is $130 (plus tax).
- You need to spend about $3,390 a year (assuming 13% sales tax) at Costco to make up for the extra cost of Executive in cash back credit.
- Costco often has the lowest prices on popular household items, plus additional perks like discount insurance.
- A Costco membership may not be worth it if there aren't many people in your household or if you don't plan to shop there regularly.
How much is a Costco membership?
Prices increased for a Costco membership on September 1, 2024.
Personal use costs either $65 or $130 per year, depending on whether you choose the Gold Star or Executive tier. Businesses can also get Costco memberships and pay the same $65 or $130.
Here’s an overview of the different Costco memberships:
| Membership type | Cost (before tax) | Details |
|---|---|---|
| Gold Star | * $65 per year | * Valid online and at Costco locations worldwide * Includes two cards, one for you and one for someone in your household * Satisfaction guarantee |
| Executive | * $130 per year | * Valid online and at Costco locations worldwide * Includes two cards, one for you and one for someone in your household * Earns 2% cash back rewards on all qualifying purchases * Extra benefits and discounts on various Costco services * Satisfaction guarantee |
| Business | * $65 per year for a Gold Star Business membership * $130 per year for an Executive business membership | * Valid online and at Costco locations worldwide * Both Gold Star and Executive options available * Includes two cards for the household/business * Can add more cardholders for a fee * May be required to present information regarding plans for resale * Satisfaction guarantee |
Which membership is best for you?
When deciding which Costco membership option is right for you, the main question to consider is: how often will you shop there?
If you'll only shop there once in a while, the more simple Gold Star membership at $65 will be just fine, but if you'll make lots of trips and spend significant amounts of money there, a Costco Executive membership will be well worth the $130 fee.
To make sure you're getting your money's worth out of an Executive membership, you'll need to earn back at least $65 in cash back over the 12 months you pay for.
And this shouldn't be difficult to achieve if you shop at Costco regularly – it will take approximately $282.50 in monthly spending ($3,390 annually) to earn back that extra $65 + tax (assuming a 13% sales tax).
If you don't spend this much, you're probably better off with the Gold Star membership next year.
Is a Costco membership worth it?
A Costco membership can be worth the price for people who have the space to buy in bulk and are interested in Kirkland-brand products.
Here are some factors to consider:
- Brand: Kirkland (Costco's in-house brand) products are cheaper than brand-name products at Costco
- Storage: Buying in bulk can save money if you have space to store items
- Household: A household card can be useful for others in your home to shop
- Cash back: An Executive membership can earn you a lot of cash back
- Perks: Costco locations usually have a pharmacy, tire services, and more
However, you may not save money if you only want to buy brand-name products, if you shop infrequently, or if you’re an impulse shopper.
The benefits of a Costco membership
Besides the low prices, there are plenty of benefits to having a Costco membership.
Buying in bulk can save you significant time and effort. Think about it – if you buy a package of 30 toilet paper rolls, you won't have to return to buy more for quite a while, whereas if you only buy a 12-pack, you'll be back at the store fairly soon.
1. Save money on gift cards
Costco provides significant savings on popular gift cards for in-demand products:
- A $50 Xbox digital gift card: $44.99
- A $100 Goodfood e-gift card: $79.99
- A $100 Fanatics e-gift card: $79.99
- A $500 Porter Airlines e-gift card: $449.99
And these are only the offers we found online – you'll find many more options in-store.
2. Discounted movie and event tickets
Costco offers exclusive movie passes for its members that include both admission and concessions. At the time of writing, these are the passes available:
Child Adventure (kids pass):
- $12.99
- Admission for one child
- Mini drink
- Mini popcorn
- One treat (candy)
Great Escape (adult pass) includes:
- $33.99
- Admission for two adults
- Two regular-sized soft drinks
- One regular-sized popcorn
Sports and event passes are also available for lower-than-usual prices. Here's an example of what's available online right now!
Edmonton Elks (CFL)
- $59.99
- Two lower bowl tickets (restricted to certain sections/rows)
3. Access to extra services
Costco’s extra services are incredibly valuable:
- Gas stations – Fill up for less than you would at other pumps
- Optical Centre – Reasonable prices on eye exams, glasses, and contact lenses
- Hearing Aid Centre – Discounts on hearing test services and hearing aids
- Photo Lab – Low prices on prints, plus access to Shutterfly for photobooks and other products
- Costco Travel – A comprehensive travel agency with clear pricing and flexible payment options
- Pharmacy – Fill your prescriptions online or in person and pay less
- Tires – Purchase tires for very reasonable prices.
Taking advantage of even just one of these services could save you enough time and money over the course of a year to make your Costco membership worth it.
4. Other specialty services
Costco offers its members home and business-related services like insurance, cell phone plans, and even home inspections. Here's a sample of the products and services offered:
- Home and auto insurance from Inova Insurance Brokers
- Travel, life, and health and dental insurance from Manulife
- Pet insurance from Pets+Us
- Cell phones and plans from Rogers and Bell
- Internet, phone, and long-distance plans from Primus
- Home inspections from Mike Holmes Inspections
- Payroll services from Deluxe Canada
- Express courier shipping from ShipTime
5. Costco Vehicle Program
The Costco Vehicle Program offers eligible members exclusive savings on vehicles from a few vehicle makes, including these:
- Chevrolet
- Buick
- GMC
- Cadillac
At the time of writing, the limited-time member bonus is a $1,200 discount on five Chevy models, four Buick models, three GMC models, and three Cadillac models.
Certain members may also qualify for special pricing for OnStar plans for their new vehicle.
6. Get cash back with your Costco Executive membership
An Executive membership at Costco is double the cost of a Gold Star membership, but there's also a huge perk: you get 2% cash back on most of your Costco purchases.
You can find more details about what does and doesn't qualify for cashback on Costco's Executive Membership 2% Rewards Exclusions List.
There are a few details to keep in mind regarding these cash-back benefits.
- When: Cash back is delivered once per year, about two months before your membership expiration date
- How: A coupon you can only use at Costco for in-warehouse purchases
- Limits: $1,250 maximum cash back over the course of 12 months
7. Access to Kirkland products
You can save money on brand-name products, but Costco also has its own Kirkland brand of products that are priced competitively.
Here's a list of a few of Costco-brand products that are beloved by its members:
- Kirkland organic extra virgin olive oil
- Kirkland Signature bacon
- Kirkland Signature mixed nuts
- Kirkland liquid laundry detergent
- Kirkland batteries
Each of these services comes with an exclusive price, rate, or offer for Costco members. For instance, Executive members get a 15% discount on pet insurance with Pets+Us, and Gold Star members get a 10% discount. This goes to show that it can be worth your while to check out what Costco offers are available when you need insurance, etc.
When a Costco membership might not be worth it
Your family size, your proximity to a Costco location, your storage space, and your dietary preferences may affect whether a Costco membership is worth it.
Losing money because you already have an existing grocery delivery service that can access Costco
If you already subscribe to a grocery delivery service, like Instacart Canada, then you may already be able to order items from Costco even if you don’t have a membership.
Paying for a Costco membership may not make sense for you if you’re already paying for an Instacart Canada or another similar service that gives you access to the warehouse.
Wasting food by buying too much for your household size
If you are shopping for one or two people, you need to shop carefully to avoid wasting food – and Costco’s bulk options can make it tricky not to waste money (or food).
Example: A giant bag of kale salad may cost less at Costco than buying 2 or 3 smaller bags at your local grocery store. But if you only eat ⅔ of the Costco bag before it goes bad, you’ve wasted money.
Smaller households must avoid the temptation to buy perishable items that won't last before they can use them. Instead, these households can save the most money by purchasing Costco's non-perishables, medication, and toiletry products.
Spending extra time and money to drive from a distance
Here are some of the disadvantages if you live far away from a Costco warehouse:
- Time driving to the Costco site
- Cost of gas on your drive
- Cost of cabs or car shares if you don't have a car
You can order from Costco online, but you’ll pay a premium on certain items and will have to wait for them to arrive.
Tips for getting the most out of your membership
Here’s how to take advantage of Costco’s return policy, price adjustments, and other opportunities so every dollar counts:
Price adjustments at Costco
Costco has a valuable price adjustment policy that protects you against price changes.
If you point out that a product has had a price change within 30 days of a purchase you made, you'll be refunded the difference. This applies to both in-store and online purchases, although the refund process may be a bit different for each.
Understanding the price codes
If you understand Costco's price codes, you can wait to buy until the item is deeply discounted:
| Price code | What it means |
|---|---|
| Ends in .97 | Clearance price |
| Ends in .88 | Manager's discount |
| Ends in .00 | Manager's discount |
| Ends in a 9 | Manufacturer's discount |
| Has an asterisk (*) at the end | The item won't be restocked |
These codes can help you know whether you should stock up at its advertised price, whether it may go lower in the future, or whether it might not be available at a later date at all.
You can also share a Costco membership with a friend or family member, splitting the cost of the membership and shopping together. You can get 2 membership cards if you live at the same address. Otherwise, you can ask the cashier to provide a subtotal for each person’s amount.
How to shop at Costco without a membership
If you don't have a Costco membership, you can still shop there if you go with a friend who is a member, or if you have a Costco Shop Card. You can also access certain services, like the pharmacy, without a membership.
Shop as a guest
Costco's Membership Conditions & Regulations states that members can bring up to two guests at a time.
As a guest, you can't make your own purchases – the member has to buy your items for you. But you can separate your items and ask the cashier to do a subtotal, which allows you to see exactly how much you owe your friend/the member.
Use a Costco Shop Card
Costco Shop Cards are essentially gift cards to be used at Costco. They're available in both digital and physical form, and in 12 different denominations, ranging from $50 to $2,000.
You can't purchase a Costco Shop Card as a non-member, but if a member gets one for you, you can shop in-warehouse as usual. You likely won't be able to shop online, though, as you need an account to checkout and only Costco members can create accounts.
Digital Costco Shop Cards can't be used at Costco gas stations or the food court, but physical cards can.
Try Instacart Canada
Canadians can order items from Costco via Instacart Canada without needing a membership, as long as the order totals at least $35.
Keep in mind, though, that Instacart Canada prices won't be the same as in-warehouse or Costco.ca prices. They're usually at least a bit higher, sometimes significantly higher, and you'll have to pay the delivery fee as well.
Services open to non-members
There are a few Costco services, such as the pharmacy and the gas station, that non-members can access.
- Pharmacy: Purchase prescriptions online or in-warehouse
- Gas Station: Only accessible with a physical Costco Shop Card
- Optical center: Eye exams are available, but non-members can't purchase glasses or contact lenses
- Costco Liquor: Anyone can shop at Costco Liquor stores in Alberta
Non-members used to be able to access the Costco food court, but this isn't an option anymore.
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$25 GeniusCash + Delicious meal choices with fresh ingredients + Front-door delivery.Costco vs. Walmart vs. Amazon price comparison
While it isn't necessarily true that everything is cheaper at Costco, the comparison table below proves that Costco is often your best bet when looking for the lowest price on specific items.
Of course, this table isn't comprehensive, but it provides a clear indication of what you can expect from price comparisons between Costco, Amazon, and Walmart.
| Product | Amazon price | Walmart price | Costco price |
|---|---|---|---|
| Charmin Ultra Soft Toilet Paper | $1.33 per roll | $1.03 per roll | $1.23 per roll |
| Hellman's Real Mayonnaise | $0.67 per 100ml | $0.73 per 100ml | $0.78 per 100ml |
| Ziplock sandwich bags | $0.04 per bag | $0.05 per bag | $0.04 per bag |
| Huggies Little Snugglers Plus diapers (size 1) | $0.53 per diaper | $0.41 per diaper | $0.26 per diaper |
| Bausch & Lomb Renu MultiPlus contact lens solution | $2.39 per 100ml | $2.39 per 100ml | $2.25 per 100ml |
As you can see, Costco doesn't always have the lowest price on every item, but it did come out on top on three of the five items listed above. Some price differences are significant, like with the Huggies diapers.
If you'd like to see more price comparisons, this Amazon Prime Canada Vs. Costco article provides an impressive list of Amazon and Costco prices.
How does Costco compare to Amazon Prime?
Many people find that shopping online with an Amazon Prime membership provides value and convenience, so before taking the leap and purchasing a Costco membership, you should consider whether it suits your needs as well as a Prime membership might.
An annual Amazon Prime membership will cost more than a Gold Star membership at Costco ($65) but is slightly less than an Executive membership ($130).
| Membership type | Cost |
|---|---|
| Amazon Prime membership | * 30-day free trial * $9.99 per month * $99 per year |
| Amazon Prime Student membership | * 6-month free trial * $4.99 per month * $49 per year |
| Costco Gold Star membership | * $65 per year |
| Costco Executive membership | * $130 per year |
Amazon Prime provides a 30-day free trial, which is a fantastic opportunity to gauge whether or not you'll get enough value from a membership.
While Costco doesn't offer any kind of free trial, you can go shopping with a friend who has a membership and see what the deals are like.
Product prices at Costco vs. Amazon
If you look at the price comparison chart in the above section, you'll see that only one item was cheaper when purchased from Amazon, and even then, it was tied with Costco.
Here's a table to show a few items that are reliably cheaper when bought from Amazon:
| Item | Amazon price | Costco price |
|---|---|---|
| OFF! FamilyCare Insect and Mosquito Repellent | $6.14 per 100ml | $6.80 per 100ml |
| Dawn Platinum Powerwash dish spray | $1.06 per 100ml | $1.23 per 100ml |
| Huggies Natural Care baby wipes | $0.02 per unit | $0.03 per unit |
Obviously, these are only a few examples, and the prices may change. But according to our research, the Amazon prices for these items are almost always lower.
It's recommended to compare prices at Amazon and Costco on items you purchase regularly.
Return policies: Costco Vs. Amazon
The Costco return policy is known to be one of the best in the business, but Amazon isn't far behind with its popular A-to-Z Guarantee.
Take a look at how the basics of these policies and how they stack up:
| Store | Return policy | Exceptions |
|---|---|---|
| Amazon return policy | * Return most items within 30 days of receipt of shipment for a full refund * Eligible baby items and toys can be returned within 45 days of receipt of shipment for a full refund * Apple brand products can be returned within 15 days of delivery (unless it is subject to the Amazon Renewed Guarantee) * No cost for shipping items for return | * Marketplace sellers may have different policies * Amazon Renewed products (pre-owned, refurbished, or open box) have a 90-day return window |
| Costco return policy | * Full refunds on membership fees for unsatisfied members * Guaranteed satisfaction with every product * Full refunds on unsatisfactory purchase returns * Proof of purchase not necessary (just a membership card) * Online purchases can be returned at any warehouse location | * Exceptions for electronics, alcohol and cigarettes, diamonds, car batteries and tires, custom home installations |
While there isn't any physical Amazon location for you to return items to, you can return your online purchases at a Costco warehouse if you like.
Of course, you can return online purchases by returning the shipment to them. You'll need to pay the shipping costs, but this will be added to the total of your refund amount once the shipment is received.
FAQ
How much is the membership to Costco?
At the time of writing, a Gold Star Costco membership costs $65 per year, while an Executive Costco membership is $130 per year. There's currently a special offer of up to $130 at Costco.ca for new student members.
Is the $65 Costco membership worth it?
A Costco membership can be well worth it for people who have the space to buy in bulk and/or would benefit from other Costco services. Small households and those with little storage space may not benefit as much, though.
Can you tell me how to get a Costco membership?
You can apply for a Costco membership either online or at a warehouse location. If applying online, you'll still have to go to a warehouse in order to have your photo taken for a membership card.
Which Costco membership is best?
If you have a small household and/or don't expect to spend at least $3,300/year at Costco, the Gold Star membership will be just fine. An Executive membership is best for those who shop often and spend more.
What are the Costco Executive membership benefits?
The biggest benefit of an Executive membership at Costco is that it provides 2% cash back on qualifying purchases, with exceptions for things like alcohol, gas, prescriptions, etc. Spending about $6,700/ year balances out your membership cost.
How can I get a free Costco membership?
Costco does not offer free memberships. However, you can earn cash back with an Executive membership or earn a Costco Shop Card by making a big purchase. Those profits could easily pay for your membership.
Is a Costco membership worth it for one person?
A membership can be worth it for one person if the circumstances are right. You'll need to be careful when buying perishable products, as one person will have a hard time consuming a bulk product before its expiration date.
Can I shop at Costco without being a member?
There are ways to shop without a membership, such as using a Costco Shop Card, ordering items through Instacart, or by visiting a warehouse to shop with a friend or family member who does have a membership.
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