Is Costco really cheaper?

[somebody8198]

I'm making a project of driving down my food costs. I live in a relatively high COL city but taxes on things like groceries, even beer and alcohol, are low. When I moved here (from another HCOL city) I cut my grocery bill by at least 20%. My goal is to keep that trend going and see how low I can get it.

Is Costco really the answer? I'm loath to pay an annual fee to have the privilege of buying bulk granola bars. I'm used to grocery shopping once a week and enjoying fresh meat. I buy big bags of frozen vegetables only because it's more practical for meal prepping. I pay a lot of attention to my diet and I'm not willing to compromise much on the actual quality of my diet because being fit and able to do hard things with my body (weight lifting and martial arts) is a big part of my day-to-day happiness, not to mention long-term health.

For example, while it's perfectly rational to note that I could cut a major cost out of my budget by going vegetarian and eating cheaper starchy prepared foods, it would mean slower recovery time between workouts, less lean muscle mass, etc. Is a Costco membership going to doom me to a life of frozen foods and weak arms?

I'm also curious how the financials work out in the long term. I'm a single guy so I don't know if I'll get a lot out of the bulk purchasing model.

[CindyBS]

I've heard (unconfirmed) that you can shop at Costco without having a membership if you have a gift card.  You may want to buy one online and try that. 

I personally don't shop there b/c it involves a long drive into exurb hell (Shudder) and I'm not willing to deal with that.  YMMV on it as an experience for you.

Do you have an Aldi by you?  If so, check that place out.  Where I live, that is the place to get inexpensive groceries.

But the real way to tell what is the best price is to do a price book as described in the book "The Tightwad Gazette" by Amy Dacyczyn.  The book came out in the 90's but I'm sure you can find some directions online.  It involves recording prices of commonly bought items at different stores and there probably is not one store that is the "cheapest" on any item, especially when you figure in sales and loss leaders.     I'm sure there are apps that basically do the same thing these days.

[ixtap]

It depends.There are two of us and we make weekly trips to Costco. Many weeks, I don't even touch the kale and chicken, so my husband would probably do this eveni if he were single. Although he hates picking apart the rotisserie chicken...

For the vegetables they have, yes Costco usually is better. A bag of kale salad mix is the same price as our grocery stores, but twice the size.

For meats, they are often better, but not necessarily the same cut. You can always get a large tri tip, cook to eat hot, then use the leftovers for sandwiches or salads.Their rotisserie chicken is the best around and usually cheaper than grocery stores.

We used to buy Morning Star breakfast patties there and have since switched to Jimmy Dean turkey sausage. Both are considerably cheaper in bulk and the Jimmy Dean goes on sale every six months.

Oh, and when the price of eggs shot up, we switched to the large Costco eggs, whereas my husband always insisted on jumbo when eggs were cheap.

However, not everything is cheaper and not everything is practical in bulk. We can't use two gallons of milk. Costco doesn't carry any cheap pasta...

[bacchi]

For example, while it's perfectly rational to note that I could cut a major cost out of my budget by going vegetarian and eating cheaper starchy prepared foods, it would mean slower recovery time between workouts, less lean muscle mass, etc. Is a Costco membership going to doom me to a life of frozen foods and weak arms?

This dude can lift 800 pounds. He's vegan and has the US record for c&j. If you don't like black beans or lentils, it becomes much harder.

https://www.mensjournal.com/food-drink/vegan-diet-american-olympic-weightlifter-kendrick-farris


Back to your question. It may not be worth it. The snack section is large. Do you need a 3 pack of 32 ounce mustard? Or a family 2 pack of quiche? They have good quality peanut butter and almond butter.

Find a friend with a membership.

[GrumpyPenguin]

Of course the answer is "it depends".  For me it is definitely cheaper for the quality.  It depends on what you plan to buy, what products are alternatives for you, what stores are alternatives for you and how far away they are from you... A lot of things. 

As a single person it might be more difficult for you to justify it.  We're just a couple but find it pretty easy to justify the cost.

[GrumpyPenguin]

However, not everything is cheaper and not everything is practical in bulk. We can't use two gallons of milk. Costco doesn't carry any cheap pasta...

Interesting note, the Costco near me sells milk in single gallons.  A single gallon of nonfat milk was $1.95 when I went a few days ago.  Whole milk is something like $2.75, also as a single gallon.

We also buy our coffee at Costco.  Good roasts are $4.50-$7.00/lb, where they'll often sell for $10-20/lb elsewhere for the same roasts -- including many local roasts (from places within 1-3 hours away).

[sixwings]

I'll generally only get bulk dried foods from costco. I go about once a month when my sister goes (she has a card). It's just me and my wife (she is living in a different city for 5 days a week right now for work) so bulk anything perishable is a waste of money. I'll buy bulk oatmeal, rice, beans, etc at costco when i go and it's generally cheaper than the bulk foods isle of my local grocery store for those things unless it's a great deal there. I only eat meat 1-3 times a week and when I eat meat I usually buy from my local butcher, it's much more expensive but the quality is way higher so for me it's worth it. If I don't go to my butcher then I buy what's on sale at the local grocery store.

Also I would challenge you to take a look at your assumption about having weak arms and needing more meat. I do a 6 day PPL, I'm lean and my #'s are decent and I don't have weak arms or legs or back. I used to eat meat like 2-3 times a day and eventually cut back and have continued to progress well on my strength. My overnight oatmeal breakfast has 60g of protein in it. I also have gone from like 200g of protein a day to like 120g and have continued to gain a lot of strength. Lots of non meat foods have good amounts of protein like oatmeal, lentils, beans, etc. Unless you're competing in strong man comps and stuff I would really challenge you to think about your meat consumption.

[OtherJen]

It depends. We (household of 2 adults) use our Costco membership to buy a lot of non-food things (store-brand laundry detergent, paper towels, toilet paper), relatively shelf-stable foods (coffee beans, rice, canned tomatoes, peanut butter, nuts, gluten-free crackers, vodka, gin), and some perishables (eggs, butter, deli meat, frozen fish, organic chicken and ground beef). We’ve been able to achieve good savings on the things we buy, but we are careful to buy only what we can feasibly use. It also helps to know the unit prices at other local stores. For us, decent coffee beans, laundry detergent, and organic eggs and chicken are always cheaper at Costco, but organic ground beef is a wash and things like bananas are more reasonable elsewhere.

Edit: Not sure how I forgot the 3-pack boxes of actually good gluten-free frozen pizzas for $16. We keep these on hand for nights when we’re exhausted and don’t want to cook, but don’t want to deal with the cost and hassle of takeout (I have celiac disease so our options are limited).

[PDXTabs]

It depends. I go there for cheese, coconut oil, coffee beans, pork belly, frozen fish, liquor, over the counter medication, and eye glasses. Given how much European cheese I eat, I imagine that it saves me money in the end. With that said, I could just eat less cheese. They have really great clothing prices (for new clothes) but the selection is pretty random. They usually have really good prices on smart-wool style work/hiking socks. When I had infants I got all of their diapers and wipes there.

In the west we have a legitimate restaurant supply store called Smart Foodservice (formerly Cash and Carry) which is cheaper for some things with no membership fee.

[SciLearner357]

I go through about 12 peppers a week and the price is better than what I can get at my grocery store, and high quality than Aldi.

[ixtap]

It depends. I go there for cheese, coconut oil, coffee beans, pork belly, frozen fish, liquor, over the counter medication, and eye glasses. Given how much European cheese I eat, I imagine that it saves me money in the end. With that said, I could just eat less cheese. They have really great clothing prices (for new clothes) but the selection is pretty random. They usually have really good prices on smart-wool style work/hiking socks. When I had infants I got all of their diapers and wipes there.

In the west we have a legitimate restaurant supply store called Smart Foodservice (formerly Cash and Carry) which is cheaper for some things with no membership fee.

In San Diego, the Costco and grocery store prices are better than Smart and Final, except for Red Baron frozen pizza. At $3/pizza, it makes the cheapest date night around.

[PDXTabs]

In San Diego, the Costco and grocery store prices are better than Smart and Final, except for Red Baron frozen pizza. At $3/pizza, it makes the cheapest date night around.

Even for 105oz cans? I guess you might not want any of those. The one by my house is the only place local that carries gallons of peanut oil.

[intellectsucks]

I love Costco, first off, the executive membership with the Costco credit card gives you 4% back right off the bat (2% from executive membership, 2% from credit card).

I find Costco's price is consistently as cheap or cheaper than elsewhere on the following :
Oatmeal: super cheap, lasts forever
Fresh seafood
Lactaid milk
Avocados
Generic baby formula (HALF THE PRICE OF BRAND NAME!!!)
Baby wipes
Diapers
Some school supplies
Tissues
Paper towels
Quality meats (for equivalent quality meats I find other stores more expensive.  ex Costco has organic, hormone free ground beef for 2/3 the price of other stores)
Laundry detergent
Spices (limited selection though)
Cooking Oils (olive oil, vegetable, etc)
Mouthwash
Over the counter Medicines (only useful for medicines you take frequently, otherwise they tend to expire before you use them due to how many are in the bottle)
Frank's red hot sauce
Cheap, but good premade meals (they have a couple of varieties of pre-made Indian style beans and lentils, as well as Oriental style chicken fried rice which are tasty, filling and cost about a dollar per meal)
Salad mixes
Bottled water
Gasoline (sometimes as much as .25 per gallon cheaper)
Some home improvement stuff (we had a new heat pump/central AC unit installed for the same price as competitors quotes but got the 4% cash back from membership/credit card and another 10% cash back on a gift card as a promo)
Random stuff for a limited time: they had a genuine Italian leather office chair priced way below comparable chairs, beach stuff, Schwinn bikes for $150 or less, high quality adjustable flow shower heads, etc

In general I find that stuff at Costco is either lower priced, higher quality or sometimes both.

[Awesomeness]

I love Costco. Definitely saves me money on the main items I purchase.

Toiletries and detergents.
Dog food.
Clothes and shoes
All meats.
 

In three years I went from a family of four w four dogs to just me and one dog, two kids left the nest, three dogs passed away and I divorced the big meanie. But I still shop there and love it!  I hate running out of things and you’ll never catch me in a convenience store getting toilet paper. I still have a roll of aluminum foil I bought 4 years ago, it’s just now light enough to lift w one hand. 

I use Aldi for fresh fruits and veggies and some things like mayo. Other than the salad mixes the Costco fresh items are too large for just me to eat.

Really you can’t beat the quality for the price. Yes you can get everything cheaper somewhere else and maybe the same price but the quality is top notch.  They guarantee everything, if you don’t like it you can bring it back.  I once returned a leather recliner after having it a year, the arms were fading and it just wasn’t holding up well.  They had no problem giving me my money back.

They do sales every month and things go on clearance all the time.  Just a little tip if the sign has an asterisk that means it won’t be restocked.  If it ends in .97 or .00 that means the price is reduced or it’s the last item.

Online clothes are cheap, usually the same price as the store, and most stuff will ship for free or a buck or two and free returns. They have the best leggings for 10$ and free shipping.

My son is in college w no car and uses instacart for Costco w no extra shipping fees, stuff costs a little bit more but not much. It’s a great deal.

They have plenty of cool stuff and lots you don’t need but you can control that part.  I went last week and was thrilled to find their Kirkland peanut butter cups are back. 9$ for a nice sized tub. They haven’t sold those in years except in the big bag of mixed candy. I absolutely needed them!  They are divine, best peanut butter cups you can buy. 

I used to be an executive member and get back about 300$ yearly which covered the fee.  I spend much less now so I’m a regular member but I save enough to make up the 60$.

[RedmondStash]

Echoing the "it depends" answer. Not everything is cheaper at Costco, but many things are, especially in bulk. But you can't assume that because it's a big bulk item and it's at Costco, even if it's on sale, you can't find it cheaper in smaller amounts elsewhere. You really have to do some comparison shopping to start getting a sense of which items are worth getting there.

Their gasoline tends to be quite a bit cheaper than the alternatives. For us, the gas savings alone makes up the membership cost.

[jeninco]

I used to go to Costco a couple of times/year with a friend, but when a trader Joe's opened in town I found their prices on nuts and cheese are comparable per lb, and there's no driving required. Also, sometime around then my local grocer started having better sales on the stuff we eat regularly.

So not really worth the time/effort/driving for the $, for us. (Also, our nearest Costco doesn't sell the stuff I'd like to buy in real bulk -- they have pinto beans, but not black beans, for instance. And white flour, but not white whole wheat -- which TJ's sells for quite cheap.)

I sort of miss random stuff, like the merino wool socks at 3 pairs for $10 or so...

[RetiredAt63]

Oh the merino socks, love them.

I compared pool chemicals, Costco is definitely best.  Same for dog food and dog treats.

For meat I just cut into appropriate portions and freeze.   Cream is way cheaper than grocery stores, even cheaper than Walmart's house brand, and from a dairy I trust.  Cheese is definitely competitive with our grocery stores.

Some things are not always the best buy, often a grocery store will be better - but then things are not always on sale at a grocery store.

[kanga1622]

We like Costco but go with family members that pay the membership fee. They have a fantastic salad mix that I could easily eat daily. Their prices on frozen fruit is great so our smoothie expenses come down quite a bit. Our biggest benefit is buying individually packaged snacks that are required to send with our youngest to school. If we lived closer and went more often, I think we’d find a big savings but we only go a couple times a year so it isn’t worth paying for a membership.

[Chadbert]

Although he hates picking apart the rotisserie chicken...

My wife taught me that the meat is way easier to pick off the bones while the chicken is still warm. She will put the chicken on the counter while she puts away the groceries, then pick apart the chicken. We usually have dinner with some of the warm chicken that night, then the rest goes into other dishes for later in the week.

For the OP, Costco has a 100% money back guarantee, you can always get a refund of your membership fee anytime before it expires. We have an executive membership and only have to pay $0.15 for it this year after our rebate.

[mountain mustache]

I'm just one person, but I eat a lot of veggies, meat, fruit, not a lot of shelf stable starches, and I think Costco is the best!
Here's what I get, and have compared and found cheaper (at least for here, in Colorado)

1 pound boxes of baby greens
6 pack of organic romaine heads
1 pound boxes of fresh spinach
3 packs of English cucumbers
10 pound bag of organic carrots
Rotisserie chicken
organic boneless skinless chicken breasts, and thighs
organic ground beef
organic ground turkey
frozen organic Brussels sprouts
frozen organic broccoli, cauliflower, and cauliflower rice
frozen organic blueberries, cherries, mango, etc
organic almond milk (in a shelf stable case)
Kerrygold butter (way, way cheaper than anywhere)
organic coconut oil
I used to buy the case of 5 dozen organic eggs, but now I get them from my neighbor who has chickens!
I buy a lot of spices, and nuts and olive oil

I think if you are like me, and try to eat as much organic as possible, it is a way better deal. I live in a small town, and grocery prices are insane. I stock up at Costco, and I'm able to eat almost all organic for less than $300 a month. I buy some things (apples, peppers, onions, etc) in town because I just don't like having large amounts. I think if you eat 2 meals a day that are veggie/meat heavy, Costco is the way to go.

[mm1970]

I love Costco!  Whether it's a better deal for a single guy will depend a lot on what you eat and what other stores you have.

I've found that Costco has fantastic deals on meat, cheese, and frozen vegetables.  Fresh fruit (though too much packaging for me).  For my family of four, it's a good deal.

Many of the things we buy we simply cannot find at grocery stores cheaper than Costco, even with loss leaders.  And I consider it to be pretty high quality.

[PepperPotts]

Things are a good deal at Costco even without a coupon:
Kirkland vitamins and over-the-counter meds
Salad greens
Organic Baby Spinach
Grape tomatoes
Bananas
Organic Brown Rice
Kerrygold butter
Organic chicken
Shredded parmesan
Feta
Wine
Toilet paper
Laundry detergent
Dishwasher detergent
Organic Peanut Butter
Organic Extra Virgin Olive Oil
Deli Meat
Rotisserie Chicken
Thick cut Bacon
Shredded cheese
Protein bars
Frozen wild-caught salmon
Spiral Cut ham
Pesto
Salsa


Stuff I find cheaper at Kroger:
Organic Whole Milk

Stuff I find cheaper at Sprouts:
Avocados (but the Costco ones are consistently better)
Dried Beans
Steel Cut Oats
Non-organic chicken
Grass fed ground beef
Onions

[Catbert]

I like Costco and shop there at least once a month even though there are only two of us.  It helps that there are 2 within 5 miles of our house.  For an alternate view:

https://rootofgood.com/costco-costs-more-bulk-buying/

Personally I will never shop at Walmart or Sam's Club for philosophical reasons.  I like Aldi's but there isn't one within reasonable distance from my house.

I suggest triying Costco either by going with a friend with a membership or buying a gift card online and using it.

[ETBen]

Well they let you return anything, including your membership!  I live in suburbia and it’s like there’s something wrong with me bc I don’t have one. So I got it. For me and 2 kids I didn’t think it was worth it and returned the membership.

However, I just can’t stand having large stockpiles of anything around. I get my giant bag of jasmine rice from the Asian market. Meat is a good price but I don’t like buying tons of it and freezing.  Nor do I have that kind of freezer space. I don’t need giant containers of Panera soup, quiche, blocks of cheese, etc. Even with kids, I don’t buy tons of snack foods. The case of beans was worthwhile.

But it really comes down to that I prefer to shop twice a week for only what I need.

[cats]

It is “cheaper” if you demand high end/luxury or convenience food.  If you meal plan/prep and cook most of your food from scratch, Costco is much less valuable.  We used to have a Costco membership but have found that we do better in terms of cost with a combo of TJ’s (eggs), local Indian grocery (legumes), and shopping loss leaders or “reduced for quick sale” items for produce and meat.  This does require some more flexibility and creativity about what you cook, but we find we eat very well.  We also buy less random stuff that we don’t really need and that isn’t all that healthy for us (cheese...)

As others have mentioned, I would also re-examine just how protein-rich and meaty you need your diet to be.  In my experience, it’s possible to get plenty of protein from vegan or vegetarian sources, you just don’t have as much room for low-quality carbs or fat because vegan/veg protein sources typically also contain a fair amount of carbs or fat. You definitely aren’t doomed to weakness.

[AFrugalGuy]

My husband and I do essentially all of our grocery shopping at Costco - and we're vegetarian. The quality is consistently high, the prices are consistently competitive (particularly when certain items are on sale) and we never throw food out because we buy staples and then meal plan based on what is in the fridge at any given time. It's easy to get a ton of protein - beans, lentils, etc. are all high-quality protein sources and are available at a very low-cost.

[Nate79]

Good answers so far but I will add one more nice benefit. Their customer service is excellent. If you ever have a problem with any product, even groceries they will refund you the price no questions asked (depends on the warranty for some items). For example we once bought some fruit and one of them in the package was bad when we got home. All we had to do was tell customer service on our next trip and bam, refund. We never actually knew they would do this but happened to mention it to the checkout person and they made the recommendation.

Sent from my SM-G950U using Tapatalk

[APowers]

Being a person who runs a tight ship with my grocery budget, here's what I've found. On average, regular non-sale grocery store prices are more expensive than Costco, but Costco is usually more expensive than loss-leader grocery store sales. If you're used to just going to Safeway and buying whatever is on your list, regardless of whether it's on sale---Costco will save you money. But if you watch the sale prices and buy when your household staples are on deep sale at Safeway and at Costco only if they're cheaper there, you can do even better.

For example, a can of black olives:

Regular Safeway price: $1.79
Costco price: ~$1.15
Loss-leader Safeway price: 10/$10

There are a few things for which Costco is usually cheaper than even the loss leaders: bananas, gasoline, toilet paper, tortillas, spices, big bags of rice/bread flour, and bulk olive/canola/soybean oil (I'm probably missing a couple things, but I think those are the main ones).

Pay attention to your ad flyers, and be formulating a price book (even if it's just in your head). I have general rules that live in my head: beef shouldn't cost more than $3/lb; chicken shouldn't cost more than $1/lb; bell peppers should be 50¢/each or less; lettuce no more than $1/head; cheese for $2/lb or less; etc., etc.   You can formulate your own rules by watching the ad cycles for your local grocery stores, and noting how grapes that are usually $2.99/lb are $.98/lb this week, so you know that $2.99 is too much for grapes and that you should buy grapes only when the ad cycles them through as the $.98 featured item.

[clarkfan1979]

On Kauai the gas at Costco is 50 to 60 cents/gallon cheaper so the gas savings alone makes it worth it. The executive card gets you 2% back, which also pays for the membership.

Safeway has more 50% off sales for food that is about to expire. If you only eat that, Safeway is cheaper.

[Dicey]

I adore Costco. I also love Grocery Outlet, 99 Cents Only, Winco, and Sprouts. I so wish the Winco was close enough to go to more often, and really wish there was an Aldi anywhere near me. Trader Joe's is meh, and Safeway is outrageous, IMO. And no, I can't be arsed with paying attention to weekly flyers or apps. Costco's prices are consistent, and I appreciate that. They do have sales, and they last for weeks, which is very helpful.

Here's a little tip: Costco gas stations price shop within a 1-mile radius. If there's a cheapo gas station nearby, you're going to pay less at Costco, even if it's just a penny/gallon. If there is no competition, that Costco's gas will most likely be more expensive. 

I used to drive a LOT for work in my pre-FIRE days. I always gassed up at the Costcos with the best prices. This is not worth going out of your way for, but a good thing to notice when you're out and about. Nowadays, we drive to and from SoCal on a regular basis. We have all the "best price gas" warehouses figured out along the route.

[englishteacheralex]

In Hawaii Costco is essential to grocery survival. This was true when I was single and even more so now that I'm married with two kids. All my grocery price information is really out of whack because Hawaii. When I go to the mainland I get horribly confused and run around buying everything because it's all such a relatively good deal.

HOWEVER: Target's diapers are cheaper. That one was quite a shock.

[ixtap]

Although he hates picking apart the rotisserie chicken...

My wife taught me that the meat is way easier to pick off the bones while the chicken is still warm. She will put the chicken on the counter while she puts away the groceries, then pick apart the chicken. We usually have dinner with some of the warm chicken that night, then the rest goes into other dishes for later in the week.

For the OP, Costco has a 100% money back guarantee, you can always get a refund of your membership fee anytime before it expires. We have an executive membership and only have to pay $0.15 for it this year after our rebate.

Oh, he loves it when we Costco together on the weekends and I rip off the legs and hand them to him warm. He also know we are both miserable if for some reason it goes in the fridge and has to be picked apart cold. He just hates doing it.

[a-scho]

It depends on where you live and what other stores are available in your area. In my parts(SoCal), I can get everything cheaper somewhere else.....except gasoline. They are always .20/gal less and 4% back on gasoline purchases using their Visa card. The savings on gas alone more than pays for the membership fee.

If it's possible, find a friend who already has a membership and gain access, just to peruse the aisles and see what they have and the prices. It helps greatly to know what prices you already pay elsewhere. Once in awhile, when I have a hankering for a mocha freeze, I'll go up and down the aisles to see what "new" stuff they have. The most tempting things are the baked goods. But, instead of my buying it, I go home and make it.

For many years, I would buy at Costco, but now at
coffee  Grocery Outlet
sugar   G.O.
butter   G.O.
half and half  G.O.
cheese   G.O/aldi
nuts aldi
chocolate chips  G.O./aldi
manila envelopes(ebay sales) amazon
minced garlic G.O.
toilet paper  still costco
eggs  Aldi
movie tickets Netflix/amazon prime
antihistimines still Costco

[FiftyIsTheNewTwenty]

Even for just two of us, Costco is cheaper -- much cheaper.  And I buy no convenience foods except the roasted chickens, which we get 3 meals for 2 out of for $5.

When prices are similar, Costco's quality is much better.  This includes produce and meat.  It's very good overall.

I still buy canned and dried beans, and canned tomatoes, at Walmart or Food Lion.  Frozen peas too, which Costco strangely doesn't have.

I get specialty stuff like tahini, and spices and sauces from Amazon.

[pdxmonkey]

I love Costco, first off, the executive membership with the Costco credit card gives you 4% back right off the bat (2% from executive membership, 2% from credit card).

You're not getting 4% right off the bat. You're getting 4% after spending $3000. 2% of which you will get back in Costco credit.
It's an extra $60 so it really only gives you 2% back from executive membership after you spend $3000/yr when you do the math. Before then it is a negative %/is costing you. Being as I don't spend $3k on shit at Costco having an executive membership is more expensive overall.

[Erica]

We went a few days ago. Hadn't been for a few yrs. Costs seemed very high. Roasted chicken was only $5 which is the same cost as yrs ago.
Seemed most everything else was fairly high. We'll stick with the local health food store and grocery outlet for now on.$13 for two half gallon vanilla ice creams by Kirkland. Shwanns delivers to our small town on Thursday afternoons for that price.

[EngineeringFI]

Since I'm a single person, I was skeptical that a Costco membership would be worth it for me, but I decided to take the plunge about a year ago. I couldn't be happier! I did as others mentioned though and made a Google sheet to track the price of grocery items I regularly purchased so that I would know if the Costco price was a good deal. Some things I regularly buy:

Propane refills: <$11 for them to refill a propane tank at my Costco

Walnuts
Large blocks of cheese to shred
Olive oil
Balsamic Vinegar
Spices
Coffee beans ($8.99 for 48 oz of organic beans!)
Turkey sausage
Frozen chicken tenderloins
Frozen cauliflower rice
Frozen berries
Plain Greek yogurt (toss the above frozen berries into the yogurt the night before and enjoy berry-flavored yogurt the next day)
Eggs (have to watch prices closely because sometimes its not a good deal)
Salad greens
Avocados
Pistachios
Rotisserie Chicken (then make chicken stock from the bones when finished)

*Alcohol (may not be sold in your state though)

[AFrugalGuy]

I love Costco, first off, the executive membership with the Costco credit card gives you 4% back right off the bat (2% from executive membership, 2% from credit card).

You're not getting 4% right off the bat. You're getting 4% after spending $3000. 2% of which you will get back in Costco credit.
It's an extra $60 so it really only gives you 2% back from executive membership after you spend $3000/yr when you do the math. Before then it is a negative %/is costing you. Being as I don't spend $3k on shit at Costco having an executive membership is more expensive overall.

YMMV. We currently have a (non-Costco) 2% cashback MC, so get 4% from the first dollar spent. Since we do all our grocery shopping at Costco, our spend is about $6k/year, which roughly pays for the Executive Membership.

[SimpleCycle]

Honestly, we don't find a ton of deals at Costco compared to Aldi and our local grocery stores, especially if you eat seasonally.  Pound for pound, kale salad may be cheaper at Costco, but I can also make a spinach salad with the $1.49 baby spinach from Aldi.

My mom usually gifts us a Costco Cash card for Christmas, which allows you to shop with the card without having a membership.  This means we are judicious in what we buy there since we are limited to the funds on the card.

Best deals for us:
-cheese (shred and freeze)
-coconut milk (not cheaper than the Asian grocery store, but more convenient for us)
-quinoa
-walnuts
-frozen salmon

[LiveLean]

I rarely see the inside of a grocery store. People who think Costco is about bulk don't get it. You can buy a gallon of milk, a Rotisserie chicken, a bunch of bananas. What? You're not going to go through a bag of asparagus? To the poster who said they don't get through a bag of salad greens: You're not eating enough salad greens. And even if they were to go bad, buying a full bag at Costco and eating half is still cheaper than buying a smaller bag at the grocery store.

There are certain things at Costco that are so much cheaper than anywhere else, Costco must be taking at hit. This includes gasoline, a dozen roses -- you can get two dozen roses for $15.99 - and a sheet cake that can feed 30 easily for $15. In the category of annoyingly expensive things -- i.e. pool chemicals, ink cartridges, protein powder - Costco wins here, too. Then there's clothing. Try finding Adidas, Levi's, Calvin Klein or Under Armour at prices anywhere near that of Costco.

There are dozens of expensive products ranging from Rogaine to 5-Hour Energy that Costco private labels as its Kirkland brand and sells for half the price.

Costco is the No.1 wine seller in America and No.3 bookseller to Amazon and Barnes & Noble. There's a reason for that.

My $100 executive membership annual fee is covered by gasoline savings alone.

Furniture, TVs, cameras...Costco kills it there, too. Hell, I bought Costco stock 12 years ago and it's one of my best investments ever.

The world is going to hell but Costco will rule 500 years from now. Just watch the movie Idiocracy.

Sam's Club is just Walmart with a cover charge.

[Car Jack]

I used to work right near a Costco and my work had free memberships.  One of my coworkers literally went in every day.  To get an idea about the big savings, I made a grocery list of typical things I'd need for the week.  I shopped at my normal store, Stop & Shop, which isn't known for being all that cheap, but they're nearby and I do get gas points. 

Then, the next week, I took the same list to Costco along with my coworker who had his membership card.  The total was more than Stop & Shop.  I talked with a few people at work who told me that if I needed tires or a major appliance, a Costco membership might make sense....although these days, most major tire and appliance outlets will match anyone's price.

Now that I'm at a different job, Costco is an hour away, so there's no way I'm going there.

You really need to do your own homework on this.  Some people (I hear) do save.  My friend who came with me?  He buys the latest high end projector for his home theater and 5 months later, returns it and buys the new highest end projector.  For him, the annual expense is his cost to "borrowing" projectors.

[englishteacheralex]

I rarely see the inside of a grocery store. People who think Costco is about bulk don't get it. You can buy a gallon of milk, a Rotisserie chicken, a bunch of bananas. What? You're not going to go through a bag of asparagus? To the poster who said they don't get through a bag of salad greens: You're not eating enough salad greens. And even if they were to go bad, buying a full bag at Costco and eating half is still cheaper than buying a smaller bag at the grocery store.

There are certain things at Costco that are so much cheaper than anywhere else, Costco must be taking at hit. This includes gasoline, a dozen roses -- you can get two dozen roses for $15.99 - and a sheet cake that can feed 30 easily for $15. In the category of annoyingly expensive things -- i.e. pool chemicals, ink cartridges, protein powder - Costco wins here, too. Then there's clothing. Try finding Adidas, Levi's, Calvin Klein or Under Armour at prices anywhere near that of Costco.

There are dozens of expensive products ranging from Rogaine to 5-Hour Energy that Costco private labels as its Kirkland brand and sells for half the price.

Costco is the No.1 wine seller in America and No.3 bookseller to Amazon and Barnes & Noble. There's a reason for that.

My $100 executive membership annual fee is covered by gasoline savings alone.

Furniture, TVs, cameras...Costco kills it there, too. Hell, I bought Costco stock 12 years ago and it's one of my best investments ever.

The world is going to hell but Costco will rule 500 years from now. Just watch the movie Idiocracy.

Sam's Club is just Walmart with a cover charge.

I love the enthusiasm for Costco, LiveLean!

In Hawaii, the savings are so obvious that you almost don't need a price book to realize that Costco is a score. The hilarious thing about that, though, is that everybody's stuff is from Costco, which means there's a sort of communist lack of individuality among the locals on island. All parties are "catered" by Kirkland. Potlucks are very popular in Hawaii, and we all dutifully bring our Costco kale salad, giant bag of Kettle chips, Stacy's pita chips and hummus, quinoa salad, Costco poke, etc.

Two months ago there was a sale at Costco for The Perfect Women's Athletic T-Shirt. Jewel tones. Wicking fabric. Not-clingy--doesn't emphasize jiggly tummies. A little peek-a-boo on the back collar; just enough to make you feel sort of stylish. I bought two because they were only $10 each. And I knew that the t-shirt would become the uniform of women over 35.

Yep, sure enough, at least three ladies at my church have The Perfect Shirt in 2+ colors. I went hiking with my family yesterday and laughed with a random lady on the trail who was wearing The Perfect Shirt in the same color as the one I had on. Costco is basically the company store of Hawaii. I'm not sure where he got his information, but my husband frequently cites the Iwilei (downtown Honolulu) Costco as the busiest Costco in America.

[SimpleCycle]

I rarely see the inside of a grocery store. People who think Costco is about bulk don't get it. You can buy a gallon of milk, a Rotisserie chicken, a bunch of bananas. What? You're not going to go through a bag of asparagus? To the poster who said they don't get through a bag of salad greens: You're not eating enough salad greens. And even if they were to go bad, buying a full bag at Costco and eating half is still cheaper than buying a smaller bag at the grocery store.

There are certain things at Costco that are so much cheaper than anywhere else, Costco must be taking at hit. This includes gasoline, a dozen roses -- you can get two dozen roses for $15.99 - and a sheet cake that can feed 30 easily for $15. In the category of annoyingly expensive things -- i.e. pool chemicals, ink cartridges, protein powder - Costco wins here, too. Then there's clothing. Try finding Adidas, Levi's, Calvin Klein or Under Armour at prices anywhere near that of Costco.

There are dozens of expensive products ranging from Rogaine to 5-Hour Energy that Costco private labels as its Kirkland brand and sells for half the price.

Costco is the No.1 wine seller in America and No.3 bookseller to Amazon and Barnes & Noble. There's a reason for that.

My $100 executive membership annual fee is covered by gasoline savings alone.

Furniture, TVs, cameras...Costco kills it there, too. Hell, I bought Costco stock 12 years ago and it's one of my best investments ever.

The world is going to hell but Costco will rule 500 years from now. Just watch the movie Idiocracy.

Sam's Club is just Walmart with a cover charge.

I mean, there's no doubt Costco is a "good deal" for consumer suckas.  If you've buying discounted 5 hour energy, I think it's safe to say you've not on the Mustachian path.

Overall, my family saves money by buying less stuff.  Costco has a ton of stuff we *could* buy, but don't, because we don't need it.  This kind of saving money at Costco take discipline, which is my main problem with Costco.

[simonsez]

Then there's clothing. Try finding Adidas, Levi's, Calvin Klein or Under Armour at prices anywhere near that of Costco.

Any secondhand store.

Yes, overall Costco works for our household.  The propane twice a year, gasoline about once a month, and the frozen fruit savings easily surpass the cost of the membership.

[ixtap]

I love Costco, first off, the executive membership with the Costco credit card gives you 4% back right off the bat (2% from executive membership, 2% from credit card).

You're not getting 4% right off the bat. You're getting 4% after spending $3000. 2% of which you will get back in Costco credit.
It's an extra $60 so it really only gives you 2% back from executive membership after you spend $3000/yr when you do the math. Before then it is a negative %/is costing you. Being as I don't spend $3k on shit at Costco having an executive membership is more expensive overall.

Thank you for reminding us to run the numbers now that we have moved to eliminate the daily commute and are selling the SUV!

[Dicey]

Then, the next week, I took the same list to Costco along with my coworker who had his membership card.  The total was more than Stop & Shop.

You adjusted for quantity and quality differences, correct? Your statement is a straight apples-to-apples comparison?

[mm1970]

It is “cheaper” if you demand high end/luxury or convenience food. If you meal plan/prep and cook most of your food from scratch, Costco is much less valuable.  We used to have a Costco membership but have found that we do better in terms of cost with a combo of TJ’s (eggs), local Indian grocery (legumes), and shopping loss leaders or “reduced for quick sale” items for produce and meat.  This does require some more flexibility and creativity about what you cook, but we find we eat very well.  We also buy less random stuff that we don’t really need and that isn’t all that healthy for us (cheese...)

As others have mentioned, I would also re-examine just how protein-rich and meaty you need your diet to be.  In my experience, it’s possible to get plenty of protein from vegan or vegetarian sources, you just don’t have as much room for low-quality carbs or fat because vegan/veg protein sources typically also contain a fair amount of carbs or fat. You definitely aren’t doomed to weakness.

- Depends on where you live and what other stores are around - it may be cheaper without the "high/end luxury"
- Lots of food at costco is not high end or luxury
- It also matters if you care philosophically about workers, etc.  Living wage and all that.

[TSpacagna]

I forget the source, so maybe someone can fact check me but I remember hearing that Costco's maximum mark up is only 14%

I like to use them for frozen fruits and such, and I love paying 20 bucks for several weeks worth of chicken breasts. I don't buy fresh produce there currently because I can never finish it before it goes bad...maybe that's a sign I need to shuffle my diet lol.

Also, for those of weak vision like myself, the optometrists they have on site (at least here in Austin, TX) are WONDERFUL.

[mm1970]

Oh, and glasses!

I got progressives, and an eye appointment.

With insurance, cost at Costco: $85
At my regular eye doctor, with insurance: $600

[GuitarStv]

Very hit and miss.

Some things are totally worth it (cheap propane refills, cheap gas, toilet paper, dog food, detergent/soap, etc), but you've got to really be careful and do your research before going.  Sales at our local grocery stores are usually cheaper.  Stuff on Amazon is often the same price as stuff in Costco.  I've also found that a lot of the items sold at costco are higher quality than I would tend to buy if in another store . . . so, you might get a good deal for the quality of the item but end up spending more money on a higher quality item that you wouldn't have purchased otherwise.

The experience of shopping at the Costco near us is fucking terrible.  Huge crowds, slow checkouts, terrible parking lot, pushy people, ugh.  It might be better during business hours on weekdays, but I am only really able to shop there on weekends.  If I can't be there 30 minutes before the doors open with a specific list of things to buy, I won't bother to go.