Here’s How Much You Actually Save Buying Gas at Costco (2025)

Meredith Dietz

Here’s How Much You Actually Save Buying Gas at Costco (1)

Credit: Alexandru Nika - Shutterstock

Gas prices are currently stuck in neutral, but could be rising again soon. The average cost for a gallon of gas in the U.S. is $3.873 and has been hovering around this same number for nearly two weeks, “a noteworthy length for price stability,” according to AAA. However, new data from the Energy Information Administration (EIA) suggests higher demand amid tighter supply, meaning pump prices could be on the rise again soon.

We all want to know how to get the most out of every drop of gas these days. Common consensus dictates that gas is always cheaper at warehouse clubs like Costco or Sam’s Clubs. An annual Costco membership is $60 for their Gold plan and $120 for an Executive membership. But if you’re not already part of the club, is it worth purchasing a Costco membership exclusively for the potential gas savings?

We did the math to see how much money you’d save if you bought a Costco membership now solely to take advantage of their gas prices for the rest of the year.

Is it worth it to get a Costco membership just for cheaper gas?

Gas prices at outlets like Costco and Sam’s Club have, in the past, been reported to be as much as 30 cents less per gallon than regular gas stations. Our goal here is to see if signing up for the most affordable Costco membership just to buy gas will save you money in the long run.

Small to midsize cars generally hold 12 gallons of gas, while trucks and larger SUVs could hold 16 gallons or more. For this experiment, let’s meet in the middle and use a 14-gallon fill-up as our benchmark. Also for math-related ease, let’s assume you fill your tank about once a week.

Because there’s no apparent difference in gas-related deals between the membership plans, we’ll work with their cheapest plan, which costs $60 annually.

I used the AAA Gas Prices map and GasBuddy to pull sample gas prices from one of the most affordable and one of the most expensive cities at the moment.

  • Columbus, Ohio: Costco = $3.39 / Shell = $3.69 / Kroger = $3.65

  • Inglewood, Calif.: Costco = $4.85 / Shell = $5.09 / Chevron = $5.39

The cost of gas without a Costco membership

In Columbus, your cheapest non-Costco option is Kroger. You pay $3.65 per gallon x 14 gallons = $51.10 per tank. Fill up once a week, and you’re paying $2,657.20 in gas per year.

In Inglewood, you find a Shell to get $5.09 per gallon. It costs you $71.26 per tank, and $3,705.52 for the year.

The cost of gas with a Costco membership

In Columbus, $3.39 per gallon x 14 gallons = $47.46 to fill up your tank. If you fill you tank once a week, that’s $2,467.92 per year. Tack on the $60 for your Costco Gold membership that got you these prices in the first place, and you’re at $2,527.92.

In Inglewood, $4.85 per gallon x 14 gallons = $67.90 per tank, and $3,530.80 per year. Plus the cost of membership, and your total is $3,590.80.

You save $3.64 per tank and $129.28 in gas per year in Ohio.

You save $3.36 per tank and $114.72 in gas per year in California.

To see how gas prices compare in your area, plug your zip code into GasBuddy.

Other considerations (like that huge line)

Some might consider a little over one hundred in savings less than astronomical (at least in places where gas is relatively cheaper already). However, weigh in the fact that you can use your Costco membership for other benefits, and the annual purchase could pay off in other, grocery-related ways.

Then again, you’re not exactly the first person thinking about joining the Costco club solely for their gas prices. In the past, Costcos across the nation have made headlines for ridiculously long lines at the station.

Finally, all of this depends on whether or not there’s even a Costco conveniently located near you. What if you have to waste gas driving out to a Costco station, and then wait in a long line once you’re there? In those cases, the gas savings might not be worth the additional hassle.

The takeaway: Costco gas is cheaper for members

On a yearly basis, the Costco Gold membership is worth its cost in gas savings. Plus, you’ll be able to use your membership for grocery and home goods shopping.

However, if you’d have to go out of your way to get to a Costco and you shudder at the prospect of waiting in extremely long lines for marginally cheaper gas, then the savings simply might not be worth it for you.

This post was originally published in March 2022 and was updated on Aug. 16, 2023 to reflect up-to-date gas prices.

Here’s How Much You Actually Save Buying Gas at Costco (2)

Meredith Dietz

Senior Finance Writer

Meredith Dietz is Lifehacker’s Senior Finance Writer. She earned her bachelor’s degree in English and Communications from Northeastern University, where she graduated as valedictorian of her college. She grew up waitressing in her family restaurant in Wilmington, DE and worked at Hasbro Games, where she wrote rules for new games. Previously, she worked in the non-profit space as a Leadership Resident with the Harpswell Foundation in Phnom Penh, Cambodia; later, she was a travel coordinator for a study abroad program that traced the rise of fascist propaganda across Western Europe.

Since then, Meredith has been driven to make personal finance accessible and address taboos of talking openly about money, including debt, investing, and saving for retirement. Outside of finance writing, Meredith is a marathon runner and stand-up comedian who has been a regular contributor to The Onion and Reductress. Meredith lives in Brooklyn, NY.

Read Meredith's full bio

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Here’s How Much You Actually Save Buying Gas at Costco (2025)

FAQs

Here’s How Much You Actually Save Buying Gas at Costco? ›

Across the seven cities, Costco's prices ranged from $0.15 to $0.46 per gallon less than the city's average gas price. That worked out to be $0.28 per gallon cheaper on average. The Bureau of Transportation Studies says drivers cover an average of 29 miles per day, which would work out to 10,585 miles a year.

How much does Costco save you on gas? ›

It's a well-accepted fact that Costco gas is cheaper than the fuel at most other places. While the exact amount of savings you'll get depends on factors like where you live and which club you visit, you can reasonably expect to save around $0.15 to $0.20 per gallon. Let's say you save $0.17 per gallon when you fill up.

Is it worth driving to Costco for gas? ›

You save approximately 20 cents a gallon at Costco over other local vendors,” says David Schwartz, who together with his wife Susan authored “The Joy of Costco”. “That's something we have seen time and time again across the country.”

What is the benefit of getting gas at Costco? ›

Costco gas is higher quality than many competitors

In fact, the quality of Costco's gas is another big reason why you should fuel up at the warehouse club. Kirkland Signature Gasoline is TOP TIER™ certified, which means it meets stringent performance standards.

Are you really saving with Costco? ›

Even if you only save $5 on groceries every other week, that's $130 in savings after a year, which more than justifies the $60 cost of a membership. And remember, once you join Costco, you'll be privy to great prices on items you probably don't buy every week, like clothing and electronics.

Is a Costco membership worth it to save on gas? ›

The short answer to whether Costco gas savings can justify the cost of a membership is yes. But there are a few things to keep in mind. Most significantly, this analysis assumes that you only fill up your gas tank at Costco, which may not always be practical.

Why is gas so much cheaper at Costco? ›

So why is it so much cheaper than the competition? The short answer is that unlike pretty much every other retail business that sells gasoline, Costco doesn't care about making money from its gas pumps. In fact, Costco typically sells its gas at a moderate loss.

Why does everyone go to Costco for gas? ›

Quality gas is important, yes, but so is price. Costco Gas Stations offer consistently low, member-exclusive prices. With the Costco app, you can check Costco gas prices on your phone. On the app, find your local warehouse to see hours of operation, gas prices and more warehouse details.

Do you get 2 cash back on Costco gas with an executive membership? ›

Gas purchases, for example, do not earn you cash back as an Executive member. Neither do cigarette purchases or alcoholic beverage purchases in certain states. Additionally, Costco Shop Cards (Costco's version of a gift card) won't be eligible for cash back, and neither will postage stamps.

Is Costco fuel cheaper? ›

Drivers filling up at Costco will generally save more than £6.50 a tank compared to a supermarket. RAC fuel spokesman Simon Williams said: “Drivers who aren't fortunate enough to be members of Costco will no doubt be horrified to see just how cheaply fuel can be sold.

What is not worth getting at Costco? ›

Skip these 5 household items at Costco—they aren't worth the bargain, says expert at finding deals
  • Breakfast cereal. Costco's breakfast cereal prices are similar to what you find at other wholesalers, although the selection is limited, says Ramhold. ...
  • Lip balm. ...
  • Over-the-counter pain medications. ...
  • Fresh produce. ...
  • Spices.
Feb 11, 2024

What are the cons of Costco? ›

Before you sign up for a Costco membership, consider these three serious downsides.
  • It's more expensive than Sam's Club or BJ's. The first big downside to Costco membership is the high cost of joining. ...
  • Online prices are higher than in-club prices. ...
  • Perks of the upgraded membership aren't that great.
May 12, 2024

How much do you have to spend at Costco to make it worth it? ›

But if your annual spend regularly tops $3,250, you're better off with the Executive Membership. Every additional dollar you spend after $3,250 will bring your annual fee further and further below $65 and end up saving you money in the long run.

How much does Costco give back on gas? ›

Earn cash back rewards on purchases wherever Visa® is accepted. You'll get 4% back on eligible gasoline purchases for the first $7,000 per year and then 1% thereafter. You'll also earn 3% on restaurants and eligible travel purchases, including Costco Travel.

How much do Costco members get off gas? ›

But you have to consider that a Costco membership is $60/year. If gas is truly 20 to 40 cents cheaper per gallon, the break even point is between 150 and 300 gallons per year. There are credit cards that give 5% back on gas, and you don't have to search for a Costco and pay for their membership.

Do Costco executive members get 2 back on gas? ›

Gas purchases, for example, do not earn you cash back as an Executive member. Neither do cigarette purchases or alcoholic beverage purchases in certain states. Additionally, Costco Shop Cards (Costco's version of a gift card) won't be eligible for cash back, and neither will postage stamps.

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