Unlike the traditional Gold Star member, each Executive-level member at Costco earns a 2% annual reward on eligible purchases up to $1,000 (via Costco). While 2% cash back on purchases may sound small, it can add up. In fact, for some members, it can offset the membership cost — and then some.
According to Motley Fool, Costco members who spend upward of $3,000 a year at the wholesale club would benefit from upgrading to an Executive membership card. Not only would your 2% annual rewards pay for the membership upgrade, each Executive membership also comes with additional Costco benefits and discounts that could add to your overall savings each year.
What if you spent just under $3,000 a year at Costco in 2021, is it worth upgrading to an Executive membership in 2022? The answer may be yes. As food prices continue to climb with inflation, your 2022 Costco annual spending could rise to $3,000 or more. Additionally, the sheer volume of items available at Costco — plus, the 2% annual savings — may encourage you to aggregate more of your shopping errands to this wholesaler (which also sells gas for your car, by the way), which would also push your annual spending to $3,000 or above.
In fact, Costco just saw a record number of renewed memberships from first-time Costco members in May, RetailWire reports, indicating new Costco shoppers in 2021 definitely discovered the benefits of shopping wholesale. Considering the cost of inflation, now might be the right time to upgrade your own membership, from Gold Star to Executive, and start reaping those upgraded benefits, too.
