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A lot of people join Costco to cut down on their grocery bills and save money on household essentials like tissues and cleaning supplies. But if you take a strategic approach to your shopping, you can set yourself up to save even more. With that in mind, here are three tactics to employ in September.
1. Plan your meals ahead of time
The upside of buying food in bulk at Costco is getting to save money on a per-ounce or unit basis. The downside, though, is that you risk having fresh food spoil before you're able to eat it all. And that could lead to a lot of wasted money.
To save big at Costco this month, do some meal planning in advance. Figure out what recipes you'll be making to know whether it makes sense to purchase a given item in bulk vs. buy a smaller amount at a regular supermarket.
It's also important to plan your meals around your bulk Costco purchases even if they're shelf-stable items. Grains, oils, and other such items might last longer than fresh food, but they won't last forever. Map out a cooking plan so nothing goes to waste.
2. Get there as early as possible
Costco tends to be a crowded store no matter when you live. But the later in the day you shop, the more crowded it's likely to be. And if you're stressed because of those crowds, you might make poor shopping decisions because you're in a rush to get to the checkout area before the lines get longer.
A better bet? If your schedule allows for it, try to get to Costco as soon as it opens. You may find that the store is less busy at that point, allowing you to shop more calmly and evaluate each purchase more carefully.
3. Upgrade your membership
Costco recently raised its membership fees. A Gold Star membership now costs $65 per year, while an Executive membership costs double that at $130 per year.
But the Executive membership comes with a giant benefit: 2% cash back on your Costco purchases. And while an Executive membership upgrade might mean shelling out extra money this month, in the course of the upcoming year, you could easily make back that higher fee and then some.
It takes $3,250 in Costco purchases per year to make back the extra $65 an Executive membership costs. But if you typically shop at Costco three times a month and spend $150 each time, that's $5,400 per year.
If you get 2% of that back, it amounts to $108. And when you subtract the $65 it costs to upgrade to an Executive membership, you're ahead by $43.
Plus, one lesser-known perk of the Executive membership is that you can downgrade to a basic one if you find you're not getting your money's worth. And at that point, if you haven't earned $65 in cash back, Costco will pay you the difference. So there's no risk either way.
With the right approach, you can save big at Costco this month. Be mindful of how you'll put your grocery purchases to good use, shop early, and consider paying more for an Executive membership for the cash back involved.
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