📰 Curated Industry Article
This is a summary of a full article from a trusted financial publication. Click “Read Full Article” below to read the complete story.
A wholesale club membership can sometimes pay for itself in bulk toilet paper alone — but the real value may be in the perks you get beyond the products on the shelves.
Costco and Sam’s Club offer benefits ranging from cash back rewards to fuel savings and discounted health and travel services, though some require upgrading to a pricier membership tier.
Must Read
- You’re probably eligible to save money on car insurance. Compare rates for your ZIP code with this free — and fast — tool from Money.
- Meet your financial goals faster: Take this free, no-obligation quiz to get matched with an advisor today.
- These 6 hacks can help seniors save money on things they’re already buying.
Here’s how the two clubs compare… and which perks could be worth the annual fee.
How much do Costco and Sam’s Club memberships cost?
Costco and Sam’s Club each offer a basic membership and a higher-priced tier with extra perks. Sam’s Club is slightly cheaper at both levels, but the better value depends on which benefits you’ll use.
Both retailers also include a free household card with each membership, allowing another eligible person in the same household to shop. The basic tiers offer perks beyond warehouse access, including members-only fuel prices. The premium tiers add benefits like delivery perks, early shopping hours and more, which we’ll get into below.
Costco vs. Sam’s Club: Comparing the perks
Cash back and rewards
If you’re willing to pay more for a premium membership, both Costco and Sam’s Club let you earn some of that money back. Costco’s Executive members earn a 2% annual reward on eligible purchases, up to $1,250 per year. Sam’s Club Plus members earn 2% back in Sam’s Cash on qualifying in-club purchases, up to $750 annually.
The math is fairly straightforward. Costco Executive costs $65 more per year than a Gold Star membership, while Sam’s Club Plus costs $60 more than a Club membership. At a 2% reward rate, you’d need to spend at least $3,250 on eligible Costco purchases or $3,000 on qualifying Sam’s Club purchases annually to earn enough rewards to offset the upgrade fee.
If you’re already shopping at either warehouse regularly, the premium tier could make sense. If not, upgrading just for the rewards may not be worth it.
Free shipping and grocery delivery
If you’d rather skip the aisles altogether, Sam’s Club Plus offers free shipping on eligible online orders of $50 or more, along with free delivery on qualifying orders over $50. Club members pay shipping fees on most items and a $12 fee for standard delivery. Plus members can also pay extra for faster delivery.
Costco offers online shopping and same-day grocery delivery, but its benefits work a little differently. Same-day delivery is through Instacart, with a $35 minimum order and item prices that may be higher than in stores. Executive members get a $10 monthly credit toward eligible same-day delivery orders of $150 or more.
For shoppers who regularly order household essentials or groceries online, Sam’s Club Plus may offer more straightforward delivery savings. The Costco Executive monthly credit can help with larger orders, but the $150 minimum means you’ll need to shop accordingly to use it.
Shopping convenience and exclusive access
If you dread the checkout line almost as much as the crowds on a Sunday, Sam’s Club has a perk that might help speed things up. Scan & Go is available with both Club and Plus memberships. The feature lets shoppers scan items with the Sam’s Club app as they shop, pay on their phones and skip the traditional checkout line. Members can also use the app to order items from the cafe and pay for gas.
Sam’s Club Plus members get early shopping hours, with access to participating clubs up to an hour before regular opening time. Costco Executive members can also take advantage of early shopping hours at select warehouses, though availability and terms vary by location.
While it isn’t technically a membership perk, how you pay is another difference worth noting. Costco only accepts Visa credit cards, while Sam’s Club takes Visa, Mastercard, American Express and Discover. That gives Sam’s Club shoppers more flexibility, particularly if they want to earn rewards using a non-Visa credit card.
For shoppers weighing convenience, Sam’s Club has a clear advantage with Scan & Go, which is included even in its lower-priced membership. Plus adds the benefit of early in-person shopping, though it’s worth checking local hours before upgrading specifically for that perk.
Gas savings
Discounted gas is one of the biggest draws of a warehouse club membership. Both Costco and Sam’s Club offer members access to lower fuel prices, which can help offset the annual membership fee for folks who fill up regularly.
Costco’s gas prices averaged 34 cents per gallon below the national average, compared with 26 cents at Sam’s Club, according to the Oil Price Information Service cited by CNN in April.
Costco sells Kirkland Signature gasoline at its fuel stations, while Sam’s Club members can take advantage of member-only prices at participating fuel centers.
There isn’t a clear winner here, as prices vary by location and fluctuate over time. Before choosing a membership for the fuel savings alone, compare prices at nearby gas stations and consider how often you’ll fill up where. A cheaper gallon won’t save you much if getting there requires a costly commute.
Travel and other discounted services
Both wholesale clubs offer travel deals, but Costco has a particularly robust travel service. Costco Travel lets members book vacation packages, hotels, cruises and rental cars, with Executive members eligible for extra perks on select packages and a 2% annual reward on qualifying travel purchases after the trip is completed.
Sam’s Club offers travel discounts, too, including deals on hotels, rental cars, theme parks and entertainment. Its travel portal advertises savings up to 40% on hotels in select cities and up to 25% on rental cars, though actual discounts depend on the booking and availability.
Costco may be especially appealing to travelers who want to book an entire vacation through one service and take advantage of Executive-only extras. Sam’s Club is worth checking for discounts on individual bookings and attractions.
Either way, compare the final price with other booking sites before assuming a members-only deal is the cheapest option.
Pharmacy, optical and other health benefits
Sam’s Club members get access to 10 select generic medications at no additional cost, along with discounts on more than 600 generic drugs available for $10 or less for a 30-day supply. The $0 benefit has restrictions, including state-specific rules: In Arizona, California and Minnesota, those medications cost $2 for a 30-day supply instead. The benefit also can’t be combined with insurance.
Costco members can also access prescription discounts through the Costco Member Prescription Program, which offers reduced prices on eligible medications without an additional enrollment fee. Costco also offers member-priced optical products, discounted immunizations and hearing aid services (including free hearing tests) at its hearing aid centers.
Sam’s Club Plus may have the edge for members who regularly take one of its eligible prescriptions, while Costco’s pharmacy and health services offer savings across a broader range of needs. Keep in mind that you don’t necessarily need a membership at either retailer to fill a prescription, though certain discounts are reserved for members.
Which warehouse club has the better perks?
The best membership really depends on which perks you’ll actually use and how conveniently located each store is to you.
Sam’s Club may be the better fit for shoppers who prioritize convenience, with Scan & Go, free shipping and delivery on eligible orders, and Plus-exclusive pharmacy savings. Its lower annual fee also gives it a slight price advantage.
Costco, however, may appeal more to frequent travelers who can take advantage of Costco Travel or big spenders who want to earn rewards on eligible purchases. Its Executive membership also has a higher annual reward cap than Sam’s Club Plus, which could matter for households with substantial qualifying spending.
Remember: A membership is only as valuable as the savings and benefits you get out of it. Before joining a warehouse club or upgrading to a premium tier, consider whether you’ll use its additional services and how much those perks could realistically save you over a year.
The best deal isn’t necessarily the one with the lower annual fee — it’s the one that best complements your shopping habits.
Never miss a Money story.
- Join 700,000+ readers who get the latest financial news and advice delivered daily for free. Subscribe to our newsletters.
💡 What This Means For You
[afc_dynamic_insight]
ANNUITY FACTCHECK
Your Financial Security Starts Here
Whether you’re exploring fixed, variable, or indexed annuities — we provide the clear, unbiased information you need to protect your future.
📰 This article is sourced from a trusted financial publication. AnnuityFactCheck shares this for informational purposes only. Always consult a licensed financial advisor for personalized guidance.
