Is the Costco Executive Membership Worth It?

The Costco Executive Membership costs $130/year compared to $65 for the Gold Star. The main perk is a 2% annual reward on qualified purchases (capped at $1,250). Let's do the math.

The Break-Even Point

To earn back the extra $65, you need to spend $3,250/year at Costco — about $271/month. That sounds like a lot, but it includes groceries, gas, pharmacy, optical, and online purchases.

Who Should Upgrade

Families of 3+ who do most of their grocery shopping at Costco will almost certainly break even. Our data shows the average Canadian family of four spends $4,800-$6,000 annually at Costco.

Anyone buying big-ticket items this year — appliances, electronics, furniture, or tires — should consider upgrading just for that year. A single $2,000 purchase earns $40 in rewards.

Who Should Skip It

Singles and couples with modest Costco spending may not hit the break-even threshold. If you spend under $250/month, stick with Gold Star.

Occasional shoppers who only visit Costco a few times a year won't benefit enough to justify the premium.

The Safety Net

Costco will refund the membership difference if you don't earn enough rewards to justify the upgrade. This makes it essentially risk-free to try for a year. Ask at the membership desk for the downgrade refund if your reward cheque is under $65.

Our Verdict

If there's any chance you'll spend $3,250+ in a year, upgrade. The risk-free refund policy means there's literally no downside to trying.