:max_bytes(150000):strip_icc()/GettyImages-1304106723-957345847fe64a13ba84ad5594abe0ec.jpg "How Do Costco’s Membership Fees Stack Up After the Price Hike?")
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Key Takeaways
- Costco increased its membership fees earlier this week for the first time in seven years.
- The warehouse store already had higher fees than competitors BJ’s and Sam’s Club.
- The warehouse memberships also include deals on gas and other benefits.
Costco (COST) on Wednesday announced its first membership-price increase in seven years. Members are looking at a $5 increase, to $65 annually, for the Gold Star membership and a $10 increase, to $130, for the Executive membership.
The increase will take place on Sept. 1. Here’s how Costco memberships will compare to other warehouse stores when that happens.
Cash-back deals
Costco will increase the maximum annual 2% reward by $250 for Executive members. So, those with the higher-tier membership can receive up to $1,250 cash back annually on Costco and Costco Travel purchases.
Walmart-owned (WMT) Sam’s Club also offers a 2% cash-back reward for its “Plus” membership. They can receive up to $500 cash back annually on in-club purchases.
BJ’s Warehouse Club’s (BJS) “The Club+” membership has similar cash-back rewards to Sam’s Club. Those members can earn 2% cash back, with a cut-off at $500 on in-club purchases.
Gasoline Prices
All three warehouse chains offer members special gasoline prices at their gas stations.
If a Costco member purchases gas at Costco and pays with the Costco Anywhere Visa Card, they can earn 4% cash back rewards.
Sam’s Club members who buy gas with a Sam’s Club Mastercard can receive 5% cash back.
BJ’s “Club+” members can receive 5 cents off every gallon when they fill up at one of BJ’s gas stations.
Additional Services
Costco offers various services for members, from pet insurance, to auto services and even water delivery. Higher-tier members may receive additional discounts on those services.
Sam’s Club also offers some services for their higher-tier members. Plus members can get 20% off a pair of eyeglasses, free shipping on contacts and savings at their pharmacy.