Costco Membership: Is the Executive Option Worth It?

June 8, 2026 by Arexl

Have you ever considered whether a Costco Executive membership is a worthwhile investment? As a proud Canadian Costco member, I appreciate the store for its bulk savings, particularly for families, but there are additional perks linked to a Costco membership. Members can save on pharmacy purchases like prescriptions, enjoy discounted gas prices, and find significant markdowns on designer brands for various items including footwear, apparel, and toys.

While many believe that the standard Costco membership, known as Gold Star membership, justifies its annual cost, the big question remains: does the Costco Executive Membership provide value for your money? The answer depends on your personal shopping habits. In this article, I aim to assist you in determining whether the Costco Executive Membership fits your needs.

Reasons to consider a Costco membership

Before diving into the value of the Costco Executive membership, you might be pondering the general worth of a Costco membership. Unlike typical grocery stores, Costco operates as a club warehouse, requiring a membership fee to shop.

As previously highlighted, Costco is renowned for offering groceries and supplies in bulk. You’ll discover a wide array of products ranging from chicken breasts and cartons of orange juice to large packs of toilet paper. Besides groceries, Costco also stocks electronics like televisions and smartphones, brand name clothing, and kitchen appliances such as coffee machines and mixers.

Additionally, Costco provides various services for its members. These services include:

Costco Gas
Costco Travel
Costco Pharmacy (access available to non-members as well)
Costco Optical Centre
Costco Tire Centre
Costco Credit Cards

Being part of a club warehouse allows Costco to offer these services and products at reduced rates, enabling members to save on both daily necessities and larger purchases. One of the significant advantages of a Costco membership is its generous return policy, backed by a satisfaction guarantee.

It’s true that individuals and couples may not derive as much benefit from a Costco membership, yet the items available could still justify the membership fee.

Costco membership options and pricing

For those looking to join Costco, there are two membership tiers available: Gold Star Membership or Executive Membership. Below is a brief overview of both options for Canadian shoppers.

Gold Star Membership

The Gold Star Membership is the basic entry-level option at Costco, costing $60 annually. This membership includes two cards, allowing you to share one with a spouse or family member who is at least 18 years old and resides at the same address.

Executive Membership

The Executive Membership offers enhanced benefits and is priced at $120 annually. Similar to the Gold Star option, you can provide a second card to a spouse or family member (who must also share the same residence).

It is also important to know that Costco provides business memberships aimed at those owning a business (an HST number is required) for purchasing items intended for resale. Both personal and business options come with standard and executive choices.

Advantages of the Costco Executive Membership

What justifies the higher cost of the Costco Executive Membership compared to the Gold Star Membership? A variety of benefits and perks accompany the executive membership. Here’s a closer look specific to Costco in Canada.

2% cash back on purchases

The most appealing feature of the Costco Executive Membership for many consumers is the cash back incentive. Executive members earn 2% cash back on most purchases (alcohol being a notable exception). To recoup the additional $60 spent on the Executive Membership, you’ll need to spend at least $3,000 annually, which breaks down to approximately $250 monthly.

This spending level is typical, if not modest, for families when it comes to groceries and home supplies. However, for singles or couples, it may be more challenging. It’s essential to ensure your purchases are necessary and not impulsive in order to meet this threshold.

Exclusive promotions and discounts

The executive membership also grants access to exclusive offers and discounts related to services such as insurance, mortgage options, and various business services, though these still carry associated costs.

Subscription to Costco Connection Magazine & mail inserts

While it may seem trivial, receiving Costco Connection Magazine and accompanying mail inserts helps you stay informed about the latest products and promotions. Knowing what’s available can help you avoid missing out on great deals that friends share with you.

Online shopping at Costco

Costco now offers convenient online shopping. You will need to create an account using your membership number, which allows you to shop for various products, many of which may not be found in-store. Additionally, you can use Costco services such as the photo centre to create custom photobooks or gifts right from your home. Most Canadian addresses are eligible for delivery.

Is the Costco Executive Membership Worth It?

For frequent Costco shoppers, the Costco Executive Membership is generally a sound investment. However, keep in mind that while Costco aims to help you save money, you shouldn’t be purchasing unnecessary items solely to justify the cost of the pricier membership. If spending limits are a concern, the Gold Star Membership may suffice.

Furthermore, if you don’t earn enough cash back to offset the difference between the Executive and Gold Star memberships by year-end, Costco will refund you the difference. Essentially, there’s little risk involved in opting for the Executive Membership.

It’s also worth noting that when competitors such as Walmart or No Frills run sales, their prices tend to be lower. However, Costco typically has the best everyday prices. Don’t forget to explore Costco’s optical and pharmaceutical services, where costs are often significantly lower.

The CIBC Costco Credit Card offers enhanced cash back on purchases from restaurants, Costco.ca, and Costco Gas, as well as additional benefits such as purchase protection and extended warranty.

Your CIBC Costco Mastercard doubles as your Costco membership, meaning you won’t need a separate membership card. However, the annual membership fee still applies, and note that the base earn rate of 1% applies to in-store purchases at Costco.

If you’re looking for an alternative credit card suitable for Costco, you might consider the WestJet RBC World Elite Mastercard, which provides 1.5% in WestJet Dollars on every purchase, making it particularly beneficial for frequent WestJet travelers. This card also offers perks such as an annual companion voucher and free checked baggage for the primary cardholder and guests.

Another option some consumers choose is the American Express Cobalt Card, which rewards you with five points per dollar spent at grocery stores. Since Costco doesn’t accept American Express, the strategy is to purchase Costco gift cards at other grocery stores to redeem at Costco warehouses.

Another credit card to consider is the PC Financial World Elite Mastercard, which provides 10 PC Optimum points per dollar spent, translating to a 1% return. Although this return isn’t exceptional, you can maximize value during PC Optimum bonus events when redeeming points.

For those interested in cash back, the BMO Cashback World Elite Mastercard and the Rogers World Elite Mastercard both provide 1.5% cash back and rank among the top cash back credit cards available in Canada.

For a comprehensive list of the best credit cards for Costco in Canada, make sure to check out my detailed guide.