Costco Gas – Savings, Rewards And Whether You Need To Membership To Use The Pump

In my area, Costco gas is about $0.25/gal cheaper than at other gas stations. Because of that, we sometimes see long lines at the Costco gas station. But how much money are you saving each year by filling up gas at Costco? Let’s do some math.

My wife and I drive about 20,000 miles between us. Our cars give us about 25 miles per gallon. So we use approximately 800 gallons per year. With savings of $0.25/gal, that’s an annual savings of $200. That easily pays for the Costo membership. We don’t even have to enter the Costco Warehouse to recoup our membership costs.

Do you need a Costco membership to buy gas at Costco?

Yes, you need to be a member to buy gas at Costco unless you have a Costco Cash card. It doesn’t matter which level of membership you have – Gold Star, Executive, or Business.

You can use a Costco Cash card to purchase gas at Costco without a membership. Costco Cash card is a debit card/gift card that can only be used at Costco. But you will need someone with a Costco membership to purchase it for you. Sometimes, third-party gift card resellers sell Costco Cash cards. Note that if you use a Costco Cash card at the pump, an attendant will need to authorize your transaction.

Do you get credit card rewards or 2% annual cashback rewards for Costco Executive membership?

Costco gas purchases DO NOT qualify for 2% annual cashback rewards for Executive members. But you will earn 4% cashback if you use the Costco branded Visa card, Anywhere Visa Card by Citi,

What forms of payments are accepted?

Costco gas stations accept all Visa credit cards, Costco Cash cards, and debit cards. You cannot use cash, Discover, American Express, or Mastercard.

How good is the gas sold at Costco?

Costco gas is cheap but it is also of high quality. Costco gas meets Top Tier standards, which means it has deposit control agents that help your engine run efficiently.

Other tips

Here are a few other things to know before you head to Costco to fill up gas.

  1. Unlike other gas stations, traffic flow is one way at the pump. So everyone must enter the gas station in one direction.
  2. You will encounter long lines on weekends and evenings. Consider going there during off-peak hours.
  3. Some grocery stores such as Kroger and Stop & Shop have excellent fuel rewards programs. If you shop at these stores often, you may be able to purchase gas cheaper there than at Costco.

Bottom Line

If you are a Costco member, buying gas at Costco is a no-brainer. It will easily pay for your annual membership. If for some reason, it doesn’t work for your needs and you are unable to recoup your membership cost, remember that Costco has a 100% satisfaction guarantee for its members. You can walk up to the customer service desk and get your membership fee refunded at any time.

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