6 Costco Purchases That Save You the Most Money Over a Full Year
Not every Costco purchase will save you the most money over a full year. Some buys may be worth stocking up on when they’re on sale or if you need them occasionally, while others may cost less elsewhere.
According to Business Insider, Costco's in-house Kirkland Signature line is frequently cheaper than its brand-name counterparts — often enough, in fact, to likely offset the membership fee, even if Costco also sells the brand names in bulk for a big savings over per-unit in other stores. Here are eight Costco purchases that could save you the most money throughout the year.
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1. Medication
At Costco, members typically pay less for medication both prescription and over-the-counter. The University of Southern California found that the retailer's direct negotiations with pharmaceutical manufacturers even beats Medicare prices half the time.
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For example, Business Insider found a Zyrtec alternative for 89% off the name-brand cost. Kirkland Signature Aller-Tec costs $17.99 at full price for 365 tablets — just a nickel. Meanwhile, a bottle of 90 tablets of Zyrtec from Walmart costs nearly $40, or 44 cents per tablet. The Kirkland Signature pack is also larger, meaning you get both more for your buck and just more in general.
2. Gasoline
Despite the lower price, Costco makes a profit on gasoline, CNN reported. The warehouse also regularly beats local gas station prices by an average of 30 cents per gallon. Costco said that you can also save more if you pay with a Costco Anywhere Visa, which allows cardholders to earn 4% cash back rewards on eligible gas purchases
3. Diapers
A box of 222 size 3 Kirkland diapers costs 15 cents less per diaper than a box of 168 size 3 Huggies at Target. If your baby goes through six diapers per day, you could save roughly $27 over 30 days. Pretty nice having an additional $300 in your pocket at the end of the year to invest in your baby's future education.
4. Rotisserie Chicken
Everyone knows and loves Costco’s rotisserie chicken, which the retailer sells as its loss leader for five bucks. If you buy a similar chicken at a regular grocery store like Kroger, you can expect to pay about $7.99: a 60% price bump.
CNN reported that in 2014, then-Costco chief financial officer Richard Galanti said the big-box retailer was willing to sacrifice up to $40 million per year in gross revenue to keep the price consistent. Other grocery stores can charge as much as $12, depending on where you shop.
5. Produce
Business Insider took the same grocery list to Aldi and Costco. For example, a five-pound bag of sweet potatoes, a two-pound container of strawberries, a four-pound bag of organic carrots and two pints of raspberries at Costco cost $22.86. The same items at Aldi came to $23.11.
While the negligible produce price differences likely won't eclipse the membership costs on their own, Business Insider found that Costco's quality and variety were much more impressive. Fresher produce in better condition when you buy it may also last longer at home. This means less food and money ending up in the garbage.
6. Maple Syrup
Kirkland Signature’s Grade A Organic Maple Syrup is another popular Costco product, costing only $14.99 for one liter. Pour it over pancakes or use it as a sweetener in your morning cup of coffee or over dessert. At Walmart, the Great Value Pure Maple Syrup is $17.34.
You may not need to buy it often but grabbing it at Costco can save you a few dollars each time you restock — consider the extra 1.8 ounces in the Costco jug to be the sweet rewards of shopping sensibly.
Editor’s note: Prices and availability are subject to change.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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