How to Get a Free Costco Membership by Buying Gas at the Warehouse Store

Without ever visiting Costco, you can still take advantage of one of its top deals.

Costco's gasoline pumps are the best place to buy gasoline at a lower price than the competition.

"According to David Schwartz, author of "The Joy of Costco" along with his wife Susan, it is commonly observed that customers save approximately 20 cents per gallon at Costco compared to other local vendors."

In 2023, Costco's 692 gas stations accounted for 13% of the chain's net sales, and the attractively-priced gas helped draw customers into its stores.

In its report, Costco stated that its gasoline business increases foot traffic in its warehouses.

""Exxon's primary business is selling gasoline, while Costco has a diverse range of businesses," David explains to CNBC Make It."

The savings on gasoline alone can make the $60 Costco membership worthwhile, even if you're not a regular shopper. David and Susan estimate that a member would need to drive 7,500 miles per year while exclusively buying Costco gas to break even on their membership.

To determine the number of gallons of gas needed to save $60 with a $60 Gold Star membership at Costco, they divided the membership cost by the estimated savings per gallon.

To calculate the number of miles a person needs to drive annually to consume 300 gallons of gas, they multiplied the fuel economy of the average car, which is 25 gallons per mile, by 300 gallons.

Susan remarks that her old Toyota could travel 35 to 40 miles, so 25 miles per gallon is likely quite conservative.

You could drive 7,500 miles per year and get your money's worth from the Costco membership without ever setting foot in the store if your car gets 25 miles to the gallon.

If you drive only on weekdays, your average daily driving distance is approximately 29 miles. However, if you drive seven days a week, your average daily driving distance is approximately 20 miles.

If you have the $120 Executive Membership, you will receive 2% cash back on all your Costco purchases, and if you put 15,000 miles on your tires each year, the membership will pay for itself.

"By not going into the warehouse, you're already saving money," Susan says. "Driving only 7,500 miles a year pays off your regular Costco membership."

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