Costco's Executive Membership

[BernardShakey]

I've got the regular Costco membership. Every time I go in there I get up sold on this next level membership.

I have a feeling it's not worth it given how tenaciously they are promoting it to me.

What are the benefits? How much more is the cost? Why are they so adamant in trying to get me to sign up for it?

[pinkmoon]

It's 75$ i believe instead of 50$, and you get back 2% of your total purchases. So whether it's good for you or not, depends how much you spend there. I was really skeptical too, but they also told me that if it didn't end up being worth it for me that they would refund me the additional cost above the regular membership. What ticked me off though was that they didn't tell me until part way through the year and not even after a day when we spent a crazy amount of money. They do "executive checks" where someone will come and scan your card to see how much money you've spent there so far during the year, they tell you and then you can decide if the exec membership would be worth it. For us, I think it will be very well worth it.

As well, I think you can get into the warehouse an hour before 'regular folk' though i'm not sure how carefully they actually screen who goes in earlier.

[molala]

It's 75$ i believe instead of 50$, and you get back 2% of your total purchases. So whether it's good for you or not, depends how much you spend there. I was really skeptical too, but they also told me that if it didn't end up being worth it for me that they would refund me the additional cost above the regular membership. What ticked me off though was that they didn't tell me until part way through the year and not even after a day when we spent a crazy amount of money. They do "executive checks" where someone will come and scan your card to see how much money you've spent there so far during the year, they tell you and then you can decide if the exec membership would be worth it. For us, I think it will be very well worth it.

As well, I think you can get into the warehouse an hour before 'regular folk' though i'm not sure how carefully they actually screen who goes in earlier.

$100 instead of $55 to be exact. You do earn 2% cash back with the minimum of $45. So the difference of the membership is paid off even you don't spend enough. The direct benefit would be you receive and could take advantage of coupons/offers that are exclusive for Executive members. Other benefits includes mortgage rate, etc. Their website is a great source for all this info.

[zoolander]

You could go back to the regular membership anytime, before it is up for renewal if you haven't spent enough to recoup the $45.
The $45 extra upfront might even be prorated less depending on when your regular membership expires.
I find they only ask people if their total at that moment of purchase exceeds ?$500, not sure.

BTW, that end of year 2% cashback cheque has to be used in Costco.

60 minutes of free long distance in N.A. with Wintel home phone, some exec offers here and there, meh, not much else I use it for.

It's a matter of will you spend $2250/year (2%=$45) there to cover the upgrade?

[Dustbunny]

Yes it's $100 but it doesn't get you into the store earlier (that's for the commercial members only I believe). The other thing to remember is you also end up getting a Costco American Express card which gets you another 2% back on anything charged to that card. The real benefit is when you use their other services (as mentioned, check the site). I used their realtor service when I sold and bought last time and the return on that would pay for that membership for the next several dozen decades plus some so it really paid off.

If you shop Costco much or can use those extra services (or credit card) it's worth the difference and besides you get the difference back if you don't spend enough so not much risk of losing anything by trying it.

I think I've had my executive membership about 3 years and since the first year the annual rebate has paid for the membership so it's cost me nothing to belong to Costco since but I've actually come out way ahead using the services they offer.

[brunes]

Don't forget aside form the 2% back there are othe rbenefits as well.

- Yo get a quarterly magazine, which has at least a couple useful articles
- You get coupons in this magazine that are good for executive members only
- You get discounts on life an dhealth insurance, you get larger rebates when buying or selling houses, and discounts on other merchandise and programs available through Costco.

For example, I just renewed my mortgage and went through the Costco mortgage broker service, I am going to be getting $120 in gift cards vs. $60 if I was not executive. That alone more pays for my upgraded membership, the 2% back is now a bonus.

[sovexxed]

I just got my cheque for $120. And that was just for regular shopping. No big purchases. My membership renewal is now free plus $20. Not a bad deal.

Also, I think the executive members get a different (and sometimes better) coupon book.

[rrraven]

If I recall correctly, the 2% is both tiered and has a cap so you actually only end up getting 2% on a pretty narrow window...

[molala]

You could go back to the regular membership anytime, before it is up for renewal if you haven't spent enough to recoup the $45.
It might even be prorated less depending on when your regular membership expires.
I find they only ask people if their total at that moment of purchase exceeds ?$500, not sure.

BTW, that end of year 2% cashback cheque has to be used in Costco.

60 minutes of free long distance in N.A. with Wintel home phone, some exec offers here and there, meh, not much else I use it for.

It's a matter of will you spend $2250/year (2%=$45) there to cover the upgrade?

Evem if you don't sped enough, they would reimburse you the $45 difference. Regardless you buy enough or not, it'll end up costing the same as the regular memberip

[gmbeliever05]

I have upgrade for the past 3 years and have almost had a free membership through the rebate every year. I enjoy shopping at Costco and always spent enough money in year to cover the extra cost of the executive. They finally convinced me that I was spending enough to almost cover the membership. If I didn't like it then I would get my money back. I have kept the executive membership for 3 years.

[1226]

If I recall correctly, the 2% is both tiered and has a cap so you actually only end up getting 2% on a pretty narrow window...

No and yes. Not tiered but capped at $500. You earn 2% from your first dollar to $25,000.

[napoleon1769]

Evem if you don't sped enough, they would reimburse you the $45 difference. Regardless you buy enough or not, it'll end up costing the same as the regular memberip

How do you do that?

[NDman]

How do you do that?

Call them, and you shall receive. Not sure about the one in Canada, the one in US only applies to first year's member (i.e. if you don't spend enough to get $45 back after your second year, they won't top it up to $45 for you) from what I was told by a Costco agent.

[Dash]

I didn't come close to spending enough to make it worth it. I think I might have gotten $7 back in total cashback? I'll be asking for a refund sometime in the next couple of weeks.

[Gigi]

One thing to be aware of: The rebate is calculated two months before membership renewal time. Anything you accumulate in the next two months will apply to next year's rebate, but of course, you still have to be an executive member the following year to get it. If you have no difficulties spending enough to get the $45 difference back by month ten, then this isn't an issue at all. It's the borderline spenders who need to consider their spending and whether or not it's worth another year of executive membership fees.