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A handful of discounted staples can effectively offset the cost of a Costco membership, according to a recent report on the retailer’s big savings.
A $65 Gold Star club membership, or a $130 premium membership, may seem steep to budget-conscious shoppers, but the math can change quickly: a few well-chosen purchases can end up paying for the membership itself.
The issue was brought up on Reddit, where a potential member asked the question, “What things (besides gas) do you get to confirm membership if you’re not a bulk buyer?”
“Are there sufficient grounds for the discount to make the membership worth it?” the poster asked late last month. “I know the excitement of seeing great deals on random items will make me want to buy more, but if I really need the basics like the ones I listed, what would you recommend?”
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Customers check out food at a Costco store in Colchester, Vermont. (Robert Nickelsberg / Getty Images / Getty Images)
Reddit users were quick to weigh in, with some pointing to over-the-counter medications like ibuprofen or antihistamines, as well as paper goods and the popular rotisserie chicken, as worthy of membership.
One user said the smoked salmon alone was worth the bill, while another pointed to the savings from buying diapers at the wholesale club.
To put the numbers behind those claims, Business Insider analyzed which Costco items offer enough savings to offset the $65 membership fee.
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A shopper loads items into a car at a Costco store in Vallejo, California, on May 29, 2025. (David Paul Morris/Bloomberg/Getty Images)
The publication reported that it focused on shelf-stable items that are commonly used throughout the year, comparing Costco’s prices to those found at stores such as Amazon, Target and Walmart.
Business Insider reported that it used ChatGPT, an artificial intelligence tool, to estimate the annual consumption of each item in a two-person household.
The analysis assigns each product a “payment score” to show how much membership fees can be removed by purchasing that item at Costco throughout the year. A score of 100 indicated that the savings equaled the cost of membership, while a score of 200 meant that the savings were double the fee. 50 points means the product has returned half the cost.
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Costco’s everyday staples like diapers, pet food and coffee can pay off the $65 membership fee in no time, according to a new annual savings analysis. (Marlene Awaad/Bloomberg via Getty Images/Getty Images)
Pet food stood out in the analysis as the biggest value. A 38-pound bag of Blue Buffalo dog food costs about $65 at Costco, compared to about $111 at the regular grocery store, enough savings to double the annual membership fee.
Dog food received 713 payments, indicating that the savings will reduce the cost of membership more than six times.
Diapers and baby wipes emerged as another strong value, with a return value of 373. A jumbo pack of Huggies diapers costs about $50 at Costco, compared to about $70 at other stores, a savings enough to pay the membership fee for less than four purchases.
The formula delivered similar savings. A large container of Similac sells for about $55 at Costco, compared to $68 elsewhere, with analysis showing that membership fees can be recouped after about five purchases, earning 240 return points.
Two-pound bags of Starbucks’ Pike Place roasted coffee beans sell for about $8.40 per pound at Costco, compared to about $12 elsewhere. Based on an annual consumption of 30 pounds, the analysis gave the coffee a payback point of 166, with the membership fee recovered after about 18 pounds.
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The savings on toilet paper were minimal. A 30-pack of Charmin costs about $1.10 per roll at Costco, about 37 cents less per roll than at other retailers, producing a payoff of 67 when four packs are purchased annually.
Business Insider added a caveat, noting that “this analysis does not imply another purchase from Costco, which is highly unlikely in our experience.”
