What you need to know about Costco Cashback Rewards

Costco Executive Membership detailed

You may have received a notification of the Executive Membership Costco cashback rewards or the annual cashback rewards from your Costco Anywhere Visa® by Citi. Both are described as cashback rewards. However, they are two separate rebates from very different programs available to Costco members. We are going to examine, compare, and contrast both programs in our following article.

What are the differences among the 3 types of Costco Membership?

First and foremost, it is important to make a clear distinction between the different Costco Memberships. Here are 3 types of Costco Membership and the differences among them:

  1. The standard $60 Gold Star membership can get you in the door to shop products for personal use at Costco locations worldwide, and Costo.com. One additional card also lets a member of your household use it at no additional charge. That said, this membership is only valid for one year and must be renewed annually.
  2. The business membership lets you purchase personal products, business products, and resale used at any Costco stores, and Costco.com. One additional card also lets a member of your household use it at no additional charge. Similar to the Gold Star membership, it is also valid for one year and must be renewed annually.
  3. The executive members can get an annual 2% reward of up to $1000 on qualifying purchases at Costco, Costco.com, and Costco Travel. Moreover, this membership costs an additional $60 upgrade fee per year for a total of $120. This type of membership is probably worth the extra cost as long as you’re spending over $250 a month (or around $3,000 a year) at Costco. That way, you can make up the added fee with your cashback.

What are Executive Membership Costco Cashback Rewards?

First thing first, the 2% Reward Certificate of the executive membership is mailed with the renewal notice two months before the member’s annual renewal date. A member must pay the executive members at the time that the Reward is issued to receive the certificate. Therefore, members who reverse their Executive status will lose all rewards accumulated as they are not prorated. Plus, this rebate check can be used at Costco registers for the purchase of merchandise. Nonetheless, it cannot be used for the purchase of:

  • Alcohol in Alabama, Connecticut, Georgia, Kentucky, Michigan,
  • Ohio, and Tennessee
  • Auto purchasing
  • Battery fees
  • Bottle deposit
  • Costco shop cards/gift of membership
  • Hospital balloons, Children’s Miracle Network Hospital, and other charitable giving
  • Shipping fees
  • Costco services
  • Food court
  • Gasoline
  • Home delivery services (delivery charges, and installation)
  • Membership fees
  • Miscellaneous taxes and fees
  • Oil disposal fees
  • Optical exams
  • Stamps
  • Tire balance or the Installation fees
  • Tire disposal fees
  • Tobacco
  • Websites that are not hosted by Costco.com including the online Costco Photo Center
  • Third-party insurance payments
  • Prescription drug purchases in certain states (Arkansas, New Jersey, and New York)

Moreover, the purchases made in the following countries will not be applied to the 2% Reward:

  • Australia
  • Japan
  • Korea
  • Mexico
  • Spain
  • Taiwan
  • Iceland
  • China
  • France
  • The U.K.

Please take note that the Costco Executive Membership rebate check can’t be cashed at your bank. However, it can be cashed at the Costco customer service counter.

What are the benefits of a Costco Anywhere Visa® Card by Citi?

For the Costco members who own a Costco Anywhere Visa® Card, they can earn cashback throughout the year by purchasing goods and services using the card. Here is a breakdown of the cashback rewards cardholders can earn:

  • 4% cashback on eligible gasoline purchases (for the first $7000 per year, 1% afterward)
  • 3% cashback at the eligible restaurant and travel purchases
  • 2% cashback on all purchases made at Costco, or Costco.com
  • 1% cashback on all other purchases

Furthermore, the rewards come in a voucher with the February statement. You can either use the voucher at the register to pay for a purchase or exchange it for cash at the customer service desk.

How to get the most cash back from your Costco membership?

Here are our top 5 ways to get the most cash back from your Costco membership:

Recouping your executive membership fee

You will have to spend $3000 annually at Costco to recoup the $60 fee in order to upgrade to the executive membership. Nonetheless, if your rewards check doesn’t exceed $60, you can go to customer service and receive the difference. This helps to upgrade to the executive membership.

Using your Costco Anywhere Visa®

You will have to use it for every purchase possible. Once you earn cashback, you have to pay the bill as soon as you get home.

Shopping at Costco to double up rewards

You will have to use the Costco Anywhere Visa® to purchase as much of your necessities as possible at Costco. Then, you will earn the 2% Executive Membership rewards. Plus, you will earn 2% cashback from the credit card cashback program. Thus, that is a total of 4% cashback for everyday items you buy.

Knowing what Costco sells

You will have to check what Costco is selling. You should consider Costco if you need to buy a computer, small appliances, water heaters, indoor and outdoor furniture, mattresses, or carpeting.

Checking on Costco.com

You should check the website as it does have different offerings that are sometimes not available in the Costco warehouses. Costco.com can help boost your rewards checks.

These programs provide an opportunity to earn cashback easily. If you’re looking forward to earning as much cashback as possible, renew your Costco membership for next year. Plus, they are a good choice for families with a strict budget.


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