Is a Costco membership worth it just for gas?

Gas prices keep climbing and, if the war in Iran continues, that’s not likely to change anytime soon.

As of April 9, the national average for a gallon of regular gasoline went up 8 cents since last week to $4.16. The last time the national average reached that price was in early August of 2022,” according to data from AAA.

“Crude oil prices remain high, even as they’ve fluctuated in recent days following the announcement of a 2-week ceasefire between the U.S. and Iran. The price for a barrel of crude dropped below $100 but then rose again, highlighting the volatility of oil markets and fluidity of geopolitical events,” the automobile club shared.

“About a third of Americans (31%) have made changes to their spending or savings habits because of higher gas prices, while another 35% say they will if prices remain high. Just 21% say they’re confident the spike won’t last long,” according to a LendingTree survey of 2,060 consumers, including 1,799 who operate a gas-powered vehicle, about the impact of rising gas prices on their personal finances.

Joining Costco can be a good way to lower the price you pay per gallon, but joining the warehouse club for gas alone may not be worth it for everyone.

Related: History of Costco: Company timeline and facts

To shop at a Costco or use its gas pumps, you have to be a member. A basic “Gold” membership costs $65.

Gas prices vary by state, county, city, and even neighborhood, so there’s no set discount Costco offers compared rival stations, but experts generally cite 20 cents per gallon as the average savings.

Costco has “among the lowest gas prices,” Patrick De Haan, petroleum analyst at GasBuddy, noted in an interview with Investopedia.

Additionally, using apps like GasBuddy, Google Maps, and Waze can help you identify the gas stations in your area with the lowest prices. Doing so can save you around 10 to 20 cents a gallon, De Haan said.

“On average, you’ll save about 20 cents per gallon by filling up at Costco,” Readers Digest reported.

Data from Jalopnik back that up.

“Here in Nashville, at time of writing, Costco comes in at 20 cents a gallon under the average.”

Checking prices on GasBuddy show that the 20 cents a gallon number seems to be the norm.

Using the formula of $65 divided by $0.20, you’d need to buy 325 gallons of gas from Costco to break even.

The average car in the U.S. gets 24 miles per gallon, according to the U.S. Department of Energy. That means you also need to drive 7,800 miles per year to need all that gas.

Pretty much all Americans who drive hit that mileage total. Those averaging under 7,800 miles per year include only women over the age of 65 (4,785) and women between age 16 and 19 (7,624), according to the U.S. Department of Transportation (DOT).

The average American man drives 16,650 miles per year, while women average 10,142. So for most people, getting a Costco membership just for gas might save them some money.

In reality, however, Costco only has roughly 580 U.S. gas stations, according to the company’s website, so it won’t always be practical to fuel up at a Costco.

Adding the chain’s Costco Anywhere Visa changes the picture, however.

Costco credit card holders can earn 5% cash back on gas purchased at Costco and 4% on gas purchased at non-Costco eligible stations up to a combined $7,000 spend per year; then the return drops to 1%, according to Citi, which issues the card.

If you used the card to buy $7,000 of gas at Costco, that’s an added $350 in your pocket each year.

Of course, you also get the benefit of having a Costco membership, which has at least been subsidized, if not paid for, just in gas savings.

Americans are worried about rising gas prices.

“62% of Americans with a gas-powered vehicle agree that if gas prices remain high for a month or longer, it’ll have a significant impact on their personal finances. That includes 28% who strongly agree,” the LendingTree survey showed.

Many are actively taking steps to stay ahead of future price hikes.

“At the time of our survey, 51% of consumers with a gas-powered vehicle said they’ve gotten gas in the past week before they needed it because of rising prices,” LendingTree added.

Matt Schulz, chief consumer finance analyst for LendingTree, noted that one consumer behavior could benefit Costco.

“One of the simplest things is just shopping around at other gas stations,” Schulz told NBC News. “We tend to be creatures of habit a lot when it comes to filling our tank, in the same way we are when we shop for groceries, but that doesn’t necessarily serve us too well, financially.”

“Generally speaking, we see about half of members that will shop at the gas station will also cross-shop at the warehouse, CFO Gary Millerchip said during Costco’s second-quarter earnings call on March 5.

As prices rise, driving to a Costco, which is generally not the closest option for many consumers, becomes a better deal.

“When prices are higher, that will tend to cause members to maybe take the extra mile that it might involve to get to the gas station because of the incremental value they see there,” Millerchip added.

Gas stations are a driver for Costco, according the GlobalData Managing Director Neil Saunders.

“Anyone who has been to a Costco knows that the gas station is one of the most crowded areas, often with long lines that back up into the parking lot and cause snarls. A fair proportion of visitors are there just for gas,” he posted on RetailWire.

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This story was originally published by TheStreet on Apr 12, 2026, where it first appeared in the Retail section. Add TheStreet as a Preferred Source by clicking here.