3 Perks of Buying Tires at Costco

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Tires are now 21.4% more expensive than they were two years ago. Find out if Costco Tire Center can help you get the best value. 

No, it’s not just you. Tire prices have gone up.

The average price of tires has risen 21.4% over the last two years, according to Michael Grabell from ProPublica. That would make a tire that cost $100 about $120 in today’s dollars, while a tire that cost $250 would now be $300.

To make matters worse, you can’t always plan for tire expenses. While a tire purchase could justify dipping into your emergency fund, if you don’t have one you might have to charge it to a credit card and risk carrying a balance.

Against this backdrop of inflation, Costco Tire might offer some relief. Its prices aren’t always the best out there, but when it’s offering promotions, you can save money and get great services. If you’re sick of tire expenses slowing down your personal finance goals, here are three perks to buying them at Costco.

1. Free installation

Costco recently eliminated its tire installation fees. Previously, it charged about $80 to install four tires, which is what most tire shops charge. Now, it’s free for tires purchased from Costco Tire Center. To underscore how significant this is, consider that both Sam’s Club and BJ’s charge $80 to install four tires, while Tire Discount will charge $88. If you don’t plan on installing your own tires, you could save about $80 right out the door just by buying them at Costco Tire Center.

2. Tire protection and maintenance

Most tires purchased and installed at Costco come with a free five-year roadside hazard warranty (some heavy truck tires may not qualify). Under this warranty, Costco will repair tires that have been rendered unserviceable due to cuts, punctures, or other non-repairable damage. To qualify, your tires have to be above a tread depth of 1.6 mm and must be properly inflated, as well as rotated and balanced regularly.

For comparison, Walmart sells a similar road-hazard warranty for $10 per tire. Discount Tires also sells a similar service, but the price is significantly higher and can swing wildly from as low as $100 to as high as $200 or more for four tires.

Additionally, Costco will also give you lifetime maintenance service for each tire. This includes tire rotations, air pressure checks, rubber valve stem replacements, and balancing. It will also fill your tires with nitrogen, not regular air. This could boost your gas mileage by slowing down the rate at which your tires lose pressure. Tire shops typically charge between $3 and $10 to fill tires with nitrogen, another cost to consider when comparing Costco to competitors.

3. Tire promotions

Finally, Costco frequently runs promotions on select tire brands. In the past, these promotions were often a combination of the manufacturer’s savings and a discount on Costco’s installation fee. Now that installation is free, the tire promotions have been the manufacturer’s discount only.

For example, Michelin is offering $50 off to Costco members when you buy four or more Michelin tires and spend $899.99 or less. For Michelin tire purchases above $900, you’ll get $100 off — $70 from Michelin and $30 from Costco (offer is through Oct. 22, 2023).

This is where buying tires at Costco can pay off. Getting $50 to $100 off could bring the price of tires well below that of other tire stores. If we then add in the other benefits — five-year roadside hazard warranty, free installation, lifetime maintenance, nitrogen — you could be getting the most value for the lowest price.

One potential caveat: Manufacturer’s promotions could restrict you to a brand that may not offer the lowest price for your car. For example, if you’re replacing tires on a 2022 Toyota Camry, you could pay roughly $783 for a full set of Firestone Firehawk tires. That’s the lowest price Costco is offering for your car. The cheapest Michelin tire for a Camry is the Pilot Sport All Season 4. After the discount, you would pay $891 — $108 more.

Should you buy tires from Costco?

When it comes to buying tires, comparison shopping will be the key to getting the best value. To be clear, best value doesn’t mean the lowest retail price on tires. You might find a $180 tire that Costco sells for $185, but when you add in Costco’s other perks (free installation and the 5-year roadside warranty), it might offer you the best value.

Still, it pays to shop around and compare Costco’s tires to other retailers, like Tire Discount and Walmart. You might not be able to stop inflation from making tires more expensive, but by being discriminating about where you buy them, you could do yourself a favor and get the best deal.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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