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Joining a warehouse club like Costco may help you save money, but it isn’t a guarantee. Check out some of the ways you may overspend at Costco.
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For many people, shopping at a warehouse club can result in significant savings. Buying everyday essentials in bulk can be cheaper than buying them in smaller quantities at traditional stores. But if you’re not careful, it can be easy to overspend while shopping at warehouse clubs like Costco. It’s essential to consider your budget before you start loading up your cart, or your checking account may suffer. To help guide you, we’ve outlined a few of the most common ways people waste money while shopping at Costco.
1. Shopping without a plan
No matter where you shop, having a plan before you go is best. It’s easy to overspend when you don’t have a shopping list. The last thing you want to do is rack up expensive credit card debt from adding unnecessary items to your cart. As you create your list, check out the Costco mobile app or website to get a feel for current sales and product availability.
2. Buying bulk items that you won’t use before they expire
Many of the products sold at Costco are sold in bulk. The savings can be significant for everyday items you go through often. But make sure you look at expiration dates as you shop to avoid wasting your money.
You may waste food and money if you buy more than you need or are able to use. I’ve made this mistake myself. I once bought a gigantic tub of cookie dough, because who doesn’t want a never-ending supply of chocolate chip cookie dough? Since I live in a two-person household, I had to throw a lot of excess cookie dough away because it expired before we finished the tub.
3. Joining before reviewing club locations
A Costco membership may be worthwhile if you have a club nearby your home. But if you have to drive far to do your shopping, joining may not make sense. Some people purchase a membership only to realize that they don’t want to make the drive regularly. Before joining, you should review club locations and consider the time and cost to get there.
4. Falling for impulse buys
Costco wants you to spend more money because it makes the company more money. You may notice new-to-you items that attract your attention as you push your cart through your local club. While it can be fun to try new things sometimes, be cautious not to fall for every new item you see. Many shoppers waste money at Costco because they continuously fall for impulse purchases — and they later find out they don’t like or use what they buy.
5. Forgetting to compare prices
Costco has many great deals, but not every buy is a win for your wallet. You can find the best prices by comparing Costco’s prices with that of area competitors. Some items may be best to purchase at Costco. However, you may get a better price on some items by buying them elsewhere. Pay attention to price, brand, product size, and expiration date as you shop.
Be cautious not to spend more than necessary
If you’ve been considering joining a warehouse club like Costco, being aware of common mistakes like the ones above can help you avoid wasting your hard-earned money. Should you join a warehouse club in 2023? Maybe. But be sure to consider your personal finances and check to see if the products you purchase most are available at Costco.
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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.Natasha Gabrielle has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.
