Yes, you can use SNAP benefits at Costco, but only for certain items and only if you have a Costco membership

Costco is an authorized SNAP retailer, which means the store accepts SNAP benefits (also called food stamps) as payment. However, Costco has two rules that other grocery stores do not: you must have a paid membership to shop there, and you can only buy items that SNAP covers. Many people assume Costco membership costs money they cannot afford, but some Costco locations offer reduced-price memberships for people with lower incomes, and some states have programs that help cover the cost.

The items you can buy with SNAP at Costco are the same as anywhere else — fruits, vegetables, meat, dairy, bread, and other foods meant to be eaten at home. You cannot use SNAP to pay for prepared foods from the deli counter, rotisserie chickens, pizza, or anything sold hot or ready to eat. You also cannot use SNAP for non-food items like paper towels, cleaning supplies, or vitamins, even though Costco sells them.

Key Takeaways

  • Costco accepts SNAP benefits at checkout, but you must have an active Costco membership to enter the warehouse.
  • You can only buy foods that SNAP covers — fresh produce, meat, dairy, bread, and pantry staples — not prepared foods or non-food items.
  • Some Costco locations offer Gold Star memberships at a reduced rate for people with lower incomes; call your local warehouse to ask about income-based pricing.
  • Your SNAP card works the same way at Costco as it does at any other grocery store — swipe it at the register like a debit card.
  • Costco's bulk sizes mean you may spend more per trip than at a smaller store, even though the per-unit price is lower.

How to get a Costco membership if you have a low income

Costco does not advertise a formal low-income membership program the way some warehouse clubs do, but many individual warehouses work with local nonprofits or community programs to offer reduced-price memberships. The best way to find out is to call your nearest Costco warehouse directly and ask whether they have income-based membership options or partnerships with local food banks or community action agencies.

Some states and cities also run programs that help people with SNAP benefits pay for warehouse club memberships. For example, certain food banks distribute Costco membership vouchers to their clients. Contact your local food bank or call 211 to ask whether your area has a program that covers membership costs.

If you cannot get a reduced-price membership, a standard Costco Gold Star membership currently costs money (the exact amount varies by location and changes periodically). A few people use a Costco membership holder's card to shop, but Costco's policy requires the cardholder to be present at checkout, so this is not a reliable option.

What SNAP covers and does not cover at Costco

SNAP covers: fresh fruits and vegetables, meat and poultry, fish and seafood, dairy products, eggs, bread and grains, canned and frozen vegetables and fruits, beans and legumes, nuts and seeds, peanut butter, cooking oils, spices, and other foods meant to be prepared and eaten at home.

SNAP does not cover: hot or prepared foods (rotisserie chicken, deli pizza, prepared salads), vitamins and medicines, pet food, paper products, cleaning supplies, alcohol or tobacco, or food meant to be eaten in the store. At Costco, this means you cannot use SNAP at the food court, and you cannot buy prepared items from the deli case, even if they are in the warehouse.

If you are unsure whether a specific item is covered, ask the cashier before you check out. They can tell you whether SNAP will pay for it. If an item is not covered, you can pay for it with cash, a debit card, or a credit card at the same time you pay for your SNAP items.

How bulk buying at Costco works with SNAP

Costco's main selling point is lower per-unit prices on large quantities. A 10-pound bag of chicken costs less per pound than a 2-pound package at a regular grocery store. However, buying in bulk means spending more money upfront, which can be a problem if your SNAP balance is limited or if you do not have storage space at home.

Before you shop at Costco with SNAP, think about whether you have freezer or pantry space for bulk items, and whether your household will actually use them before they spoil. If you live in a small space or shop for just one or two people, Costco's bulk sizes may not save you money in the long run because food will go to waste.

Some people use Costco for staples they know they will use — rice, beans, canned vegetables, cooking oil — and buy fresh produce and meat at a regular grocery store where they can buy smaller amounts. This approach lets you take advantage of Costco's lower prices without the waste or storage problem.

Using your SNAP card at Costco checkout

Your SNAP card works the same way at Costco as it does at any other store. At checkout, tell the cashier you are paying with SNAP. They will ask you to swipe your card in the card reader, and you will enter your PIN (the same four-digit number you use at other stores). The register will separate SNAP-covered items from items you are paying for with cash or another card.

If your SNAP balance is not enough to cover all your groceries, the cashier will tell you the total for SNAP items and the total for non-SNAP items. You can then decide which items to remove or pay for with another payment method. This happens the same way at Costco as at any other retailer.

Costco does not charge extra fees for using SNAP, and there is no limit on how much you can spend per transaction (though your monthly SNAP balance has a limit set by your state).

Costco membership and other warehouse clubs that take SNAP

Costco is not the only warehouse club that takes SNAP. Sam's Club and BJ's Wholesale also accept SNAP benefits, and both have their own membership requirements and pricing. Sam's Club offers a lower-cost membership tier than Costco in some areas. BJ's has a similar structure to Costco but sometimes runs promotions for new members.

If you are deciding between warehouse clubs, compare the membership cost, the distance to the nearest location, and the types of bulk items each one carries. Some people find that a regular grocery store with a loyalty program gives them better savings than a warehouse club, especially if they live alone or have limited storage space.

Frequently Asked Questions

Do I need to show my Costco card every time I use SNAP?

Yes. You must have an active Costco membership card to enter the warehouse and to check out. The cashier will scan your membership card and your SNAP card at checkout. Without a membership, you cannot shop at Costco, even if you have SNAP benefits.

Can I use SNAP to buy items from the Costco food court?

No. The food court sells prepared and hot foods, which SNAP does not cover. You can only use SNAP for packaged and unprepared foods sold in the warehouse itself.

What happens if I do not have enough SNAP balance to pay for everything?

The cashier will tell you the total for SNAP-covered items and the total for non-SNAP items. You can remove items, pay for non-SNAP items with cash or another card, or come back another time. There is no penalty for not having enough balance.

Is there a limit to how much I can spend with SNAP at Costco?

There is no per-transaction limit at Costco. Your limit is your monthly SNAP balance, which is set by your state based on your household size and income. Once you use your monthly balance, you have to wait until the next month for new funds.

Can someone else use my SNAP card at Costco if I give them my PIN?

Technically, SNAP rules say the cardholder should be the one using the card, but enforcement varies. However, sharing your PIN is risky because the person could use your entire balance. It is safer to go to the store yourself or ask a trusted household member to add their name to your SNAP case.