Spending too much at Costco

[sunnysideup]

Just my general experience:

I have had memberships at either BJ's or Costco over the past 25 years. I like BJs better but they are a quite a hike from where I live....I have found that especially Costco does not save us much money on the basics, but one-off items tend to be better deals. I also save alot in the over the counter medicines and vitamins, as long as we can use them prior to expiry. DH loves their cheese selection and he, by himself, will eat the huge portions that they sell..

So I never buy paper goods or detergents because I can do better at the local supermarket with sale, and the quantities are better for a small family. I have noticed that the sizes are increasingly larger and it is getting harder for a couple to use fresh foods that cannot be frozen, unless we want to eat them for 5 days straight.

When I look at what people are buying at Costco while I am in line for checkout, it's no surprise that the company is doing well. I think it takes a certain level of discipline to get through that store without overspending!!!

By the way, the one thing I love about Costco is their level of customer service. I do think that is one area they excel.

 

[LOL!]

The blueberries were $5.49 for 18 oz. You're telling me I can get 64-128 oz of blueberries in Houston for $5.49?

No, I said $2.50 a pound (1.33 pints) for fresh picked. Spouse says 2 pints for $5 recently at Kroger for Chilean blueberries.

A problem I have is that too much food rots before it is eaten. I would rather buy fresh food every other day (I can go by the grocery store on the daily dog walk with no trouble at all).

Blueberries keep well, but not raspberries, strawberries, nor blackberries.

 

[harley]

No, I said $2.50 a pound (1.33 pints) for fresh picked. Spouse says 2 pints for $5 recently at Kroger for Chilean blueberries.

A problem I have is that too much food rots before it is eaten. I would rather buy fresh food every other day (I can go by the grocery store on the daily dog walk with no trouble at all).

Blueberries keep well, but not raspberries, strawberries, nor blackberries.

I don't worry too much about wastage from Costco. It only happens with certain items, like salad mix and berries. But they are so much cheaper than in a regular grocery store that I figure we can lose about 1/4 of the item and still come out ahead cost-wise. I don't like to waste food, but sometimes it happens. I'd still rather save the money.

 

[gerntz]

You're either spending too much overall or you're not. Costco really isn't the issue.

 

[daylatedollarshort]

I have a budget by category, not store. Shopping at Costco is usually a real money saver as long as I keep to the overall budget. I did buy too much fresh, organic produce there this past month with short storage times. I ended throwing out some of it before we could eat it all. I know not to do that again this month.

 

[Amethyst]

Lately, I've been lining the salad-mix boxes with paper towels (takes about 30 seconds - don't even have to remove all the mix) and the mix stays fresh up to ~10 days (all bets are off during the hottest months, but that's true of everything in the fridge). The towels seem to absorb just enough moisture.

Amethyst

I don't worry too much about wastage from Costco. It only happens with certain items, like salad mix and berries. .

 

[Independent]

Sounds like our Costco spending is not out of line. Therefore, the problem is the other $7,000 we spent in 2014 at Walmart & Kroger & Target. Some of that is not groceries - gifts and crafts and stuff that are hard to split out by transaction - but still seems way too high for 2 people.

$10,500 for Costco, Kroger, Walmart, and Target combined does put you over the average. Of course, your income could be well over average, too.

If you're interested, I posted something on averages here:
http://www.early-retirement.org/forums/f28/consumer-expenditures-survey-74306.html

 

[GTFan]

soupcxan, that doesn't look out of line to me. I spent $164 at the grocery store today and there are only the two of us.

Yeah I'm not seeing how spending $300 a month at Costco is a big deal as long as you're getting stuff you'd normally buy anyway.

 

[GTFan]

Sounds like our Costco spending is not out of line. Therefore, the problem is the other $7,000 we spent in 2014 at Walmart & Kroger & Target. Some of that is not groceries - gifts and crafts and stuff that are hard to split out by transaction - but still seems way too high for 2 people.

Now that IS way out of line for two people combined with the Costco spending (at least for us it would be), but if you have the money and it makes you happy does it matter?

 

[MooreBonds]

Blueberries keep well, but not raspberries, strawberries, nor blackberries.

My parents have a Costco membership, but I don't (they're out of town a majority of the time, so I'll ask them to pick up some stuff for me every now and then). I do about 95% of my shopping at the Aldi's right by my house, and for fruit, I find that blackberries and blueberries freeze exceptionally well. Whenever Aldi's has them on sale, I'll buy several plastic cartons and simply throw them in the freezer, and take one out every now and then to enjoy over a course of a week. Haven't tried freezing strawberries or raspberries (not a big fan of raspberries).

The challenge with Costco is that they do have excellent values - but often they're items one might go without. For example, you could buy 'regular' cheese for maybe $4-$5/lb at your local grocery store, but Costco has upgraded cheeses for maybe $7-$9/lb. It's still a good value - but not necessarily something you would consciously buy at your local grocer. So multiply that out by a larger size portion (more $ per lb and a larger package), and over many many products, and it's easy to have "Costco Creep" on your grocery budget. Not that it's a bad thing - as long as you are aware of it.

 

[W2R]

$10,500 for Costco, Kroger, Walmart, and Target combined does put you over the average. Of course, your income could be well over average, too.

No matter what their income, it sounds exhausting to shop that much.

I am happy if I can get out of costco for less than $180/trip. That does require restraint.

Yikes. Maybe it's just as well that I haven't yet got around to exploring our new-ish Costco.

 

[daylatedollarshort]

There was a whole Seinfeld episode on Kramer buying too much stuff at a warehouse store called Price Club (which later merged with Costco):

 

[Chuckanut]

The trick is to avoid the 'treasure hunt' items and stick to things your experience says are a better buy at Costco because of superior pricing or quality or both.

It's so easy to see something special that you didn't know you wanted or needed until you saw It at Costco. Then, you walk out the door with it.

http://www.boston.com/business/articles/2011/07/06/hidden_treasures_drive_impulse_buys/

"Costco has long used the term “treasure hunt’’ to explain why up to a fifth of its stock is limited-quantity items kept in stores for as little as a week. Sometimes it’s seasonal items, such as margarita machines in summer. Often it’s surprisingly trendy, such as bargain-priced Hunter rain boots."

 

[PhrugalPhan]

I don't doubt the numbers being thrown about are considered normal, but wow are they so much higher than my bills. I spend (for just myself) maybe $1500/year at Aldi's, and certainly less than $500 for my remaining needs of food, vitamins, cleaning supplies, personal toiletries, etc... everywhere else (Walmart, CVS, BJ's, etc...). I guess no alcohol and very little red meat helps me, but still, wow. Today's Aldi's trip came to $20 for the week + plus $4 at CVS to stock up on sale items (4 12-packs of diet coke, 2 bottles dish detergent, 1 bottle shampoo & an Easter egg).

That said, I did have a BJ membership through my GF last year. Mostly used it to get 3 things I couldn't get cheaper elsewhere (protein powder for my workouts, vitamins, and specialty teriyaki sauce). Only reason I would bother going is it a mile from my office, so I could stop on the way home without a special trip.

 

[ChrisC]

Made me look at my end of year summary: $15K. We upsized our residence last year; this includes 3 TVs, new computer/printer, new tires on two vehicles, some furniture pieces. Fuel came out to $900. I also had a BJ's membership but used it for groceries, mainly. Since moving, I gave up the BJ's membership; we also go to Aldi's, Walmart, Publix, Harris Tetters and Trader Joes, too. But Costco's is our main squeeze

I'm finding we're spending far too much time in retirement in grocery stores. There's just two of us. It's not just the frequency of the visits, but we're really getting slow in shopping. Anyone else experiencing this?

 

[FANOFJESUS]

There was a whole Seinfeld episode on Kramer buying too much stuff at a warehouse store called Price Club (which later merged with Costco):

So true.

 

[rbmrtn]

I don't doubt the numbers being thrown about are considered normal, but wow are they so much higher than my bills. I spend (for just myself) maybe $1500/year at Aldi's, and certainly less than $500 for my remaining needs of food, vitamins, cleaning supplies, personal toiletries, etc... everywhere else (Walmart, CVS, BJ's, etc...). I guess no alcohol and very little red meat helps me, but still, wow. Today's Aldi's trip came to $20 for the week + plus $4 at CVS to stock up on sale items (4 12-packs of diet coke, 2 bottles dish detergent, 1 bottle shampoo & an Easter egg).

Your numbers are like mine. ~$2K last year for food/toiletries/household items.
No costco nearby so WalMart gets a major chunk.

 

[FANOFJESUS]

Made me look at my end of year summary: $15K. We upsized our residence last year; this includes 3 TVs, new computer/printer, new tires on two vehicles, some furniture pieces. Fuel came out to $900. I also had a BJ's membership but used it for groceries, mainly. Since moving, I gave up the BJ's membership; we also go to Aldi's, Walmart, Publix, Harris Tetters and Trader Joes, too. But Costco's is our main squeeze

I'm finding we're spending far too much time in retirement in grocery stores. There's just two of us. It's not just the frequency of the visits, but we're really getting slow in shopping. Anyone else experiencing this?

You post shocked me. 15k WOW We live on 17k LOL

 

[Walt34]

I'm finding we're spending far too much time in retirement in grocery stores. There's just two of us. It's not just the frequency of the visits, but we're really getting slow in shopping. Anyone else experiencing this?

Not yet but I do sometimes find myself more willing than usual to dawdle and look at stuff not on the list. But if DW comes with me the time we spend (and the bill) is much higher. This is happening more frequently since now we tend to hit the grocery store right after going to the gym since it is sort of on the way home. I am much better than DW at sticking to what is on the list. Not claiming perfection mind you, just better at it.

 

[harley]

I can go into Costco and come out having spent $5.99 (or whatever). Not once have DW and I gone in together and spent less than $100. Not one time.

 

[Walt34]

I can go into Costco and come out having spent $5.99 (or whatever). Not once have DW and I gone in together and spent less than $100. Not one time.

Wow, you need to lock her in the trunk before you go in!

 

[audreyh1]

Our annual grocery bill dropped significantly once a Costco opened down here. I started a thread on that over a year ago, I think.

So we didn't experience "Costo creep", rather "Costco shrink".

 

[kannon]

I have to smile when I read this thread.

Wife and I hit Costco about 2x a week. It's near by so doesn't cost much for gas. Between filling up of family cars and milk and fresh fruits, twice a week is about average. I know it's shameful to omit but we go around lunch time to enjoy the samples and the very reasonable food service.

I have a ballpark of what we spend at Costco but it really doesn't matter. As long as you buy wisely, Costco will save you money in terms of price and quality. Just milk along saves us a fortune. Just have to be careful about impulse buying and buying too much and spoilage (I have to split the huge bag of spinach with coworker - just too much to eat for one family before spoiling).

Oops - we're low in milk. Have to hit Costco Monday for lunch, err I mean food shopping.

Kannon

 

[athena53]

I was downloading our credit card charges onto a spreadsheet so I could classify them and ran into one from Costco ($277) that was way higher than the others and couldn't remember what it was. I was considering asking someone at the store to look it up and then remembered- I'm on one prescription and that's it. When I last filled it at our local grocery store pharmacy 6 months ago it was 10% less, but that could just be the usual Big Pharma grab for more money. I suspect the price is a function of what my insurer negotiated and Costco doesn't get a better price. So, sadly, it's a legitimate expense.

 

[harley]

I know it's shameful to omit but we go around lunch time to enjoy the samples and the very reasonable food service.

Ah yes. The AARP Buffet. I try to avoid Costco at lunch time.

Wow, you need to lock her in the trunk before you go in!

That would solve a number of financial issues, but perhaps impact a more important physical one.