73 Million People Now Have Costco Memberships. Should You Join, Too?

In the grand scheme of the personal finance decisions you'll have to make in your lifetime, joining Costco will probably end up being a pretty low stakes bet. Right now, the cost of a basic membership at Costco is just $60 a year. For an Executive membership that gives you 2% cash back on your purchases, you're looking at $120 a year. Compare that to, say, a home or car purchase, and it's peanuts.

Now, you may be interested to know Costco ended its last fiscal quarter with 73.4 million paid household members, up 7.8% from last year. So clearly, consumers are increasingly starting to see the value of a Costco membership.

But is joining Costco the right move for you? It depends on your situation, so ask yourself these questions to figure it out.

1. How close do I live to a Costco?

Shopping at Costco is something everyone should get to experience at least once. Not only might you be amazed by the store's size and inventory, but going there is just plain fun. You get to sample free food, explore new products, and marvel at cheesecakes that are large enough to feed you and your 27 closest friends.

But if you don't happen to live anywhere near a Costco warehouse club store, then you may end up throwing your money away on a membership. Sure, you could tell yourself you'll go on occasion to stock up on household essentials and non-perishables. But if you don't think it's feasible to get to Costco on at least a monthly basis, then it's probably not worth getting a membership.

2. Do I prefer to do most of my grocery shopping online?

As a Costco member, you can order your groceries -- both shelf-stable and perishable -- online if you're someone who doesn't like to do their food shopping in person. But a lot of the savings you'll reap as a Costco member will come in the form of buying bulk groceries in person.

Costco's online prices for non-perishables tend to be higher than the prices you'll pay at the store. And ordering same-day fresh grocery delivery will also cost you extra. These habits will erode the savings a membership offers, so if you don't really plan to hit the store ever, it may not be worth it to join.

3. Will I be able to use the peripheral benefits a membership offers?

When you join Costco, you don't just get access to bulk discounts on food and toilet paper. You can also benefit from the many other services Costco offers, from unique travel packages to optical services to tires for your car.

Before you join Costco, see what additional benefits you'll get with a membership and determine whether you're likely to use them. If you don't see yourself partaking, then there may not be a sense in signing up.

If you're not sure about getting a Costco membership, remember this. If you end up dissatisfied with yours, you can cancel and get a refund at any time. So this really is a low-risk proposition. As such, you may want to join Costco, give it a month or two, and see how things go. You can always cancel and get your credit card refunded if your membership doesn't work out.