Does Costco Take EBT in 2024? What You Can & Can‘t Do

Costco‘s bargain prices on bulk items have fueled its rise to become one of the most popular warehouse store chains, with over 600 locations across the United States. At the same time, Electronic Benefit Transfer (EBT) card usage has grown, with over 41 million Americans relying on it to purchase groceries. This begs the question – can EBT cardholders shop at Costco? Let‘s dive into the details.

The Rising Popularity of Costco and EBT

To understand if Costco accepts EBT, it helps to understand the growth of both.

• Costco membership has boomed, reaching 111.6 million cardholders worldwide as of Q3 2022, up from 103 million in 2021. [1]

• Similarly, EBT usage has risen, with 41.5 million individuals receiving SNAP benefits as of April 2022, up from 35.7 million pre-pandemic. [2]

With Costco‘s warehouses offering discounts on bulk essentials and EBT cards providing grocery funds to millions, it‘s a logical question whether the two can be used together.

The Short Answer – Yes, Costco Accepts EBT

The straightforward answer is yes, Costco does accept EBT cards as a payment method at all their brick-and-mortar warehouse locations. This includes both SNAP and cash benefit EBT cards.

However, EBT cards come with rules on what can and can‘t be purchased. While Costco accepts EBT, cardholders still must follow EBT usage guidelines.

What SNAP EBT Can Be Used For at Costco

In general, SNAP EBT benefits can be used to buy almost any grocery food items at Costco. This includes:

• All fresh produce, fruits, and vegetables
• Meat, poultry, fish, and seafood
• Dairy products such as milk, cheese, yogurt
• Baked goods from the Costco bakery
• Packaged dry goods, cereals, pasta
• Snack foods and candy
• Beverages like juice, coffee, tea, soda

Per federal SNAP rules, these grocery foods are eligible for EBT payment at Costco.

One exception is hot prepared foods from the Costco Food Court, which are ineligible for EBT payment in most states.

SNAP EBT Restrictions at Costco

While SNAP EBT can purchase most grocery items, there are strict limitations on what it cannot be used for at Costco:

• Tobacco and alcohol – Completely prohibited under federal SNAP rules.
• Gas station purchases – Fuel and convenience items cannot be paid for with SNAP EBT.
• Medications, health products – Both prescription and over-the-counter medicines, vitamins, supplements are restricted.
• Pet foods and supplies – Ineligible for SNAP EBT payment.
• Household supplies – Cleaning goods, paper products, disposable utensils, storage items cannot be purchased.

Additionally, some states impose further restrictions on specific items, so check your own state‘s rules. But the above categories can never be purchased with SNAP EBT at Costco.

Using Cash Benefits at Costco

Those who receive cash benefits in addition to SNAP can use their EBT card like a debit card at Costco. The major advantage is that cash benefits are not as restricted and can be used to purchase non-food essentials like:

• Over-the-counter medicines
• Toiletries and hygiene items
• Paper goods, trash bags
• Cleaning supplies
• Pet foods and supplies
• Tobacco (if allowed by state)

However, certain restrictions remain:

• Alcohol and lottery purchases are prohibited
• Costco gas stations do not accept EBT cards as payment

So cash benefits provide more flexibility on non-food items – but not total freedom.

Tips for Using EBT at Costco

If you shop at Costco with your EBT card, keep these tips in mind:

• Check your SNAP balance beforehand so you know your limit. SNAP is replenished monthly.
• Bring another payment method for any non-eligible items, or items once SNAP runs out.
• Avoid buying more perishables than you can reasonably use before expiration.
• Know which items are restricted to avoid problems at checkout.
• Be aware – using SNAP EBT for non-foods may result in your SNAP account being expunged.
• Check your state‘s most up-to-date rules on EBT usage.

The Bottom Line

While Costco happily accepts EBT benefit cards, keep in mind – you must still follow the rules and restrictions on what can be purchased with SNAP versus cash benefits. Overall, Costco can be a great one-stop grocery shop for EBT households looking to buy food in bulk. Just shop carefully and legally within the EBT guidelines.