Shopping in bulk can stretch a household food budget significantly, making wholesale clubs a popular choice for families using government assistance. However, using your benefits through digital platforms is not always straightforward. For those asking does costco take ebt online, the answer is yes, but the service requires specific third-party workarounds depending on how you want your groceries delivered.
While all physical warehouse locations in the United States accept Electronic Benefits Transfer (EBT) cards at the register, the rules for online orders are more complex.
This guide breaks down the partnership between Costco and Instacart, the rules regarding membership requirements, the list of eligible items, and how to handle secondary fees.
The Instacart Workaround for Same-Day Delivery
Costco does not process EBT payments directly on its main website for standard shipping orders. If you add items to your cart on Costco.com and try to check out with standard ground shipping, you will find that the EBT card option is unavailable.
Instead, online EBT usage is facilitated through Costco’s Same-Day Delivery portal, which is powered entirely by Instacart.
To shop online with your food stamps, you must link your EBT card to your Instacart profile.
This can be done either directly through the Instacart mobile application or by visiting the dedicated same-day delivery subdomain on Costco’s website.
Once your card is linked, you can select your local warehouse, browse eligible food products, and apply your Supplemental Nutrition Assistance Program (SNAP) balance at checkout.
Do You Need a Costco Membership to Shop Online with EBT?
One of the greatest benefits of the Instacart partnership is that it bypasses the strict club membership requirement. Under normal circumstances, you must pay an annual membership fee to enter a physical warehouse or buy goods online.
However, if you shop through the Instacart app, you do not need a membership card.
The drawback is that non-members are charged slightly higher prices per item compared to what members pay in the store.
If you are a member, you can link your membership number to your Instacart account to unlock the standard warehouse pricing.
Keep in mind that EBT funds cannot be used to purchase or renew a Costco membership; the annual membership fee must always be paid using a credit card, debit card, or cash.
If you need to link a bank account to cover these secondary shipping fees, you can find your details using our guide on the Chime routing number lookup system.
Understanding Eligible and Non-Eligible Items
When shopping online, the system automatically separates your cart into SNAP-eligible and non-eligible items. Because the federal government regulates what can be bought with EBT, the checkout portal will apply your food stamp balance only to approved food items.
The table below outlines what you can and cannot buy when ordering from Costco online using EBT.
| Eligible Items (SNAP Approved) | Non-Eligible Items (Requires Secondary Payment) |
|---|---|
| Fresh Produce: Fruits, vegetables, salad kits | Hot Prepared Foods: Rotisserie chickens, hot pizza slices |
| Pantry Staples: Flour, rice, cooking oils, spices | Household Goods: Toilet paper, laundry detergent, trash bags |
| Meat and Seafood: Beef, chicken, salmon, frozen shrimp | Pet Supplies: Dog food, cat litter, chew toys |
| Dairy Products: Milk, cheese, butter, yogurt | Delivery Charges: Service fees, delivery fees, driver tips |
If you have non-eligible items or fees in your cart, you must provide a secondary payment method, such as a Visa debit or credit card, to cover the remaining balance before the order can be processed.
Handling Delivery Fees and Driver Tips
Federal law prohibits using SNAP benefits to pay for administrative fees, shipping, taxes, or tips. When you place a same-day delivery order through Instacart, you will face several extra costs beyond the price of the food.
These include:
- Instacart Service Fee: A percentage-based fee charged by the platform for processing the order.
- Delivery Fee: The cost of having a shopper drive the groceries to your residence.
- Driver Tip: A voluntary but highly recommended gratuity for the person shopping and delivering your order.
To complete your purchase, you must have a backup payment card on file.
Instacart will place a temporary authorization hold on your debit or credit card to cover these fees.
Once the shopper completes the delivery, the exact final total for fees and tips is charged to your secondary card, while the food cost is deducted from your EBT balance.
Troubleshooting Declined EBT Payments Online
If your transaction is declined during checkout, it is usually due to a few common system errors.
First, verify that your backup card has enough funds to cover the temporary authorization hold for delivery fees, which is often slightly higher than the final fee total.
Second, check your EBT balance before ordering.
If your cart total for eligible items exceeds your remaining SNAP balance by even a few cents, the entire transaction may fail.
You can resolve this by adjusting the payment allocation sliders in the app, directing the system to charge the excess food cost to your secondary debit card.
Common Questions Regarding Costco’s Online EBT Policy
Under what terms does costco take ebt online for grocery orders?
Costco accepts EBT cards online exclusively for same-day delivery orders powered by Instacart. You must link your EBT card to your Instacart account or shop through Costco’s same-day delivery website. Standard shipping orders on Costco.com do not support EBT payments.
Can I buy Costco rotisserie chicken online using EBT?
No. Under USDA guidelines, hot, prepared foods intended for immediate consumption, such as Costco’s famous rotisserie chickens or hot court pizza, are not eligible for SNAP purchase, whether you buy them in the warehouse or order them online.
Do I get the same prices online as I do in the warehouse?
No. Items ordered online through same-day delivery carry a markup to cover the cost of shopping and delivery. If you are not a Costco member, the prices are marked up even higher. Linking your membership card to the app ensures you get the lowest available online price.
Can I use my EBT card to pay for a Costco membership online?
No. Federal regulations restrict the use of SNAP benefits strictly to eligible food items. Annual membership fees, retail merchandise, and gift cards must be paid for using traditional payment methods like debit cards, credit cards, or cash.
What happens if an eligible item is out of stock?
If a food item you ordered is out of stock, your Instacart shopper will select a replacement based on your preferences. If the replacement is more expensive, the extra cost will be charged to your EBT card (if funds are available) or your backup card. If it is cheaper, you will receive a refund to your EBT account.
Disclaimer: SNAP regulations, EBT acceptance rules, and retail partner arrangements are managed by the USDA and private retail platforms, which are subject to change. This guide is for informational purposes only and does not constitute official legal or government benefit advice.
