Here's How To Use Your Costco Membership To Save Money When Dining Out

Going out to eat is getting more and more expensive, making it a rare treat these days. If you're a Costco member, it's worth taking advantage of a perk that can save you money when you dine out. Those big racks of gift cards aren't just good as presents; since they are worth more than they cost, you can get yourself cards to some of your favorite restaurants, and pay less for your meal than you would otherwise. For example, you can purchase a Costco gift card to enjoy Outback Steakhouse's flavorful steaks. The online-only card costs $80 for a pack of two $50 cards, meaning you've saved yourself $20. You can also get a pack of two $50 cards to spendy Morton's Steakhouse, also online, for $80. Think of it this way: The most expensive item on Morton's menu is a $72 steak and lobster dinner, so it's worth getting a deal there. 

Other well-known restaurants to pick from include a pack of four $25 gift cards for P.F. Changs for $80, and four $25 gift cards for IHOP for $70. If you aren't sure where you want to go, there's a $100 value gift card for Landry's multi-brand restaurants for $80, which is valid at a large range of restaurants including Rainforest Cafe, Bubba Gump, Morton's, and Mitchell's Fish Market.

If you want to get even more of a deal from dining out, there's a little-known Costco perk you can only get with an Executive membership.  While the $130 a year cost isn't cheap, this level of membership gives back an annual 2% award. What that means is that you're earning back money on every purchase you make, including purchases of gift cards. This could earn you up to $1,250 back per year based on how much you spend at Costco. If you're a frequent shopper, this type of deal may make sense for you.

Before you head out and buy all the Costco restaurant cards with plans for discounted eating, know that the cards are not refundable. They're actually one of the very few purchases from Costco that can't be returned, so don't be caught off guard by this. Think carefully about if you're really likely to go to the restaurant, or if it just sounds good because it's cheaper; after all, Morton's is still expensive, even with that gift card. Also keep in mind that the gift cards you find in store may not be the full selection of what's available, so check out Costco online as well to make sure you don't miss out on a favorite place. There are also gift cards for a number of lower price point chains, making Costco gift cards a genius way to save money on fast food.