If you are a business owner in need of an accounting software or if you are currently using Quickbooks Online but without a discount, now is the time to take a look at the Costco business services section.
Currently, Costco is offering discounts on Quickbooks Online but only for their Executive Members.
This is not a review of QuickBooks Online so you will not find any pros and cons of using the service itself. This is just a comparison between the direct purchase vs the Costco purchase of the online service/subscription.
Recouping the cost of $110 Costco Executive Memberships
Previously, we’ve discussed ideas on how you can get free membership at Costco and one of them is getting the Executive Membership. If you are a business owner who is not a member or who has Costco Business or Gold Star membership, then it is highly recommended to purchase or upgrade to the Executive Membership.
Come to think of it, if you are going to buy Quickbooks Online outside of Costco at regular price, wouldn’t it make sense to purchase the Executive Membership for $110 and get the discount of $144 using the Costco QuickBooks Online services? You are practically getting your Executive Membership for free!
Previously, we’ve discussed about the benefits of Executive Membership such as getting a 2% rebate. Unfortunately, the payment for the Quickbooks Online is not included in the the 2% rebate.
Below are the most common questions tackling the similarities and differences when purchasing QuickBooks Online at Costco vs. Direct:
1. What plans are offered at Costco vs. Direct?
If you purchase Quickbooks Online directly, you will find 4 Pricing Plans: Self-Employed, Starter, Essentials and Plus.
The plans at Costco are limited to Plus and Essentials only.
2. Is there a free-trial?
There is a 30-day free trial on QuickBooks Online whether you purchased it directly or through the Costco Business Services.
3. How much is the Costco Quickbooks Online discount?
As mentioned before, the discount in purchasing through Costco is very substantial and you can save a minimum of $84 per month vs purchasing it directly.
a. Plans without payroll
Comparing it apples to apples, where the payment method is monthly, the savings using Costco is actually $12/mo ($144 annual) on Essentials plan and $18/mo ($216 annual) on the Plus plan.
When you purchase direct from QuickBooks, they have a special discount if you pay annually. For the annual payment, the equivalent monthly bill is reduced to $21 per month from $27 per month for the Essential plan. However, you still come out ahead with Costco QuickBooks Online with the convenience of paying on a monthly basis!
b. Plans with Payroll
If you are signing up for service with a payroll feature, then you can save $84 per month at the minimum (again we are comparing apples to apples where you pay on a monthly basis). You can see the big difference when you use the payroll service since the Costco Services offers you a $2 discount (50% off) per employees. So if you have 10 employees, that’s $20 per month ($240 per year) in discounts.
Costco is currently offering a 33% discount for the first six months of using QuickBooks Online with a payroll feature so this should provide you additional savings on top of the other ones we previously discussed!
$21/mo Billed Annually
|Essentials with Payroll||$43.99/mo
$24.99/mo first 6 mos.
Plus $2/mo for each
$40/mo Billed Annually
Plus $4/mo for each
$30/mo Billed Annually
|Plus with Payroll||$52.99/mo
$29.99/mo first 6 mos.
Plus $2/mo for each
$50/mo Billed Annually
Plus $4/mo for each
Aside from the pricing differences, the rest of the terms and conditions are pretty much the same for both the Costco QuickBooks Online and direct purchase and you can check them here if you need additional information: Costco QuickBooks Online terms and conditions and QuickBooks Online terms and Conditions.
As stated previously, if you are going to purchase QuickBooks Online anyways, it is best to become an Executive Member at Costco and utilize the savings. You are pretty much getting the membership for free if you do so!