Should You Pay for Amazon Prime and a Costco Membership?

Both Amazon (NASDAQ: AMZN) and Costco (NASDAQ: COST) market themselves as low-cost shopping options for consumers. That's certainly true, but those deals come with a cost.

Joining Amazon Prime, which gets you unlimited free shipping (usually one-day, sometimes two-day), costs $119 per year, or $12.99 per month. Becoming a Costco member costs either $60 for a basic membership or $120 for an Executive membership that gets you 2% cash back (up to $1,000 per year) on most purchases.

Both companies have strong offers, but does it make sense for consumers to pay for both? The answer is somewhat complicated, and it's not the same for everyone.

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Source Fool.com