how much do forklift operators make at costco

1. The Hourly Wage Scale (2026)

Costco does not pay flat rates based solely on experience; instead, they utilize a "Step System." Every 1,040 hours worked (approximately six months of full-time work), an employee moves up to the next pay bracket.1

Starting vs. Experienced Pay

Starting Pay: New hires entering as Forklift Operators (often categorized as Service Clerks) typically start around $18.50 – $20.00 per hour, depending on the specific region’s cost-of-living adjustments.

Mid-Career (3–4 years): Operators with roughly 6,000–8,000 hours typically earn between $24.00 and $28.00 per hour.

Top-of-Scale ("Topped Out"): Long-term operators (those who have cleared the 9,000–10,000 hour mark) are currently capping at roughly $32.00 – $33.00 per hour base pay.

The "Forklift Premium"

Costco often treats forklift operation as a "clerk-level" responsibility. In many warehouses, operators receive a $1.00 per hour premium specifically for the hours spent actively operating the lift. If an operator spends six hours on the lift and two hours on the floor, that premium applies only to the high-skill operation time.

2. Mandatory Premiums and Differentials

The true "technical" value of a Costco paycheck comes from the non-negotiable premiums mandated by the Costco Employee Agreement.

Pro Tip: Because Costco warehouses are stocked in the early morning (often 4:00 AM – 10:00 AM), most forklift operators work "Morning Merch" shifts, which regularly trigger shift differentials.

3. The "Extra Check" (Bonuses)

Once an employee "tops out" on the wage scale, they become eligible for semi-annual bonuses, known internally as "Extra Checks." These are paid out every April and October.

Eligibility: Starts after reaching the highest step of the pay scale (usually 5+ years of service).

Payout Amount: These range from $2,500 to $5,000 per check ($5,000 – $10,000 annually), increasing with years of seniority.

Impact: For a topped-out forklift operator, these bonuses can effectively raise their total annual compensation by an additional $4.00 – $5.00 per hour when averaged over the year.

4. Total Annual Compensation Analysis

For a full-time (40 hours/week) Forklift Operator in a high-cost area like California or Washington, the 2026 earnings breakdown looks like this:

The "Entry Level" Profile

Base: $19.00/hr × 2080 hrs = $39,520

Sunday Pay (Approx 40 Sundays): ~$3,000 extra

Total: ~$42,500/year

The "Topped Out" Senior Profile

Base: $33.00/hr × 2080 hrs = $68,640

Sunday Pay (45 Sundays): ~$7,400 extra

Semi-Annual Bonuses: $7,000 (avg)

Total: ~$83,040/year

5. Benefits: The "Invisible" Salary

Technical compensation at Costco includes one of the industry's highest-rated benefit packages, which has a significant cash-equivalent value:

Healthcare: Premiums are notoriously low (often under $50/month for individuals) with high coverage limits.

401(k) Matching: Costco provides a non-elective contribution (they put money in even if you don't) plus a generous match.

Paid Time Off (PTO): Accrual rates increase significantly after the 2nd, 5th, and 10th years.

6. Geographic Variations

While Costco has a unified pay scale, specific regions (San Francisco, New York, Hawaii) may feature a "Geographic Differential" of $1.00 to $3.00 extra per hour to account for extreme cost-of-living differences.