A longtime Costco cashier is proving that even everyday workers can become millionaires.
Tony Barzar, 60, has spent nearly four decades with the warehouse retailer, growing his retirement savings to more than $1 million while working an hourly job in Tucson, Arizona. Today, he earns $32.90 an hour, owns a three-bedroom home with a pool, and has traveled to Europe twice—all thanks to decades of steady employment, disciplined investing, and Costco’s employee benefits, reports Moneywise.
Barzar began working for Costco’s predecessor, Price Club, in 1986, collecting shopping carts in a parking lot for $5.85 an hour. When the company transitioned to a 401(K) retirement plan in 1993, he began contributing a portion of every paycheck to the account. His strategy was simple: keep contributing as his wages increased and let compound growth do the heavy lifting.
Looking back on his financial journey, Barzar admitted he never imagined where his career would lead.
“I didn’t think me and my family would reach where we sit now,” Barzar told The Wall Street Journal.
Although he’s financially able to stop working, retirement isn’t on his immediate agenda.
“I could retire. But what would I do? Costco has been good to me,” he said.
Barzar credits more than his paycheck for his financial security. After his wife was diagnosed with stage 3 brain cancer, Costco’s health insurance covered the full cost of her three brain surgeries—a benefit Moneywise described as “so comprehensive” that it eliminated what could have been devastating medical expenses.
His experience isn’t unique. According to Costco Chief Financial Officer Gary Millerchip, “many thousands” of the retailer’s U.S. hourly employees now have more than $1 million in their 401(k) accounts, reports Yahoo Finance.
Costco has long differentiated itself by paying above-average wages and rewarding employee longevity. The company recently raised its top hourly wage to $32.90, increased annual bonuses, and added another week of paid vacation for employees with at least 30 years of service. The retailer believes retaining experienced workers costs less than constantly hiring and training new employees—a philosophy Moneywise says “runs counter to most of the retail industry.
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Source: Black Enterprise
