- Both Amex Blue Cash cards cap their supermarket bonus at $6,000 a year, then pay 1%. On $1,000 a month ($12,000 a year) in supermarket spend, the Blue Cash Preferred earns $360 (6% of the first $6,000) plus $60 (1% of the rest), or $420, minus the $95 fee: $325 net. The no-fee Blue Cash Everyday earns $180 plus $60, or $240. The Preferred wins by $85.
- The Preferred pays for its $95 fee once you spend about $3,167 a year at U.S. supermarkets, and it stays ahead at every spend level above that. Its edge tops out at $85 a year once you reach $6,000.
- Past $6,000, neither Amex card is the best place for extra grocery spend. A flat 2% cash-back card beats the 1% both cards pay above the cap.
- Most high-rate grocery cards exclude Walmart, Target, and warehouse clubs (Costco, Sam's Club) from the grocery bonus category. Know where you actually shop before choosing a card.
Quick answer
The best grocery credit card for most households is one of the two Amex Blue Cash cards. Both cap their supermarket bonus at $6,000 a year and then pay 1%: the Blue Cash Preferred pays 6% for a $95 fee ($0 the first year), and the Blue Cash Everyday pays 3% with no fee. If you spend more than about $3,200 a year at U.S. supermarkets (roughly $265 a month), the Preferred comes out ahead after its fee, by up to $85 a year. Below that, the Everyday wins. If you spend more than $6,000, put the extra on a flat 2% card rather than earning 1%. Two checks before applying: confirm your store codes as a supermarket (Walmart, Target, and Costco do not), and only chase grocery rewards if you pay in full each month, since interest at the average card APR of 24.00% erases them fast. These are the best grocery credit cards 2026 has to offer for maximizing rewards without overpaying on annual fees.
Quick picks
- Pick
- Amex Blue Cash Preferred
- Why
- 6% at U.S. supermarkets (up to $6,000/yr, then 1%), $95 annual fee ($0 first year)
- Pick
- Amex Blue Cash Everyday
- Why
- 3% at U.S. supermarkets (up to $6,000/yr, then 1%), no fee
- Pick
- Amex Blue Cash Preferred plus a flat 2% card
- Why
- 6% on the first $6,000, then 2% on the rest instead of 1%
- Pick
- Citi Custom Cash
- Why
- 5% on your top eligible category each billing cycle, up to $500 spent, then 1%
- Pick
- Chase Freedom Flex or Discover it
- Why
- 5% on groceries only in quarters that include them
- Pick
- Capital One Walmart Rewards
- Why
- 5% on Walmart.com and the Walmart app (including grocery pickup and delivery), 2% in Walmart stores
- Pick
- Costco Anywhere Visa by Citi
- Why
- 2% at Costco, 4% on eligible gas and EV charging (first $7,000/yr), no annual fee with Costco membership
Verify current reward rates, caps, and annual fee terms with each issuer before applying.
Dollar impact: annual grocery rewards at different spend levels
$300/month ($3,600/year) at U.S. supermarkets:
- Amex Blue Cash Preferred (6% up to $6,000): $216 - $95 fee = $121 net
- Amex Blue Cash Everyday (3% up to $6,000): $108 - $0 fee = $108 net
- 2% flat-rate card (no grocery bonus): $72 net
- Preferred advantage: +$13 a year, just past the $3,167 break-even
$500/month ($6,000/year) at U.S. supermarkets:
- Amex Blue Cash Preferred: $360 - $95 = $265 net
- Amex Blue Cash Everyday: $180 - $0 = $180 net
- 2% flat-rate card: $120 net
- Preferred advantage: +$85 a year, the most it can ever win by
$1,000/month ($12,000/year) at U.S. supermarkets:
- Amex Blue Cash Preferred: $360 (first $6,000 at 6%) + $60 (next $6,000 at 1%) = $420 - $95 = $325 net
- Amex Blue Cash Everyday: $180 (first $6,000 at 3%) + $60 (next $6,000 at 1%) = $240 net
- Preferred advantage: still +$85 a year
- Better: Preferred for the first $6,000, then a flat 2% card for the next $6,000: $360 + $120 - $95 = $385 net
Key insight: The gap between the two Amex cards grows only until you hit $6,000, then stays fixed at $85, because both cards pay the same 1% above their caps. More spending past the cap never flips the winner. It just means you should move the extra spend to a 2% card.
Cap warning: the most common grocery card mistake
Both Amex Blue Cash cards stop paying their bonus rate after $6,000 of U.S. supermarket purchases in a calendar year. On $12,000 a year of supermarket spend:
- Blue Cash Preferred: first $6,000 at 6% = $360, next $6,000 at 1% = $60, total $420, minus the $95 fee = $325 net
- Blue Cash Everyday: first $6,000 at 3% = $180, next $6,000 at 1% = $60, total $240
The mistake is leaving the card in your wallet after the cap. Every grocery dollar past $6,000 earns 1% on either card. A flat 2% card earns twice that, so on $6,000 of spend beyond the cap it pays $120 instead of $60.
One more detail: the Everyday's $6,000 cap applies separately to each of its 3% categories (U.S. supermarkets, U.S. online retail, and U.S. gas stations). If you would use it heavily for online shopping and gas too, those categories add value the grocery math above leaves out.
The Consumer Financial Protection Bureau's credit card guide explains how issuers must disclose reward caps and category rules, which is worth a read before signing up for a card based on its advertised grocery rate.
The annual fee break-even calculator runs the Preferred-vs-Everyday math on your exact grocery spend, and the category optimizer calculator shows whether groceries, gas, or dining deserves your bonus-category slot. If commuting is your other big recurring expense, pair this card with one from the best gas credit cards, or cover both with a rotating card from the best 5% cash-back cards.
Grocery store eligibility: where the bonus applies
- Amex Blue Cash
- Yes
- Chase Freedom Flex (grocery quarters)
- Yes
- Citi Custom Cash
- Yes
- Amex Blue Cash
- Typically yes
- Chase Freedom Flex (grocery quarters)
- Typically yes
- Citi Custom Cash
- Typically yes
- Amex Blue Cash
- No
- Chase Freedom Flex (grocery quarters)
- Only in quarters that name Walmart
- Citi Custom Cash
- No
- Amex Blue Cash
- No
- Chase Freedom Flex (grocery quarters)
- Only in quarters that name Target
- Citi Custom Cash
- No
- Amex Blue Cash
- No
- Chase Freedom Flex (grocery quarters)
- No
- Citi Custom Cash
- No
- Amex Blue Cash
- No
- Chase Freedom Flex (grocery quarters)
- No
- Citi Custom Cash
- No
Rotating-card eligibility depends on each quarter's announced category list. Check the issuer's merchant rules for any store not listed.
When this recommendation changes
If most of your grocery shopping is at Walmart or Target: The Amex Blue Cash cards do not earn bonus rates there. A flat 2% card, or the Capital One Walmart Rewards card for Walmart.com and app orders, may earn more than a "grocery card" that excludes your actual store.
If you spend less than about $3,200 a year at supermarkets: The no-fee Everyday wins after the first year, because 3% of your spend is less than $95.
If you hit the $6,000 annual cap: Shift new grocery purchases to a flat 2% card for the rest of the calendar year. Do not shift them to the Everyday, which has its own $6,000 cap and pays 1% after it too.
If the welcome bonus changes: The Blue Cash Preferred's $0 first-year fee means it beats the Everyday at any spend level in year one, and a welcome bonus widens that further. Check the current offer on the Amex site.
If you join Costco: The Costco Anywhere Visa by Citi earns 2% at Costco and Costco.com, 4% on eligible gas and EV charging (on the first $7,000 a year, then 1%), 3% at restaurants and on eligible travel, and 1% elsewhere. If Costco is your main grocery source, it likely beats a supermarket card that earns nothing extra there.
Decision guide
- Best next move
- Amex Blue Cash Everyday
- Why
- 3% of your spend is less than the Preferred's extra 3% minus its $95 fee.
- Best next move
- Amex Blue Cash Preferred
- Why
- 6% clears the $95 fee, with an edge of up to $85 a year.
- Best next move
- Preferred plus a flat 2% card
- Why
- Preferred for the first $6,000, then 2% instead of 1% on the rest.
- Best next move
- Flat 2% card or store card
- Why
- Supermarket bonus categories exclude those stores.
- Best next move
- Costco Anywhere Visa
- Why
- Warehouse clubs are excluded from grocery bonuses; the co-brand earns 2% at Costco.
- Best next move
- Citi Custom Cash or a rotating-category card
- Why
- 5% on up to $500 per billing cycle, or in grocery quarters only.
- Best next move
- Fix the balance before optimizing
- Why
- Interest at the average card APR outruns any grocery rewards.
Groceries are one line item; Money Map checks your whole financial picture and ranks every gap, from card rewards to savings yield, by dollar impact.
Pay a grocery card's annual fee only if your spend clears the break-even with room to spare, since one lighter year can erase a thin edge. For the Preferred vs the Everyday, the break-even is about $3,200 a year at U.S. supermarkets. At $4,000 the Preferred is $25 ahead; at $6,000 and above it is $85 ahead.
How we ranked
We ranked grocery credit cards on grocery rewards rate, annual fee, spending cap, merchant eligibility breadth, secondary category rewards, and sign-up bonus. Rankings are not influenced by affiliate compensation.
SwitchWize earns referral fees from some linked cards. Verify current terms and rates before applying.
Compensation disclosure: Product rankings reflect editorial value, not commission rate.
Quick answers
What card gives the most cash back on groceries? The Amex Blue Cash Preferred at 6% on U.S. supermarkets, on up to $6,000 in purchases per year, then 1%.
Is the Blue Cash Preferred worth the $95 fee? Yes, if you spend more than about $3,200 a year at U.S. supermarkets. Its edge over the no-fee Everyday grows to $85 a year at $6,000 and stays there.
Do grocery cards earn bonuses at Walmart? Generally no. Walmart Supercenters, Target, and warehouse clubs code outside the supermarket category on most cards.
Can I use two cards for groceries? Yes. A common setup is the Preferred for the first $6,000 each year, then a flat 2% card once the cap is hit.
Sources
- American Express Blue Cash Everyday Card for the 3% rates and $6,000 caps, reviewed September 28, 2026.
- Costco Anywhere Visa Card by Citi for Costco card earn rates, reviewed September 28, 2026.
- Consumer Financial Protection Bureau credit cards guide for reward cap and category disclosure rules.
- Federal Reserve guide to credit cards for reading card terms before you apply.
- Issuer published terms for the other cards named on this page, reviewed on the date below.
Rates and reward structures referenced on this page were verified on September 28, 2026. Card terms, caps, and welcome offers change frequently; verify with each issuer before applying. This article is educational information, not individualized financial advice.
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Frequently Asked Questions
What is the highest grocery rewards rate I can get?
Do grocery credit cards work at Walmart and Target?
Do wholesale clubs like Costco count as grocery stores for credit card rewards?
What is the annual fee break-even for the Amex Blue Cash Preferred?
Can I get 5% on groceries?
What credit score do I need for a grocery rewards card?
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