Tony Barzar didn’t become a millionaire by launching a startup or making risky investments. Instead, he spent nearly 40 years working for the same retailer, consistently saving for retirement and taking advantage of the benefits his employer offered.
Barzar joined Price Club in 1986, the warehouse chain that later became Costco, earning $5.85 an hour collecting shopping carts in Tucson, Arizona. Today, at 60, he works as a cashier making $32.90 an hour. Along the way, he bought a three-bedroom home with a pool, traveled to Europe twice and built a 401(k) worth more than $1 million.
“I could retire,” Barzar told The Wall Street Journal. “But what would I do? Costco has been good to me.”
His story isn’t about getting lucky. It’s about what can happen when someone stays with an employer that rewards long-term employees with higher pay, strong retirement benefits and solid health insurance.
Barzar started contributing to Costco’s 401(k) in 1993 after the company switched retirement plans. He put away part of every paycheck and kept doing it year after year. As his wages gradually increased, so did his retirement savings. Over time, those regular contributions benefited from decades of compound growth.
He’s far from the only one. According to Costco Chief Financial Officer Gary Millerchip, thousands of the company’s U.S. hourly employees now have more than $1 million saved in their 401(k) accounts.
Costco has built a reputation for paying workers more than many competitors and encouraging them to stay. The company recently raised its maximum hourly wage for long-serving employees to $32.90, while also increasing annual bonuses and adding extra paid vacation for workers who reach 30 years with the company.
That approach appears to be paying off. Costco’s employee turnover after one year is around 7%, well below the retail industry’s much higher average. Keeping experienced employees can cost less than constantly hiring and training new ones.
The company’s health benefits have also played a major role in Barzar’s financial security.
His wife was diagnosed with stage 3 brain cancer, requiring three brain surgeries. Around the same time, the family also experienced the loss of Barzar’s son-in-law. Costco’s health insurance covered the surgeries, allowing the family to focus on recovery instead of medical bills.
Barzar took nearly a year of paid leave to care for his wife and used the company’s mental health benefits to help cope with everything the family was facing. When he returned, he was able to work part-time without losing pay.
“You don’t have any idea how deep it goes until something tragic happens,” he told the Journal.
While not every employer offers Costco-level benefits, Barzar’s experience highlights what job seekers should pay attention to beyond hourly pay.
Retirement plans matter. A generous 401(k) match can add thousands of dollars to long-term savings, especially when employees contribute consistently over many years. Understanding how much an employer matches—and how long it takes for those contributions to become fully yours—can make a significant difference.
Health insurance is just as important. Looking at deductibles, co-pays, out-of-pocket limits and when coverage begins can help workers avoid unexpected costs if a medical emergency arises.
Finally, employee turnover can reveal a lot about a company. Businesses with low turnover often invest more in their workers through better pay, benefits and career stability.
Barzar’s journey shows that building wealth doesn’t always require a six-figure salary. Steady employment, disciplined saving and strong workplace benefits can create financial security over time, even in an hourly retail job.
