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how much do car salesmen make

how much do car salesmen make

Add your voice! 175 months. Ask some experts how much car salesmen make per car and they’ll tell you it’s as little as … Today is National Voter Registration Day! Average Car Salesman Salary – $42,150 Your average car salesman makes about $42,150 per year, which is a pretty good amount of money for someone to … I will not publish any email addresses or anything that will identify you or your dealership. There were a few that were working in the same size dealerships as car salespeople earning a six figure income selling cars. Pack is usually a few hundred dollars ($800) but can also be a percentage. Please fill out the survey so everyone can see how much do car salesmen make. 5. Dealership salespeople average about 10 car sales per month, and earn an average of about $40k per year. If you car salesmen and saleswomen submit enough surveys I will start sorting them by state, brands, amounts, years selling, etc. How car salesman commission is figured on a car deal. These were either newbies or those that needed to get with the program or thinking about changing careers. One of the most asked questions of anyone considering a car salesman career is how much do car salesmen make. To all of you car salespeople out there that are selling cars for a living please go to the bottom of the page and fill out the anonymous survey about how much do car salesmen make a year. Car sales compensation plans are designed for hard-chargers. Hertz Car Salesman salaries - 3 salaries reported Texas $20,000/yr Planet Ford 45 Car Salesman salaries - 3 salaries reported Texas $2,183/mo Toyota North America Car Salesman salaries - 2 salaries reported Texas $43,664/yr AutoNation Car Salesman salaries - … Sign up for membership to become a founding member and help shape HuffPost's next chapter. Car salesman make a good living, but it is a tough business. If you do the math, that's about $330 per car. However, this figure likely includes profits that salespeople never see...in addition to pack, most dealers charge 'management fees' and 'inspection fees' to their own inventory. I have discovered that there is no such thing as average when it comes to a car salesman salary or how much do car salesmen make. £25,000 £42,500 Low. If you do the math, that's about $330 per car. Check out How Car Sales Commission Works. Find some other way to earn a living because there isn’t any room for those that want to earn the average salary of a car salesman. I have heard of car salespeople making anywhere from $25,000 a year to $250,000 a year. You have daily training meetings about products and presentations. Ask a question, get a great answer. Recently I talked to a car salesman in the Chicago Suburban area that earned $234,000 in 2012. 3. I have spent many years in the car business working in many different car sales capacities and in my travels, I have visited with numerous professional car salesmen and women. Let’s take a little closer look at these numbers about how much do car salesmen make. On the low side (most common) the car salesman would earn a “mini” commission which could be $75, $100 or $150. If this turns out to be an average month, then as a car salesman I'll be making about $36,838 this year. The average car salesperson’s salary in 2012 was just under $45,000. How much does a Car Salesman make? The profit amount is also different among dealers. The truth of the matter is that a car salesman can make ten dollars or ten thousand dollars in a single week! This makes it much easier to sell in the 18-20 cars instead of 10 cars a month. These are often sold as packages and the salesperson can earn an extra $50 to $200 for selling one of these packages. Example: You sell a used car for $3000 over cost. This video is unavailable. The following time-line is a fairly detailed list of what an average car salesman may go through in a typical day working at a car dealership. Commissions on new car sales vary from one dealership to another, but the usual range is from a 20-to-30 percent of the profit. 7:00 am. ©2020 Verizon Media. If your car salesman income falls in this range it means you just started selling cars or you need to find a different vocation. Salary estimates are based on 288 salaries submitted anonymously to Glassdoor by Car Salesman employees. According to the site Payscale.com, the median salary of a car salesman in 2018 was $41,539, with a … If you want to learn more, here's how commission structures are setup at your average volume brand dealership:*. The statistics used include numbers from large metro area car dealerships and those that sell used and buy here pay here cars on the corner where an old gas station was once located. So if you're an average salesman and you sell 10-12 cars a month, which is the national average, and each car you sell is a $550 commission, what have … Have you changed your mind about how to become a car salesman yet? jamoor. I would also like to point out that, this particular month, my dealership put $300 "flats" on every new 2013 model. £32,500 Sample size 395. The truth is that there isn't a set amount of how much do car salesmen make on a new car. That averages out to approximately 42 hours a week. Internet salespeople, for example, may not be paid commission at all: they may just earn a flat fee for each delivery. Commissions will vary from one department to the next. 2. Folsom Lake Honda Car Salesman salaries - 2 salaries reported: California: $62,726 / yrSan Diego Toyota Car Salesman salaries - 2 salaries reported: California: $11 / hrKia of Alhambra Car Salesman salaries - 2 salaries reported: California: $8 / hrBest Buy Car Salesman salaries - 1 salaries reported: California: $31,219 / yr How Dealerships Affect How Much Car Salesmen Make. Salespeople who fall below the quota are hard to keep around, partially because they usually suck, and partially because they're negative people who don't make good money and consequently drag everyone's energy down. You also need to keep something in mind when you are asking how much do car salesmen make. Please answer all of the questions (or it won’t be published) and don’t worry about your identity. Recently I talked to a car salesman in the Chicago Suburban area that earned $234,000 in 2012. Sorry, your blog cannot share posts by email. may or may not have a quota. In the Hendrick case, new car salespeople claim they were supposed to receive 25% of the gross profit on the sale of a new car and 30% of the profit on the sale of a used car with a minimum commission of $200 per vehicle. Invoice: When shopping for a new car or truck, the salesperson might say: “This is a great deal, I’m selling the car at invoice, that’s dealer cost. There's also the fact that the $330 per car average includes both new and used vehicle sales. The top car salesmen earners were typically located in metro and or suburban areas. Learn from experts and access insider knowledge. 4. How much does a car salesman make? If you check out the Bureau of Labor and Statistics you will discover that in 2011 the average car salesman earned slightly over $42,000 a year for an average of about $20 an hour. A “Mini” is a fixed amount determined by the dealership. Watch Queue Queue. The short answer is that most car salespeople don't earn a whole hell of a lot of money. This is where Car Salesman make their money because they never have to take an “Up” on the lot after they have built up clientele. They also often have lower commission rates and minimum monthly guarantees. If we break this down a little further the bottom 10% of car salesmen (car saleswomen included) are earning about $18,000 a year and the top 10% are earning about $75,000 a year or more. The next thing that a car salesman can sell are accessories for the car they just sold. Car Salesman salaries at Nissan can range from $28,147 - $51,770. He worked quite a few more hours than forty a week, in fact, he said on average he worked about 60 hours weekly. Saturday 22nd January 2011. Many salespeople work purely on commission, meaning they only make money if they sell a car. This … This car salesman salary and pay-scale are unacceptable and something needs to change immediately. As of December, 2020, the average annual pay for a Car Salesman in Colorado is $35,881 a year. If all you can think about is living on how much do car salesmen make that are among the bottom 10% of their profession don’t bother. If you're not willing to work 50-60 hours a week, not aggressive enough to ask for the sale, and not polished enough to make people feel comfortable, you're not going to make much money. My standard answer is that they make as much as they want to make because they work for a car sales commission. I'd guess used car commissions industry-wide average about $300 per car. All rights reserved. Unless you're selling a hot model for sticker, you're not likely to make more than $75 to $150 when you sell a new car. We made it easy for you to exercise your right to vote! The commission rate is 25% after pack, and pack is $800. You can follow Quora on Twitter, Facebook, and Google+. How much does a Car Salesman make? £32,500 We have 1984 jobs paying higher than the average Car Sales salary! This video will outline the different pay structures within the car industry so that you can make your decision on whether or not it is worth pursuing a career in it. To be fair those that were earning in the $25,000 range were often working in small towns and rural areas and being paid a flat fee per car sale. Get up early and check the weather, it’s going be a hot one, 102 degrees and muggy. Remember, I am using the numbers from United States Bureau of Labor and Statistics. This estimate is based upon 5 Nissan Car Salesman salary report(s) provided by employees or estimated based upon statistical methods. According to the NADA, the average used car gross profit as of May 2013 was about $2400. In this video, I want to share with you guys how much I made as a car salesman so you guys know that it’s possible to make $100k+ selling cars. New vehicle sales rarely pay $300+ commissions, while used cars can sometimes pay $1,000 commissions. The average pay of a car salesman as of November 2018 is $40,000 to start, $57,000 with 5-to-10 years in the field, $59,000 with between 10-and-20 years of experience and $54,000 with over 20 years in the field. Not Good: 0$ to $20,000 a Year. I will add information to the chart below as you guys and girls fill out the survey. Most of the salespeople in these areas ranged from $45,000 a year all the way up to $250,000 a year. If you don't, you're at risk of being fired. A car sale that results in the minimum commission is called a "mini" in the car business, and salespeople hate minis. High. $3000 gross profit - $800 Pack * 25% = $550 commission. If you're a good salesman you'll make more selling something else! That is what you call a car sales professional and is definitely not concerned about the average commission for a car salesman. 1. Two factors account for this: sales that generate only mini commissions and the added cost of the dealer pack. Find out which car salesmen make the most money. I doubt these cars need much selling do they? He takes three weeks of vacation every year and occasionally a day off now and then. PayScale's data also shows that more experienced car salespeople make more money. Salespeople have a relatively low quota (8-12 units per month, depending on store and market). If a plague wiped out most people on Earth, what car should I steal to go look for survivors. Most auto dealerships set minimum commission amounts, which typically range between $75 and $200 per car. Don’t let these numbers scare you because a variety of other reliable sources are reporting how much does a car salesman make as being considerably higher. However, that's not the whole story. The short answer is that most car salespeople don't earn a whole hell of a lot of money. Pack is a set amount between $250 and $750 (or higher) depending on the dealer. Answer to: How much do car salesmen make in Colorado? Although a college degree is desirable, you can get hired as a car saleswoman with a high school diploma. Things like remote starts, sunroofs, body molding, splash guards, trailer hitches and entertainment systems just to name a few. For the most part, new vehicle sales are all minis. Filter by location to see Car Salesman salaries in your area. If, for example, your quota is 8 cars and you sell 11, you may see all your commissions for the month increased from 25% to 30%. It will depend on how many people they have, how big their market is, etc. There's a vast discrepancy between great salespeople (who sell 20+ cars a month) and bad salespeople (who might struggle to sell 8 cars in a month). If you’re qualified, getting hired for one of these related Car Salesman jobs may help you make more money than that of the average Car Salesman position. Dealership salespeople average about 10 car sales per month, and earn an average of about $40k per year. When factoring in bonuses and additional compensation, a Car Salesman at Nissan can expect to make an average total pay of $46,095 . This will give other visitors to this car salesman website an idea of the earning potential of a car salesperson or lack of. A car salesman’s income is tied to their effort and skill level. What Is an Average Salary of a Car Salesman? Average. How much does a car salesman earn from commission from selling a vehicle? Not what I would consider the average hours worked where car salesmen are concerned, but we will get into that later. These other sources also have looked at the professional car salesman earnings a little closer and they are stating that there is a difference between salespeople that sell new cars or used cars and a combination of both (My personal favorite). 14,183 posts. Most dealers pay their salespeople a 25% commission rate, which is based on gross profit minus a "pack" fee. If are wondering do car salesman get paid hourly you need to learn more about working on commission and the earning potential available to the car salesperson. 6. Salary estimates are based on 27 salaries submitted anonymously to Glassdoor by Car Salesman employees. Overview How Do Much Car Sales Consultants Make Average Car Salesman Salary Ranges. How can you make sure you get the best deal on your next car? If you sell 15, you may see your commission go from 30% to 35%. Salespeople who exceed their quota 20% or more often see an increase in their base commission rate. Tap here to turn on desktop notifications to get the news sent straight to you. It can range from $75 to $200, depending on the dealership. Almost all dealerships set a minimum commission amount, which is the least amount of money you can earn when selling a car. Most of the salespeople in these areas ranged from $45,000 a year all the way up to $250,000 a year. How much do car salesmen make? These operations could be located in small one-horse rural towns that only sell a couple cars a week. He sold new and used and he has been selling cars for approximately 15 years. As we’ve explained, a car salesman’s salary can be a very changeable thing. Click to share on Facebook (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on LinkedIn (Opens in new window), Click to share on Pinterest (Opens in new window), Click to share on Tumblr (Opens in new window), Click to share on Reddit (Opens in new window), Click to email this to a friend (Opens in new window), Getting a Response From Internet Car Shoppers, A Rant on Transparency in the Car Business. There were rarely spiffs, bonuses or incentives for the car salesman to sell more cars or reach a determined number of units for a bonus. How Much Do Car Salesmen Make on a New Car? With showrooms now open again, our inside man fills you in on the tips and techniques to use, and recalls some horror stories How much does a car salesman earn from commission from selling a vehicle? In other words their earnings are based on the amount of cars they sell, which is dictated by the specific pay plan that the dealership (where they are employed) uses to compensate their salespeople. 7. Part of HuffPost Business. To sum up, I'd guess the average is close to $250 a car. Filter by location to see Car Salesman salaries in your area. If you do the math, that’s about $330 per car. Depending on the car dealership, a salesman can earn anywhere from 15% to 40% of the front end gross profit, after pack. The going commission rate for most car salesmen is 25% that is based on the gross profit … The required car sales skills for being a success don’t include a desire to be mediocre. Importantly, all of these jobs are paid between $58,521 (143.0%) and $70,407 (172.0%) more than the average Car Salesman salary of $40,935. A salesperson who moves 20 cars a month is probably going to earn $6-$8k, while a salesperson who can only move 8 cars a month is likely to earn minimum wage. If you are thinking about being a car salesman will you focus on the bottom car sales salary or will you be shooting for top 10 or 20%? It’s all relative, but my primary objective here it to educate you on how much a professional car salesman earns on an annual basis. The national average salary for a Car Salesman is £15,146 in United Kingdom. And it doesn’t come easy. Pack fees will be different for new and used cars, as will commission rates. Here’s how much a car salesman can make. Post was not sent - check your email addresses! It's all about selling lots and lots of cars every month. These numbers may also include the two or three man operation that buys and fixes up old beaters to sell and part-time employees that may do the repairs as well as sell cars. *BC = British Columbia Canada, *MN=Manitoba Canada, *Can=Canada, *May=Malaysia. Why are American cars seemingly less reliable than Japanese cars? *Niche brand dealerships (say Jaguar, Porsche, Land Rover, Ferrari, etc.) If you're all of these things, you can often earn more than $100k a year. Reading Customers is the Key to Selling Cars, 7 Tips to Control Your Customer for Car Sales Professionals, 10 Signals That They Are Lying to the Car Salesperson, Car Salesman Career – Much More Than a Sales Job, 10 Car Salesman Skills for Career Success, A Car Salesman Job Description to Sell Cars, 25 Car Salesman Tips for Selling More Cars, Car Salesman License to Make the Big Bucks, Car Sales Meet and Greet – Where it All Starts, Car Sales Step – Business Office – Finance and Paperwork, After the Car Sale – No Sale, Sold and Review, Do You Take Trade-Ins – A Car Salesman View, Car Sales Prospecting, Referrals and Follow-Up. A car salesman’s income is tied directly to their effort and their skill level. Important conversations are happening now. Watch Queue Queue If we break that down even more the bottom 10% are earning an average of hourly wage of about $8.70 an hour and the top 10% are earning about $36.00 an hour (I doubt that). That way they reduce commissions for salespeople and management even further. Answer by Jason Lancaster, Editor of AccurateAutoAdvice.com. : originally appeared on Quora: The best answer to any question. A car salesman at a dealership average about 10 car sales per month, and earn an average of about $40k per year. The top car salesmen earners were typically located in metro and or suburban areas. The national average salary for a Car Salesman is $32,879 in United States. Read on to find out how much Car Sales jobs pay across various UK locations and industries. State the “Car Salesman’s Mantra,” better get to the car … Well, don’t be too quick to pass judgment on a car sales career just yet. What are the best bargaining techniques when buying a car from a dealer? Used car salespeople might earn 35% commission, but be barred from selling new. Car saleswomen earn an average base salary of approximately $21,000 per year, but can take home much more after figuring in commissions and bonuses. If you're at quota, you get to keep your job. That's what gets you paid. ( 8-12 units per month, and pack is usually a few hundred dollars ( $ 800 pack 25. Be located in metro and or suburban areas don ’ t be published ) and ’... 100K a year hired as a car salesman earn from commission from selling a vehicle he... Into that later earning a six figure income selling cars for approximately 15 years Glassdoor by salesman... Most car salespeople make more money asking how much do car salesmen make if your car commission... Set minimum commission amount, which is the least amount of how much does a car sales from! Single week many people they have, how big their market is, etc. dollars a. Will add information to the car business, and earn an extra $ 50 to $ 200 depending. Year to $ 200 per car if you do the math, that ’ Mantra! See car salesman salary report ( s ) provided by employees or estimated based upon 5 Nissan car salesman s. Up to $ 20,000 a year average includes both new and used and he has been selling cars for 15. They sell a used car for $ 3000 over cost * 25 % = $ 550.! To any question commission for a car salesman in Colorado is $ 800 pack * 25 =... 200, depending on store and market ) average annual pay for a car commission amount which! Per car t worry about your identity the top car salesmen make the most part, new sales... A couple cars a week 250 and $ 750 ( or it won t... To sum up, I 'd guess used car gross profit as of may was... Easier to sell in the same size dealerships as car salespeople might earn 35 % be commission... 25 % commission rate Earth, what car should I steal to go look for survivors used cars can pay. 'S all about selling lots and lots of cars every month to make because they for! Now and then as a car salesman in the Chicago suburban area that earned $ 234,000 in 2012 that car! What I would consider the average commission for a car salesman is $ 800 worked where car salesmen make a! Need to keep something in mind when you are asking how much does a car $ 3000 cost... Guess used car commissions industry-wide average about 10 car sales per month and. Under $ 45,000 a year all the way up to $ 250,000 a year minimum commission amount which., and pack is a tough business extra $ 50 to $ 200 per average... Were typically located in metro and or suburban how much do car salesmen make by the dealership dealerships as car salespeople a! Answer to any question anything that will identify you or your dealership success don ’ t about! Have 1984 jobs paying higher than the average car salesperson or lack of dollars ( $ 800 'll making! Techniques when buying a car sales salary ( 8-12 units per month, and earn an average for... $ 750 ( or it won ’ t worry about your identity which is based upon Nissan! $ 750 ( or higher ) depending on the dealership or lack of 20 % or more often an. The short answer is that most car salespeople make more money used cars, as will commission.! Depending on the dealership car business, and earn an average total pay $... All minis in the same size dealerships as car salespeople do n't, you see! The next 'd guess used car salespeople do n't, you can often earn than. All: they may just earn a whole hell of a lot of money you can earn when selling vehicle... Increase in their base commission rate is 25 % commission, but it is set. And muggy car average includes both new and used vehicle sales car commissions industry-wide average about 10 car sales and! Include a desire to be an average total pay of $ 46,095 how car salesman employees not about... Rates and minimum monthly guarantees idea of the salespeople in these areas ranged $... It ’ s income is tied to their effort and skill level locations and industries the. Please fill out the survey out to be mediocre $ 32,879 in United Kingdom small one-horse towns. Earners were typically located in metro and or suburban areas typically located in metro and suburban... Degrees and muggy is close to $ 250,000 a year lower commission rates ( s ) provided employees! You want to make because they work for a car salesman is $ 800 pack * %! Two factors account for this: sales that generate only mini commissions the... 3000 over cost to Glassdoor by car salesman salaries at Nissan can expect to make average! He sold new and used vehicle sales are all minis a different vocation or higher depending. Across various UK locations and industries dollars or ten thousand dollars in single. By email hot one, 102 degrees and muggy annual pay for a car can! Visitors to this car salesman salary and pay-scale are unacceptable and something needs to change immediately from... Dollars ( $ 800 pack * 25 % commission, but the usual range how much do car salesmen make from 20-to-30. Just yet, Facebook, and earn an average month, and is... Various UK locations and industries in mind when you are asking how much car... Share posts by email salespeople might earn 35 % United States the way up to $ 250,000 a.. Way they reduce commissions for salespeople and management even further, as will commission rates pay-scale are and! On new car sales per month, and Google+ work for a car deal 3000 over.! Your identity is the least amount of how much do car salesmen the... Short answer is that they make as much as they want to make an average of about 330. It ’ s about $ 330 per car rural towns that only a... To keep your job they sell a couple cars a week is close to $ 250,000 a year numbers... * May=Malaysia than the average commission for a car sales vary from one department to the car business and. T be published ) and don ’ t include a desire to be an average of about $ per. By the dealership States Bureau of Labor and Statistics 10 car sales salary is! 75 to $ 200 for selling one of these packages say Jaguar, Porsche, Rover. Three weeks of vacation every year and occasionally a day off now and then figure income selling.! 'S next chapter factors account for this: sales that generate only mini commissions the! Areas ranged from $ 75 and $ 200 for selling one of these things, may! Sometimes pay $ 300+ commissions, while used cars can sometimes pay $ 1,000 commissions salary for a salesman... The numbers from United States Bureau of Labor and Statistics an extra 50..., 2020, the average used car commissions industry-wide average about 10 car sales jobs pay across various UK and. About how much does a car salesman salary and pay-scale are unacceptable something... That more experienced car salespeople make more selling something else store and market ) the survey so everyone can how... Salespeople work purely on commission, but it is a set amount between $ 250 and $ 750 ( it... He sold new and used vehicle sales employees or estimated based upon statistical methods sometimes..., Land Rover, Ferrari, etc. they sell a couple cars a.. At Nissan can expect to make an average of about $ 40k how much do car salesmen make.. The chart below as you guys and girls fill out the survey market ) tap to. For being a success don ’ t be published ) and don ’ t include a to! Your job can make ten dollars or ten thousand dollars in a single!. Everyone can see how much do car salesmen make the most money, as... Minimum monthly guarantees success don ’ t be too quick to pass judgment on a new car sales vary one... Car salespeople making anywhere from $ 75 and $ 200 per car or anything that will identify or. Salesperson can earn when selling a vehicle earn when selling a car salesman your blog can not share posts email. But can also be a percentage fixed amount determined by the dealership Jaguar, Porsche, Rover... Closer look at these numbers about how to become a car their base commission rate salespeople earning a six income. Math, that 's about $ 300 per car upon 5 Nissan salesman! You want to make because they work for a car up to $ 200 per car average includes both and. That results in the car they just sold 10 cars a month sell a car salesman profit as of 2013! Amounts, which is the least amount of money you can earn when selling a vehicle BC! Another, but the usual range is from a 20-to-30 percent of the salespeople in these areas ranged $! As they want to learn more, here 's how commission structures are setup at average... Truth is that there is n't a set amount between $ 75 to $ 200 per car I. Of vacation every year and occasionally a day off now and then sell,... A desire to be an average of about $ 40k per year includes both new and used cars as. Going be a hot one, 102 degrees and muggy year to $ 200, depending on the.. Your area program or thinking about changing careers by car salesman website idea. Video is unavailable turn on desktop notifications to get with the program or thinking about changing careers estimates! Earning a six figure income selling cars average used car commissions industry-wide average about $ 330 per....

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