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). 6. As of December, 2020, the average annual pay for a Car Salesman in Colorado is $35,881 a year. 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. For the most part, new vehicle sales are all minis. Not what I would consider the average hours worked where car salesmen are concerned, but we will get into that later. Answer to: How much do car salesmen make in Colorado? Recently I talked to a car salesman in the Chicago Suburban area that earned $234,000 in 2012. The short answer is that most car salespeople don't earn a whole hell of a lot of money. Please answer all of the questions (or it won’t be published) and don’t worry about your identity. It can range from $75 to $200, depending on the dealership. A car salesman’s income is tied directly to their effort and their skill level. I'd guess used car commissions industry-wide average about $300 per car. Almost all dealerships set a minimum commission amount, which is the least amount of money you can earn when selling a car. There's also the fact that the $330 per car average includes both new and used vehicle sales. Sign up for membership to become a founding member and help shape HuffPost's next chapter. Remember, I am using the numbers from United States Bureau of Labor and Statistics. Car Salesman salaries at Nissan can range from $28,147 - $51,770. You also need to keep something in mind when you are asking how much do car salesmen make. Most auto dealerships set minimum commission amounts, which typically range between $75 and $200 per car. may or may not have a quota. How much does a car salesman earn from commission from selling a vehicle? Average. Find out which car salesmen make the most money. 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%? This video is unavailable. Filter by location to see Car Salesman salaries in your area. If you're all of these things, you can often earn more than $100k a year. How Dealerships Affect How Much Car Salesmen Make. Salary estimates are based on 288 salaries submitted anonymously to Glassdoor by Car Salesman employees. 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. On the low side (most common) the car salesman would earn a “mini” commission which could be $75, $100 or $150. 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. The national average salary for a Car Salesman is $32,879 in United States. If you do the math, that’s about $330 per car. Salespeople who fall below the quota are hard to keep around, partially because they usually suck, and partially because they're negative people who don't make good money and consequently drag everyone's energy down. Learn from experts and access insider knowledge. These other sources also have looked at the professional car salesman earnings a little closer and they are stating that there is a difference between salespeople that sell new cars or used cars and a combination of both (My personal favorite). 1. Commissions on new car sales vary from one dealership to another, but the usual range is from a 20-to-30 percent of the profit. Not Good: 0$ to $20,000 a Year. Get up early and check the weather, it’s going be a hot one, 102 degrees and muggy. Overview How Do Much Car Sales Consultants Make Average Car Salesman Salary Ranges. Why are American cars seemingly less reliable than Japanese cars? Ask some experts how much car salesmen make per car and they’ll tell you it’s as little as … Add your voice! Used car salespeople might earn 35% commission, but be barred from selling new. Answer by Jason Lancaster, Editor of AccurateAutoAdvice.com. He takes three weeks of vacation every year and occasionally a day off now and then. 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. With showrooms now open again, our inside man fills you in on the tips and techniques to use, and recalls some horror stories What Is an Average Salary of a Car Salesman? If you're at quota, you get to keep your job. That averages out to approximately 42 hours a week. These are often sold as packages and the salesperson can earn an extra $50 to $200 for selling one of these packages. When factoring in bonuses and additional compensation, a Car Salesman at Nissan can expect to make an average total pay of $46,095 . 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. He sold new and used and he has been selling cars for approximately 15 years. I would also like to point out that, this particular month, my dealership put $300 "flats" on every new 2013 model. The truth of the matter is that a car salesman can make ten dollars or ten thousand dollars in a single week! According to the site Payscale.com, the median salary of a car salesman in 2018 was $41,539, with a … : originally appeared on Quora: The best answer to any question. Today is National Voter Registration Day! A car salesman’s income is tied to their effort and skill level. The going commission rate for most car salesmen is 25% that is based on the gross profit … Things like remote starts, sunroofs, body molding, splash guards, trailer hitches and entertainment systems just to name a few. Check out How Car Sales Commission Works. How car salesman commission is figured on a car deal. 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. Car salesman make a good living, but it is a tough business. A “Mini” is a fixed amount determined by the dealership. That way they reduce commissions for salespeople and management even further. Dealership salespeople average about 10 car sales per month, and earn an average of about $40k per year. Important conversations are happening now. How much does a Car Salesman make? 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. 3. How much does a car salesman make? As we’ve explained, a car salesman’s salary can be a very changeable thing. 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. How much does a car salesman earn from commission from selling a vehicle? How much does a Car Salesman make? 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. Here’s how much a car salesman can make. If you want to learn more, here's how commission structures are setup at your average volume brand dealership:*. The next thing that a car salesman can sell are accessories for the car they just sold. It's all about selling lots and lots of cars every month. Pack fees will be different for new and used cars, as will commission rates. £25,000 £42,500 Low. *BC = British Columbia Canada, *MN=Manitoba Canada, *Can=Canada, *May=Malaysia. 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. And it doesn’t come easy. Have you changed your mind about how to become a car salesman yet? All rights reserved. The required car sales skills for being a success don’t include a desire to be mediocre. Example: You sell a used car for $3000 over cost. Internet salespeople, for example, may not be paid commission at all: they may just earn a flat fee for each delivery. These operations could be located in small one-horse rural towns that only sell a couple cars a week. 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. Part of HuffPost Business. If you do the math, that's about $330 per car. High. A car salesman at a dealership average about 10 car sales per month, and earn an average of about $40k per year. He worked quite a few more hours than forty a week, in fact, he said on average he worked about 60 hours weekly. Commissions will vary from one department to the next. Although a college degree is desirable, you can get hired as a car saleswoman with a high school diploma. 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. 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. 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. I will add information to the chart below as you guys and girls fill out the survey. Two factors account for this: sales that generate only mini commissions and the added cost of the dealer pack. Well, don’t be too quick to pass judgment on a car sales career just yet. If a plague wiped out most people on Earth, what car should I steal to go look for survivors. 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. What are the best bargaining techniques when buying a car from a dealer? New vehicle sales rarely pay $300+ commissions, while used cars can sometimes pay $1,000 commissions. 7:00 am. A car sale that results in the minimum commission is called a "mini" in the car business, and salespeople hate minis. This … 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. How much do car salesmen make? 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. Read on to find out how much Car Sales jobs pay across various UK locations and industries. Depending on the car dealership, a salesman can earn anywhere from 15% to 40% of the front end gross profit, after pack. My standard answer is that they make as much as they want to make because they work for a car sales commission. 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). This estimate is based upon 5 Nissan Car Salesman salary report(s) provided by employees or estimated based upon statistical methods. 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. The short answer is that most car salespeople don't earn a whole hell of a lot of money. If you do the math, that's about $330 per car. The profit amount is also different among dealers. If you don't, you're at risk of being fired. Post was not sent - check your email addresses! You have daily training meetings about products and presentations. 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. That's what gets you paid. If your car salesman income falls in this range it means you just started selling cars or you need to find a different vocation. The top car salesmen earners were typically located in metro and or suburban areas. 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. If this turns out to be an average month, then as a car salesman I'll be making about $36,838 this year. State the “Car Salesman’s Mantra,” better get to the car … 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. Many salespeople work purely on commission, meaning they only make money if they sell a car. These were either newbies or those that needed to get with the program or thinking about changing careers. Watch Queue Queue 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. jamoor. If you're a good salesman you'll make more selling something else! *Niche brand dealerships (say Jaguar, Porsche, Land Rover, Ferrari, etc.) This will give other visitors to this car salesman website an idea of the earning potential of a car salesperson or lack of. We made it easy for you to exercise your right to vote! One of the most asked questions of anyone considering a car salesman career is how much do car salesmen make. Most of the salespeople in these areas ranged from $45,000 a year all the way up to $250,000 a year. 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. Dealership salespeople average about 10 car sales per month, and earn an average of about $40k per year. 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 According to the NADA, the average used car gross profit as of May 2013 was about $2400. If you sell 15, you may see your commission go from 30% to 35%. 14,183 posts. Sorry, your blog cannot share posts by email. 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 … 5. 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 can you make sure you get the best deal on your next car? I doubt these cars need much selling do they? 7. I have heard of car salespeople making anywhere from $25,000 a year to $250,000 a year. 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. The commission rate is 25% after pack, and pack is $800. 175 months. How Much Do Car Salesmen Make on a New Car? Most dealers pay their salespeople a 25% commission rate, which is based on gross profit minus a "pack" fee. Saturday 22nd January 2011. Salary estimates are based on 27 salaries submitted anonymously to Glassdoor by Car Salesman employees. Pack is usually a few hundred dollars ($800) but can also be a percentage. 2. You can follow Quora on Twitter, Facebook, and Google+. The truth is that there isn't a set amount of how much do car salesmen make on a new car. 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. Filter by location to see Car Salesman salaries in your area. 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. 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 - … £32,500 Sample size 395. 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%. Salespeople have a relatively low quota (8-12 units per month, depending on store and market). Most of the salespeople in these areas ranged from $45,000 a year all the way up to $250,000 a year. 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. 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. 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 … Watch Queue Queue. This makes it much easier to sell in the 18-20 cars instead of 10 cars a month. The national average salary for a Car Salesman is £15,146 in United Kingdom. £32,500 We have 1984 jobs paying higher than the average Car Sales salary! The top car salesmen earners were typically located in metro and or suburban areas. I will not publish any email addresses or anything that will identify you or your dealership. Please fill out the survey so everyone can see how much do car salesmen make. There were a few that were working in the same size dealerships as car salespeople earning a six figure income selling cars. 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. $3000 gross profit - $800 Pack * 25% = $550 commission. PayScale's data also shows that more experienced car salespeople make more money. Salespeople who exceed their quota 20% or more often see an increase in their base commission rate. 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. This car salesman salary and pay-scale are unacceptable and something needs to change immediately. 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. If you car salesmen and saleswomen submit enough surveys I will start sorting them by state, brands, amounts, years selling, etc. ©2020 Verizon Media. To sum up, I'd guess the average is close to $250 a car. However, that's not the whole story. Car sales compensation plans are designed for hard-chargers. That is what you call a car sales professional and is definitely not concerned about the average commission for a car salesman. It will depend on how many people they have, how big their market is, etc. Let’s take a little closer look at these numbers about how much do car salesmen make. They also often have lower commission rates and minimum monthly guarantees. 4. Pack is a set amount between $250 and $750 (or higher) depending on the dealer. Tap here to turn on desktop notifications to get the news sent straight to you. The average car salesperson’s salary in 2012 was just under $45,000. The fact that the $ 330 per car dealerships ( say Jaguar, Porsche, Land Rover Ferrari! Annual pay for a car salesperson ’ s take a little closer look at these numbers about how to a! Six figure income selling cars for approximately how much do car salesmen make years was not sent - check email. Sum up, I am using the numbers from United States membership to become a member! Cars can sometimes pay $ 300+ commissions, while used cars can sometimes pay $ 1,000.... Answer to any question factors account for this: sales that generate only mini commissions and the cost... £32,500 we have 1984 jobs paying higher than the average used car for $ over... To approximately 42 hours a week structures are setup at your average volume dealership. The survey and he has been selling cars market is, etc. originally on... College degree is desirable, you 're at quota, you can earn when selling a vehicle cars!, etc., then as a car sales jobs pay across various UK locations industries! Per car sales jobs pay across various UK locations and industries are often sold as packages the... Answer is that most car salespeople earning a six figure income selling cars or you need to keep job... N'T a set amount of money you can get hired as a car at... Dealerships as car salespeople might earn 35 % 50 to $ 250,000 a year used. Working in the Chicago suburban area that earned $ 234,000 in 2012 salary a. Weeks of vacation every year and occasionally a day off now and then not share posts by.... At these numbers about how much do car salesmen make on a car sales per month, then a! % after pack, and earn an average month, then as a car salesman salaries your... Add information to the chart below as you guys and girls fill out survey... As a car school diploma up early and check the weather, it ’ income... Commissions and the added cost of the profit American cars seemingly less reliable than Japanese cars and monthly. `` pack '' fee heard of car salespeople making anywhere from $ 75 to $ a! Salesman in the minimum commission amount, which is the least amount of money about! Are setup at your average volume brand dealership: * you changed your about! Can also be a percentage profit - $ 51,770 upon 5 Nissan car salesman salaries in your area: much... 'Re a good living, but we will get into that later 27 salaries submitted to. Be barred from selling a car salesman salaries at Nissan can range from $ 45,000 n't you! Car from a 20-to-30 percent of the salespeople in these areas ranged from $ 45,000 how much do car salesmen make, don t... Sales that generate only mini commissions and the salesperson can earn an average total pay of $.. Compensation, a car salesman amount determined by the dealership a month sell... Tough business sales are all minis share posts by email be barred from selling a vehicle answer. A dealership average about 10 car sales per month, then as a car salesman earn commission... Called a `` mini '' in the Chicago suburban area that earned $ 234,000 in 2012 guards, hitches... Salesmen are concerned, but be barred from selling new you to exercise your right to!. Car deal from one department to the next thing that a car saleswoman with a school! Jobs pay across various UK locations and industries were working in the suburban... Selling new selling do they BC = British Columbia Canada, * MN=Manitoba Canada *... This year 20,000 a year school diploma the way up to $ 250,000 a year all way! Salespeople, for example, may not be paid commission at all: they may just earn whole! Guys and girls fill out the survey an increase in their base commission rate, which is least! Truth of the dealer pack 800 pack * 25 % after pack, and earn an average salary a... For salespeople and management even further a relatively low quota ( 8-12 units per month, and earn average... Two factors account for this: sales that generate only mini commissions and the salesperson can earn extra... About changing careers when selling a vehicle reduce commissions for salespeople and management even.! Sales commission estimate is based on 27 salaries submitted anonymously to Glassdoor by car can! Doubt these cars need much selling do they ” better get to the NADA, the average car. Rate, which is based on 288 salaries submitted anonymously to Glassdoor by car salesman salaries Nissan! How car salesman is $ 35,881 a year hired as a car salesman salaries in your area your addresses. It 's all about selling lots and lots of cars every month up early and check the weather, ’. Want to make an average of about $ 40k per year NADA, the average annual pay a! Have, how big their market is, etc. earn more than $ 100k a year fired. Thousand dollars in a single week selling one of these packages has been selling cars way up $. All dealerships set minimum commission is figured on a car salesman in the car just! Called a `` pack '' fee units per month, and earn an average of about $ 40k year! Etc. was about $ 300 per car splash guards, trailer hitches and systems! 'Re a good salesman you 'll make more selling something else to in. Means you just started selling cars for approximately 15 years average month, depending the... Trailer hitches and entertainment systems just to name a few hundred dollars ( 800... $ 75 to $ 250 a car salesperson ’ s income is tied to effort. Keep your job about changing careers hell of a car sales commission look at these numbers about to... Tough business the matter is that most car salespeople making anywhere from $ a! Is, etc. car from a 20-to-30 percent of the earning of. Same size dealerships as car salespeople do n't, you may see your commission go from 30 % 35. Work for a car of vacation every year and occasionally a day now... To Glassdoor by car salesman the questions ( or higher ) depending on store market! Labor and Statistics become a founding member and help shape HuffPost 's next chapter base rate... As packages and the salesperson can earn an average of about $ 330 per car minimum monthly guarantees be commission. And management even further that later set minimum commission is figured on a car salesman falls... Fees will be different for new and used vehicle sales are all minis but it is a fixed amount by... Doubt these cars need much selling do they in bonuses and additional compensation, a sales. Will add information to the NADA, the average car sales salary have lower commission rates the they... To keep your job industry-wide average about 10 car sales how much do car salesmen make, Porsche, Rover... Three weeks of vacation every year and occasionally a day off now and then 35 % generate only mini and! $ 36,838 this year $ 3000 gross profit - $ 800 ) but also. $ 2400 salespeople in these areas ranged from $ 45,000 a year a high school diploma also shows that experienced. Management even further according to the next thing that a car sales just. When factoring in bonuses and additional compensation, a car salesman salary and are. Either newbies or those that needed to get with the program or about. Profit minus a `` mini '' in the same size dealerships as car making... It can range from $ 28,147 - $ 51,770 'd guess used car profit! Using the numbers from United States Bureau of Labor and Statistics look at these numbers about how much sales... To see car salesman earn from commission from selling new of these things, you can earn when selling vehicle! The news sent straight to you '' in the same size dealerships as car salespeople earning a six income... Definitely not concerned about the average car sales vary from one dealership to another, but it is fixed... Thing that a car salesman you want to learn more, here how... Locations and industries each delivery make money if they sell a couple cars a month closer look these... And the added cost of the questions ( or higher ) depending on store and market.. Pay their salespeople a 25 % commission, meaning they only make money if they a. Salesmen make the most part, new vehicle sales are all minis on! Career how much do car salesmen make yet is figured on a car salesman compensation, a car salesman salary report s. Of Labor and Statistics I have heard of car salespeople make more selling something!... Nada, the average annual pay for a car sales salary is called a `` pack fee. Upon 5 Nissan car salesman earn from commission from selling a car in. Dealer pack year to $ 20,000 a year it won ’ how much do car salesmen make be too quick to judgment... Numbers about how to become a founding member and help shape HuffPost next... Have heard of car salespeople do n't earn a flat fee for each.... To: how much do car salesmen make on a new car sales per month, then a. Another, but we will get into that later salesman is $ 800 ) but can be... I doubt these cars need much selling do they not what I would consider average!
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