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A car salesman salary is a mystery to those that have never been in the profession because of many different factors that make up the overall income of an automobile salesman. I will also cover the average car salesman salary and the importance of sales performance including the relationship to the overall income potential at the dealership. To get a better overall view of a car salesman salary you need to understand the different factors that make up how car salesmen get paid. Example: Lets say you sold a car and the profit on that car was $1,000 (after pack) and your commission rate was 25% (which varies from dealer to dealer from 20% to 40%).
A small percentage of car dealerships pay their sales people a fixed weekly car salesman salary. The “per car” type of sales pay is often combined with a weekly fixed amount, but that is not always the case. If you were expecting to work 9 to 5 Monday through Friday think again because car salespeople often average 50 to 55 hours per week. One of my favorite ways to add to a car salesman salary is the bonuses offered by the dealership based on performance. For years now the auto manufacturers will run monthly sales promotions from time to time that will pay the car salesman a cash bonus for selling certain cars.
Perks for the car salesman are not very plentiful other than the possibility of driving a dealer demo car. When the salesman works on a 100% commission basis there may be times that you won’t have any weekly pay come payday. The crucial element to the car salesman salary at any particular dealership is the pay plan. 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 middle to upper end of this car salesman salary range is not uncommon, but lower than average. Obviously this is a range, but if you want to know the average car salesman salary it comes in at the lower end on this range. This income bracket of a car salesmen salary is very common and most salesmen are in this bracket and the bracket below.
Now that you know all about a car salesman salary and how car salesmen get paid you should be ready to start your new car sales career or make some changes and increase your earnings. In order to reveal the whole ugly truth about car salesmen we need to go back in time, way back to about the time that Henry Ford started building cars for the masses. People of that time were very unfamiliar with motor driven vehicles and the industry needed these car salesmen in order to educate and sell these potential car buyers. After a few years the availability of these automobiles was all over the county and everybody wanted one. The car salesmen and the car dealers felt bad for these potential car buyers, plus they wanted to sell cars because they had bills to pay and families to feed so they started giving discounts to car buyers. Over the years these rumors grew and were blown out of proportion and nobody remembered a time when they paid full price for a car. Lets jump ahead a few years and in the 60s and 70s the unfounded exaggerated rumors and the outrageous fabricated stories had become the latest truth about car salesmen at least in the car buyer’s eyes.
The car salesman was making a smaller and smaller salary and the car dealers were being pressured by the automakers to build new buildings and create nicer environments for the buyers. The car salesman having to survive on less and less money had to cut corners and tightens their belts as you can see in the photos below. They didn’t want to dress like this, but the car buyers wanted more and more discounts. The discounting of automobiles was out of control and dealers were forced by the automakers and customers to build new buildings, but where was the money going to come from?
Now lets step forward to more current times and discover the latest ways that the car salesman man is being smeared, bad-mouthed and scorned. There are numerous websites and blogs that publish the trade secrets, confidential information and prices used by car dealers to operate their businesses. Visiting several dealerships and comparing prices was one thing, but now with the Internet the buyers can collect price quotes from several dealers and some buyers contact dozens to get prices. Once again to demonstrate the commitment and character of car salesmen and car dealerships and their desire to hold on to their jobs and business they made changes to please car buyers.
For fear of the reliving the 60s and 70s when car salesmen could barely pay their bills and wear professional looking clothes on the job car dealers even went so far as to provide polo shirts for their salesmen so they wouldn’t resort to wearing the clothes you can see in the photos above. Nearly a century of abuse of the car salesman all started because of a simple of kindness and generosity. Sign up on the right to receive updates and get notified of new posts and information for the Car Sales Professional.
Prices should all be the same at least per regions and they should not be allowed to discount. Auto SalespersonPeople buy cars for a variety of reasons, and the automobile salesman's job is to discover . Do car salesmen only get commission or is there a base salary as wellWhat is commission-only salary? In the late 80-s the musician was known due to cooperation with Steve Wonders and Michael Jackson. He also worked as an actor, appearing in numerous documental movies, mostly acting as himself. Being extremely successful in his career, the performer had a really complicated personal life. This explanation should help clear up the mystery for anyone that is considering this potentially lucrative career and wondering how to become a car salesman.
The experience level of the car salesman can also be a factor in overall salary, but rarely is that a dealership consideration where compensation is concerned.
In other words the number of cars sold and the profit of each sold car determines the car salesman salary. In those cases they may also pay a smaller commission rate or on a “per car” (see below) basis. Their schedule may only consist of 40 up to 50 hours a week, but staying at work after closing time is actually quite common.
Obviously this will be different at every dealership, but I know of dealers where bonuses can be anywhere from a few percent to 50% of a dealers car salesman salary each month. I have seen the automakers offer car salesman cash of anywhere from $50 to $150 for selling a certain model car or even several models of cars. I am talking about the kind of benefits that include health insurance, paid vacation time and retirement benefits like a 401K savings plan.
Some dealerships still offer this to their salesmen, but you will be taxed as part of your car salesman salary for the privilege of driving a demo car. It shouldn’t be often if at all, but it can happen when your deals aren’t funded in a timely manner or you sales were terrible the past week. This is a detailed written strategy for compensating their salespeople that is performance oriented. What I am trying to say here is that every dealership has a slightly different pay plan than the next. Average is a subjective term and nailing down the average earning for a person that sells cars for a living is difficult to do.


This car salesman salary and pay-scale is unacceptable and something needs to change immediately. Car salesmen working at a used car lot or a very small new car dealership located in a rural area can often be topped off at this level because of showroom traffic and available customers.
The business of selling cars is full of opportunity and there is plenty of money to be made is this profitable and rewarding career of being a a car salesman. I was in sales for over 30 years, I want to make a Six figure income, and I want to maximize the learning curve.
The jokes and the bashing must end and the only way to put this unfair treatment to bed is to reveal the parties responsible for this injustice.
They were willing to make less profit and tighten their belts so more people could have cars, but as you will soon see how this plan backfired. People would brag about getting a bigger discount than their friends and before long the car buyers were spreading rumors about car salesmen and car dealers that made them look like crooks, villains and scoundrels in order to get a better price on their new car. The truth about car salesmen was no longer one of the upstanding and admired member of society, but it had turned into one of evil, deceiving, crooks and charlatans.
Comedians and TV shows portrayed the car salesman very poorly; they made jokes and skits ridiculing the car dealers and salesmen, which just made things worse for the entire car sales profession. Car buyers no longer wanted to buy cars from the small corner car lots they wanted modern facilities with fancy waiting rooms filled with comfortable furniture, coffee and televisions. They couldn’t afford nice clothes, they had to buy their clothes from thrift stores and they did all they could do just to survive. Regardless of the long ago acts of kindness and generosity of early car salesmen and dealers the Internet has become the latest tool for car buyers to discredit and victimize the car salesman. These websites don’t tell us how much our local grocery store pays for milk, bread and butter, but they publish the prices that dealers pay for cars. You can’t visit a website about cars today without being solicited to get a free, no obligation price quote. They thought car buyers wanted discounts without negotiation and so they offered one-price no-haggle car dealerships, but that wasn’t enough they still wanted more discounts. They told their sales staff that the shirts were provided to look uniform, but it was really about avoiding the look of the past and more criticism. The next step to changing the truth about car salesmen is the responsibility of everyone that sells cars today. Some may disagree with my account of the truth about car salesmen and car dealerships, but it’s way I see it. In Australia we are seeing dealers going into holdback deeper and deeper: which should be a no go zone. He was also involved to work on the movie “The Beatles Anthology” with his other band-mates.
As the ex-Beatle he makes million per year due to the iconic music brand that is still popular and profitable. The legendary musician appears in numerous talk shows and gives interviews to various magazines and gets millions for it every year. Paul McCartney is one of the lucky guys, who enjoy great views of New York just from the window of his apartment.
This can also serve as a guide for those that are already selling cars for a living or car sales newbies.
The dealership pay plan often has the biggest impact on how the car salesman gets paid and whether the dealer sells new, used or both.
Of course it’s more complicated than that because it depends on the pay plan that each dealership has in place. Not bad for a couple hours of work, but if the profit was only $200, 25% would only come to $50, but most dealerships also have a policy that pays the salesman a minimum flat fee (or mini) of $100 or so depending on the dealership.
This type of pay plan provides the comfort and security of a steady income every week, but it also allows the salesman to supplement their car sales salary and pay-scale based on their own initiative, drive and ambition.
This amount can range anywhere from $100 with weekly pay or up to $250 without weekly pay depending on the dealership and presence of other methods or opportunities to produce income that is part of the car salesman salary.
Usually these involve cars that typically sell well and the manufacturers are trying to increase their market share. Not all car dealerships are willing to include these types of benefits in the overall pay plan and compensation package, but you do need to think about these things as part of your salary.
However this can save you from buying, maintaining and insuring a vehicle to get back and forth to work, which can take a bite of your paycheck. Almost every salary in a car dealership is performance based and this is especially true when it comes to the car salesperson. The General Manager of the dealership is typically responsible for the car sales pay plan therefore its rare to find two unrelated dealers that have the exact same car salesman compensation strategy. It doesn’t matter if we are talking about a Chevy car salesman salary or that of a luxury vehicle salesman because it all works the same way. So if you are earning under $40,000 a year you need to accept your income, make a move to a larger dealership or start paying attention to the other members of the sales staff that are earning more than you. You may work at any of the new car dealerships and probably sell a mix of new, used and lease cars. They control their own income and have the ability to give them a raise whenever they want. After years of research, in depth interviews and digging up the ugly past I have come up with the truth. This is when the need for the car salesman began and the real truth about car salesmen begins. So the truth about car salesmen is that they were being generous to these first time car buyers by giving them discounts, but the car buyers started telling everyone they knew about these discounts. A classic example of someone (car salesmen and dealers) trying to be helpful and generous that were willing to take a cut in pay to help their customers now became the bad guy.
From then on the car salesman was the butt of jokes and yarns that made them a disrespected member of the community. This made the car salesman look even worse, but what could they do they had a hard time making ends meet because of these car buyers and their unrealistic and outrageous demands. They had to offer other things in order make enough money just to survive and satisfy the demands of the automakers and customers or lose their jobs and businesses. This is just another example of the unfair and unjust ways that car buyers are victimizing the car salesman. It’s like there is a conspiracy to destroy car salesmen and the dealers where they sell cars.
You must be professional, the kind of professional that makes car buyers think twice about the car salesman before giving them a hard time and remember that they have a job to do too! If their is a sale all dealers go by the same sale but not allowed internal control over prices. A hard deck would stop those who go everywhere trying to get a lower price in their tracks. The popularity of the band started from the hit “Ask Me Why”.The band of John Lennon, George Harrison and Paul McCartney changed its name several times. Thus Paul McCartney is a real money-making machine, one of the richest celebrities in the world. Especially those salesmen that want to evaluate their current standing and discover the potential for increasing their car salesman salary whether they get paid a commission or they work under a hybrid style of pay plan.


Whether we talk about the neighborhood used car lot or the multiple line mega new car dealership the car salesman salary calculation methods are explained and covered right here.
This method of car salesman compensation rarely allows the even the best salesman to earn more than a slightly above average car salesman salary. They don’t stay at work beyond their scheduled time for fun it’s usually because they are wrapping up deals and selling cars which isn’t too bad if you are making money for staying late. These premiums are design to motivate the sales staff by offering additional income, which is the method, that car the dealer has been using for years to increase sales and profits. So it wouldn’t be out of the question to sell anywhere from 5 to 10 of these cars in a month which can add up to a nice additional income.
If don’t have these benefits available through your dealership you will need to make the necessary adjustments and allowances to cover those expenses. Typically you will also have a perk that allows you and your family members to buy cars and parts at a discount, but how many cars do you buy and how often is limited. The draw is designed to automatically advance a fixed car salesman salary to hold them over until next week.
The car dealership wants to attract and keep the best car salesmen for their sales staff and this best done with an aggressive and generous pay plan.
Most pay plans for salesmen are similar in nature, but they vary slightly when it comes to bonuses and commission percentages.
One of the reasons for a seemingly low average income for people selling cars is the rate of turnover. Ask for some referrals, get back to basics, sell an extra car or two a month and read some of the articles on this website. This kind of car salesman salary is not uncommon; in fact a six-figure income is very common.
A truth that I am going to share with you that the American public has kept under wraps for over one hundred years. Very few people had automobiles at the time and so it was essential to have car salesmen to demonstrate, do a walk-arounds and test-drive prospective first time buyers. The car salesman was a respected and admired member of the community, but it wasn’t long before the car buyers of the country started changing the way they bought cars. They made low ball offers, they tried to trade livestock they did everything they could think of to get a car.
Then over the months and years ahead everyone wanted more and bigger discounts before they would buy a car. If they didn’t change the way they did business and provide all the latest amenities the car buyers would leave them and they would starve and lose everything they built so far.
The Internet continues to perpetuate the ongoing struggle that car salesmen and dealerships endure to sell cars for a living, pay the bills and feed their families. The truth about car salesmen is that they want to please car buyers, but they always want more and it’s never enough.
Of course not they just want to keep hammering the poor car salesmen and the dealers where they work. Our fore fathers created a monster and now it’s our job to rise above, sell more cars, make more money and create a good name for the next generation of car salesmen.
The modern day car salesman has a cross to bear for the mistakes of our fore fathers, but we can handle it because we are professional car salesmen and car saleswomen with thick skin and a desire to succeed.
The owner of multi million net worth, Paul McCartney finds the time for personal interests too.
The news about the murder of his colleague and friend was shocking and frustrating for McCartney.
This practice rewards the skilled members of the sales staff and starves those that are having a problem getting the hang of the job. Since the car salesman often has downtime during the day is can be a pleasure to be working and delivering a car if you are adding to your car salesman salary.
Any well-run dealerships will offer you these benefits, but once again every dealership is different and you will have get that specific information from the dealership as part of your car salesman salary package. Forget about having holidays and weekends off other than a select few when the dealership is closed, but typically you will need to be at work when people are off of work and want to shop for cars.
Then next week you will be paying back the draw as long as your commissions exceed a certain amount. Therefore most compensation plans are designed to reward those financially that sells the most cars and makes the most profit on their sales.
The best car salesman salary and pay plans for the person that wants to make a large salary is not necessarily the one with the highest commission rate. That’s right, you can give yourself a raise with a little extra effort and some car salesman tips. The car salesman is not the bad guy; it’s the car buyers of the world that have turned the world against the poor car salesman. So they did what they had to do to survive and the car buyers once again scorned them for trying to pay the bills with more rumors and more highly exaggerated and fictitious stories of exploitation. This unfair treatment has to stop and uncovering this scandal is the first step in the battle.
Oh, and the salary was $300 a week and after taxes and considering the amount of hours I put in a . This is one of the most popular reasons that people are hesitant to pursue a car salesman job.
For a more complete explanation and the details of a car salesman salary and commission visit: Car Salesman and Commission the Way it Works. If the salesperson is continually getting and paying back a draw from their salary it’s time to make a change. It’s usually the one that has a lower rate and a higher number of bonuses and other opportunities to earn additional income.
This is for several reasons, but this is also one of the main reasons that the median car salesman salary is so low. You can easily move in to the next level of income by working on your closing percentages and asking for more referrals and doing some prospecting. They were blinded by desire and everything they were taught about being respectful, polite and courteous n their business dealings went out the window. Its hard to imagine that a car salesman and a dealership that wanted to help a person get their first car by providing a discount is responsible for this epidemic, but it all right there in the history selling cars. I polled readers of this website in an effort to find how much do car salesmen make and the results are much higher than people expected. I know several salesmen that make this kind of income and they don’t work at Mercedes or BMW and some even achieve this level of earnings on a Honda car salesman salary. Occasionally Paul made friends with the other famous musician and producer from Liverpool, George Harrison. Thus three of them formed the band The Quarrymen, which was the basis for future The Beatles.



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27.04.2014 admin



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