How much do car salesmen pay for their cars?
I have a buddy who was in the Navy did his enlistment and is now out. He is now going to school and is a car salesman at a Kia dealership. At the time he got hired he was driving a Honda Civic. But when he got hired on, he had to be driving a Kia to work (he works for a Kia dealership.) They let him do an even trade for a Kia Rio and he drove that for about a year. Then he traded that in for a brand new Kia Optima. He has that but has added a Kia Sportage. (About a year after getting the Optima).
He told me that he makes about $200 for every car he sells, and if he sells 10 cars a month that's a little better than average. $200 a car times 10 cars a month times 12 months is $24,000. That's less than I make in the Navy, and I get free food, housing, utilities, and health care. (But he is also a full time student, and he's not paying a dime for that, plus getting a little extra as a stipend.)
I also told him if he was going to sell the Optima, I'd be interested in purchasing it. He said he can't privately sell it, he has to trade it in or keep it or junk it.
So I'm wondering how much do they pay for their cars? I can't believe he's working just to get a car. I also don't want to think that he's going in deeper and deeper in debt just to have a car.
So in general, how much do car salesmen pay for their cars?
I have a buddy who was in the Navy did his enlistment and is now out. He is now going to school and is a car salesman at a Kia dealership. At the time he got hired he was driving a Honda Civic. But when he got hired on, he had to be driving a Kia to work (he works for a Kia dealership.) They let him do an even trade for a Kia Rio and he drove that for about a year. Then he traded that in for a brand new Kia Optima. He has that but has added a Kia Sportage. (About a year after getting the Optima).
He told me that he makes about $200 for every car he sells, and if he sells 10 cars a month that's a little better than average. $200 a car times 10 cars a month times 12 months is $24,000. That's less than I make in the Navy, and I get free food, housing, utilities, and health care. (But he is also a full time student, and he's not paying a dime for that, plus getting a little extra as a stipend.)
I also told him if he was going to sell the Optima, I'd be interested in purchasing it. He said he can't privately sell it, he has to trade it in or keep it or junk it.
So I'm wondering how much do they pay for their cars? I can't believe he's working just to get a car. I also don't want to think that he's going in deeper and deeper in debt just to have a car.
So in general, how much do car salesmen pay for their cars? Most car sales people are way underpaid, which is why there's such a high turnover. They don't get cars at big discounts, and it certainly shouldn't be a reason for the job. Most don't drive new cars. They pay like everyone else. A number of them buy trade in clunkers because their used car managers feel sorry for them.
They don't get great deals at all. Managers get a car to drive but that's it. Often they get a demonstrator to use. If he's any good at his job he will be on "retainer + commission".
That means he get paid a low wage, then a bonus of maybe $200 for each car he sells. Possibly even gets extra commission from the finance co, for each deal he signs up, as well the the sales bonus.
So he's probably making more than just the commission.
He is also in a position to grab an "ex demo" and arrange the best possible finance on it. But that's just contacts.
He will get a best possible deal on the vehicle too, but the dealers on make a few thousand in a new vehicle, so it won't be more than that. It is probably a dealer owned vehicle that he pays a monthly fee to use.
Most don't drive new cars. They pay like everyone else. A number of them buy trade in clunkers because their used car managers feel sorry for them.
They don't get great deals at all. Managers get a car to drive but that's it.
Often they get a demonstrator to use.
If he's any good at his job he will be on "retainer + commission".
That means he get paid a low wage, then a bonus of maybe $200 for each car he sells. Possibly even gets extra commission from the finance co, for each deal he signs up, as well the the sales bonus.
So he's probably making more than just the commission.
He is also in a position to grab an "ex demo" and arrange the best possible finance on it. But that's just contacts.
He will get a best possible deal on the vehicle too, but the dealers on make a few thousand in a new vehicle, so it won't be more than that.
It is probably a dealer owned vehicle that he pays a monthly fee to use.
- Why do people get mad over the fact that their cars require full synthetic oil? I work as a mechanic and found some people do not like the fact 2010 and up toyotas and Hondas and almost all 2014 cars and European cars require full synthetic oil. A majority of the anger comes towards toyotas and Hondas. Despite me explaining the increased intervals, they still get angered at the fact. Is it just me or does less time doing oil changes that save you more money in the long run end up coming out cheaper despite the increased price and why would they be angry saving money?
- Why do honda street racers put spoilers/ wings on their front wheel drive cars? In Los Angeles i see alot of street racers driving hondas witg huge spoilers on the back… Doesn't that make a front wheel drive slower
- What are some sites where people rent out their own personal cars? I'm thinking of one, but I forgot the name of it. You'd have a list of people renting their cars out in your area. You could rent anything from a 15yo Honda with a manual trans to newer Teslas and BMWs. Any similar rental services?
- How much of a problem did Hondas have with there push to start feature failing to let their cars start? I have heard some people say Honda had a problem with this. Was it just a few Hondas or was it a big problem?