Employee Pricing from Auto Manufacturers; Scam or Sweet Deal?


With all the employee pricing being hyped and advertised

on the media I thoughtI would write a short article on the

subject. I have also gotten a lot of questions in emails about the subject.

Here’s the deal: Employee pricing is the lowest price you will

ever be able to purchase a vehicle for period.

Employee pricing is usually several hundred dollars below


So how is the auto dealer making any money selling at employee


It’s simple… They are reimbursed from the auto manufacture.

For example General Motors gives $1500 to the dealer for every

car sold at employee pricing.

When you combine employee pricing with the rebates your getting

the very best deal possible.

Obviously the dealer is still going to try and up his profit

margin in several other ways.

If you are trying to trade in a vehicle then the dealership is

going to try and offer you even less than he normally would.

Because of employee pricing everyone and their brother is

buying a new car right now and the dealerships are stuffed with

used car inventory. Therefore unless they can “steal” your

trade they are really not that interested in taking in another

used car in their inventory.

If you want to buy a car at employee pricing then this would be

the best time to try and sell your trade in vehicle yourself

and save yourself the headache of muddying the water with your

employee price purchase.

The other question I get asked a lot lately is, “How do I know

I am getting the actual employee pricing?”

They are doing national advertising for employee pricing and it

is coming from the auto manufacture. When the actual auto manufactures come out with an incentive program the dealers

must adhere to it! If they tried to be dishonest and sell you

the car you want above the employee pricing they would be

in extreme hot water with the manufacture, could lose their

franchise, and get sued.

Therefore you don’t have to worry about not getting the actual

employee price if it is advertised. The only time the numbers

can get skewed is when you throw in your trade vehicle which

you owe money on. Again, this is why I encourage you to sell

your vehicle yourself.

Last but not least, just because there are great deals at

employee pricing does not mean you should go out and buy a new

car. If you can’t afford the car or the payments then it does

not matter how good a deal you got.

You’re still putting yourself in financial hardship. Think

before you buy!


Source by Peter Humleker

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