According to the National Automobile Dealers Association (NADA) 2024 full-year report, the sales of light vehicles, which include vehicles under 10,000 pounds such as trucks, reached 15.9 million units. This achievement was due to the efforts of car salespeople working at 16,957 franchised dealerships, resulting in $1.2 trillion in sales in the U.S. Nevada, California, and Florida recorded the highest average total sales per dealership. This highlights the proficiency of the average car salesperson, especially when considering the average cost of car ownership in Florida and that California was among the top five states with the fastest-rising auto insurance rates in the same year. In 2024, NADA reported 1,122,117 employees at car dealerships nationwide, with new and used car salespeople accounting for 18% of these roles.
According to ZipRecruiter, salespeople across all categories in the U.S. have an average annual income of $81,617, with top earners receiving between $142,500 and $154,500. While this is an impressive average salary, it may vary in specific sales categories, such as vehicles. To accurately gauge a car salesperson’s earnings, one must consider factors like job responsibilities, benefits, and the challenges of selling vehicles to customers seeking the best deals, which can affect a salesperson’s commission.
The traits and challenges of car salespeople
To excel in their role, car salespeople need to be personable and skilled at managing customer interactions while collaborating with colleagues within the dealership. Although the tactics used by some car dealers to encourage greater spending may be viewed as understandable due to commission-based earnings, upward mobility is not guaranteed at franchised dealerships. However, there may be potential management opportunities that could increase income. Salespeople must be available during times convenient for customers, which might require working late on weekdays or during holidays and weekends.
Nonetheless, there can be days without customer visits, often influenced by economic factors beyond a salesperson’s control. For instance, as reported by NBC News in May 2025, President Trump’s tariffs have made some American cars more expensive, leading to reduced inventory on dealership floors. In April, these tariffs prompted a major car manufacturer to halt U.S. production, which is detrimental to a commission-based role.
This is how much a car salesperson earns in the U.S.
As per the National Automobile Dealers Association, in 2024, the average weekly earnings for employees at light-vehicle dealerships was $1,571. Annually, this equates to approximately $81,692. This figure can vary by state, with New Hampshire, New Jersey, and Massachusetts being the highest paying states for car salespeople, offering between $1,800 and $1,841 per week, or roughly $93,600 to $95,732 annually. Although the NADA data does not specifically differentiate between salespeople and other employees, Indeed estimates, updated in June 2025, suggest that car salespeople earn an average of $84,967 annually, closely aligning with the 2024 data. For top salespeople, Indeed estimates potential earnings of up to $166,586 annually.
Aside from sales and interpersonal skills, a high school diploma or GED is typically sufficient for this job, making it one of the highest-paying roles accessible without a college degree. However, dealerships selling foreign vehicles like Porsche and Audi have experienced shipping delays, raising concerns about job stability in this sector if production and shipping do not improve. Nevertheless, this could be a favorable market for used car salespeople, as more American consumers opt for pre-owned vehicles to avoid Trump tariffs and save money.
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