An automotive floor manager closer might have different titles in a dealership or the business she works for, such as a closer or sales manager. The Bureau of Labor Statistics (BLS) reports that the average income for an automotive sales manager is $33.73 an hour based on 2006 data. Hours for the position often exceed 40 hours per week. A sales manager's salary can easily top $100,000 per year.
Salary and Commission
The annual income of a floor manager depends on his base salary and commission plan. A manager might gross over $1,000 per week and earn commissions on the gross profit of the dealership or profit only from the sales he closes if the dealer employs several other floor managers. Some managers might make a smaller salary or none at all, although the commission percentage is usually increased significantly when no salary exists. Sales managers are usually paid well, although income depends on the manager's negotiating and sales skills.
Market and Dealer Size
A manager's income also depends on the market and location of the business or dealer. A manager working for a very busy dealership will often make a smaller salary than average but still gross more than 2006 reported averages because of consistent dealership sales. If lenders restrict loan terms or interest rates increase, the manager's income decreases. Or if gas prices increase, business can slow down and decrease income. The market fluctuates, so each year and month results in inconsistent income.
The manager's bonus structure also affects her annual income. Bonus structures vary by dealer but are usually based on a percentage of profit. To increase sales and motivation, most bonuses increase by profit amount or number of sales. For example, a sales manager might make 5 percent of gross profit for up to $100,000 each. If the dealer exceeds the $100,000 amount, the manager's bonus might increase to 6 percent. This alone can earn the manager thousands per month or result in a deduction from projected income.
Many types of dealers exist and pay varies. A small, independent lot might only pay a small salary or hourly wage to a manager, resulting in much less pay than the national average. Managers at large dealerships who do a lot of business will likely exceed the average. Traveling sales teams, who work for dealer events across the county, have the opportunity to make a larger percentage of sales profit. If you're considering a position as an auto sales manager, find out the dealer's monthly goals, and ask to see the past year's profits if you're offered a commission plan.