What is an invoice price?

A new car's invoice price is the manufacturer's initial charge to the dealer. Keep in mind that the invoice price also has a little bit of profit for the dealer called dealer hold back, you can learn more about dealer hold back at www.adviceontime.com.

This is usually higher than the dealer's final cost because dealers receive rebates, allowances, discounts, and incentive awards.

Generally, the invoice price should include freight (also known as destination and delivery). If you're buying a new car based on the invoice price (for example, "at invoice," "$100 below invoice," "two percent above invoice"), and if freight is already included, make sure freight isn't added again to the sales contract.

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