Episode 3 Thumbnail: Pay Invoice for a Jeep Wrangler

Pay Invoice for a New Jeep Wrangler: How & Where

Do as others have, and pay the invoice price on a new Jeep Wrangler. It will help to become familiar with of a few terms involved in the sale of a new Jeep. Also, knowledge of some little known information and available resources will also help in your new Jeep purchase experience. Read below for tips on how and where to buy your new Jeep Wrangler at invoice price.

Initial Definition of Terms

To begin with, let’s clarify and develop a good understanding of the following terms related to a new Jeep purchase.

-INVOICE stands for the dollar value that the dealer says that the Jeep costs them.

-MSRP stands for the Manufacturers Suggested Retail Price.  This is what the dealer wants you to pay. It is the number you will find on the window sticker on that new Jeep in the lot. It includes the Jeep and options asking price. The difference between the MRSP and the INVOICE is where the dealer makes some profit.

FREIGHT(PDI) stands for the Freight or pre delivery inspection fee. The dealer makes some profit on this. 

-ADMIN(DOC) an administration fee that would appear on your bill. The dealer makes some profit on this amount as well,

-OTHER  fees can be conveniently tagged onto the final sales contract depending on dealership practices and location. 

-TAXES such as sales and A/C taxes, and licensing charges, are costs added to the bill. The dealer does not realize any profit on these items.

That last item you can’t avoid. However, let’s focus on the initial terms, as you will learn below, they are not set in stone. 

Additional Terms And Factors Involved In The Sale of a New Jeep Wrangler


It’s important to understand a couple of other important, but little known items behind the sale of a new Jeep Wrangler.  An important term we need to understand is something called HOLDBACK. This is an extra amount of profit that the dealer receives from the manufacturer, after the sale of the Jeep.  This is something a lot of people are not aware of. So the amount of profit to the dealer on a sale is more than you would be led to believe. 

Some dealers might even share invoice costs to explain why they can’t negotiate too low a price. They will share with you that they have to make enough money above invoice to pay the bills. They won’t share with you the profit in HOLDBACK dollars that they will make from the sale of the Jeep. 

Thus, dealer profit is realized from items in the initial list above, plus the HOLDBACK amount from the manufacturer.  Holdback is to the tune of about 3% on a Jeep, so that’s $1,500 on a $50,000 Jeep Wrangler.  


However, there is still another factor involved where the dealer realizes a profit beyond the aforementioned examples. This additional profit comes in the form of bonuses awarded for reaching benchmarks or quotas.  The dealer earns additional dollars of profit on each and all of the already sold units upon achieving set quotas. This latter factor is what motivates large volume dealers at giving in a little when selling at invoice.

So all the items discussed here explain how some dealers are motivated to sell at INVOICE. Dealers still make enough profit on items, such as holdback, and bonuses for reaching quotas. That’s why making your offer at the end of the month can be helpful. Offers made at the end of the calendar year can also be profitable. Dealerships have “annual targets” that they may wish to achieve to put them beyond thresholds for annual bonuses.


Strategies And Resources To Purchase A New Jeep Wrangler At Invoice

A dealer may argue, that the supply and demand is such that they can’t negotiate much off of the MSRP. However. armed with the information above and the following strategies and resources, you can negotiate a better price.

Some strategies to use are:

1. -make an offer a few thousand dollars less than the MSRP, and try your best at negotiating a price

2. -enlist the help, for a fee, of a Haggle Free service, easily found online?

3. -google on-line Jeep forums for tips from other enthusiasts identifying their best deals for how much & where. (this one was key for me)

4. -watch the CheaperJeeperTV channel for good tips.

5. -finally, use any or all of the above strategies at the end of the month.

How And Where To Pay Invoice For A New Jeep Wrangler

So how does one determine what are the invoice prices of a new Jeep Wrangler JL and the desired options?, Also importantly, how can you find out which dealers are willing to play? 

I paid INVOICE for my new Jeep Wrangler.   The main strategy I used was Tip #3.  I joined and searched on-line Jeep forums to look for tips from other Jeep enthusiasts. I googled, “Jeep Wrangler JL Ontario Invoice Prices Forums”. I was able to locate and print out a list of the INVOICE prices of the various Jeep Wrangler models. I was able to read and learn which dealerships would honour INVOICE pricing. You can do the same google search for your province or state as well.

So Yes You Can Pay Invoice For A New Jeep Wrangler

There are lots of other Cheaper Jeepers out there doing this. They are sharing their experiences, results, and information online, on the forums.(See link provided below)

For this author, the final dollar value out the door amounted to about 10-11% off the MSRP.  So if you can’t find invoice information for the Jeep you want in your area, shoot for that percentage. Also, try to make your offer closer to the end of the month. In my area that’s not bad, although I have read in some states, some fellow Jeepers have done even better. Knowing the different sources of profit for the dealer on a new Jeep Wrangler sale, makes you an informed negotiator. It also makes you a more likely candidate at buying your new Jeep Wrangler at invoice price. 

Of course this is not the whole picture of the new Jeep purchase experience. To learn more money saving tips on which manufacturer installed options to get, read 5 Must Have Manufacturer-Installed Options When Purchasing a New Jeep Wrangler.

Related Information:

My Google search results


Pros & Cons to Car Buying Services

Wrangler Deals Website & Map, as seen in the video.

Extra Reading: The Insider’s Guide To Car Buying

5 Must Have Manufacturer-Installed Options When Purchasing a New Jeep Wrangler