F&I Manager Salary and Pay: What To Expect

When you are looking for a new career, one of the most important factors to consider is the amount of income you will earn, especially in relation to the cost of getting started and how long it will take to complete the training process. Although this may not be your most important consideration, you will want to know that the career you choose will be able to provide you with a comfortable salary.

In spite of the short training period required, F&I managers earn a relatively high salary that may surprise you.

How Do F&I Managers Earn Money?

F&I managers play an important role in the car sales process. After the customer has decided which vehicle he or she wants to purchase, the F&I manager’s job is to help the customer secure the financing necessary. This means that the F&I manager will work directly with the customer, as well as the entities that provide financing. F&I managers also complete financing documents and sell extra products available from the dealership, such as extended service contracts and other add-ons. Because many dealerships earn a large portion of their profits from these add-ons, promoting them to customers is one of an F&I manager’s most important responsibilities. F&I managers capable of selling these add-ons well will typically be able to get the best jobs and earn the most income.

F&I Manager Salary Structures

In the past, most jobs in the auto dealership industry were based solely on commission. This means that the amount of income earned depended heavily on the amount of sales they made. For F&I managers, this was actually beneficial, as many of them earned a great deal in commission.

Today, most auto dealerships do things differently. Instead of paying F&I managers and other professionals on staff solely commission, they use a balance of salary and commission. While this may have limited the total amount of earning for some F&I managers, it has been beneficial in other ways. For example, now that F&I managers earn a base salary, they are guaranteed a certain amount of income regardless of how well the dealership performs or how effectively they are able to sell add-ons during a given period. This provides more stability to their lives and reduces uncertainty. In addition, when F&I managers were paid solely based on commission, they tended to work much longer hours. With the new salary structure, F&I managers are able to earn a substantial salary while working a reasonable number of hours, which leads to a better overall quality of life.

How Much Do F&I Managers Make?

It is possible to find several estimates of F&I manager salaries. Although these estimates may differ widely from one another, they can give you a good idea of what you can expect when you begin working as an F&I manager.

Estimates from National Automobile Dealers Association (NADA)

According to NADA‘s annual Dealership Workforce studies, the average F&I Manager salary is around $142,000. This is the highest of the estimates listed here, but comes directly from NADA as a result of extensive yearly studies and information gathering.

Estimates from Indeed

Indeed collects salary data from anonymous individuals all across the United States, including both employers and employees. Indeed also incorporates information from recent job listings. Their current salary estimate for an F&I manager is based on information collected from 469 position within this industry. Currently, Indeed estimates the average salary for an F&I manager at approximately $96,662.

Estimates from the Bureau of Labor Statistics

The Bureau of Labor Statistics bases its salary estimates on information collected from establishments all across the United States. Every six months, the BLS surveys a sample of approximately 200,000 businesses out of a total pool of 1.2 million businesses in order to develop its estimates.

For May 2018, the BLS estimated the average salary for F&I managers working at automobile dealerships to be approximately $95,630. This translates to an hourly wage of approximately $45.98. The BLS also estimated that approximately 12,350 people were working as F&I managers across the United States at the time the survey was taken.

Factors Affecting F&I Manager Salaries

Average salaries earned across the United States won’t tell you exactly what you can expect to earn as an F&I manager. The exact amount you will earn depends on the specifics of your situation. Some of the factors that may affect your salary when you begin working as an F&I manager include:

  • The location of the dealership – In general, dealerships located in certain areas will pay more. For example, salaries for F&I managers tend to be higher on the East Coast.
  • The number of hours you work – If you are paid by the hour, working more hours will lead to a higher salary. Working more hours also provides you with more opportunities to increase any commission you may earn.
  • The dealership’s pay structure – The dealership’s pay structure will affect your overall income by determining how much money you are guaranteed, as well as your potential to earn commission.
  • How well you are able to sell add-ons – If your dealership offers commission and you are able to sell add-ons to many of your customers, you will earn more money.

How to Ensure Success as an F&I Manager

If you are hoping for a lucrative and successful career as an F&I manager, one of the best things you can do is enroll in an appropriate training program. The Automotive Dealership Institute has been operating as the only licensed F&I trade school in the United States for the last 32 years. The program at ADI provides you with all of the knowledge and skills you need to become a successful F&I manager at any auto dealership, and it can be completed in as little as four weeks. The program at ADI also offers a superior job placement program so you can find the perfect position after you graduate, with more than 90 percent of graduates finding an appropriate position within 90 days of completing the program. If you are interested in a career as an F&I manager, contact ADI today to learn more or to get started.

Contact us today to learn more about the F&I training program at ADI

Best Career Training for Post 9/11 GI Bill® Veterans: F&I Training

Many people find that finding a source of employment after leaving the military can greatly enrich their lives. Not only does a job provide you with more income, but it also gives you a sense of purpose and accomplishment. However, if you did not go to college or trade school before spending time in the military, your employment options may be more limited. Fortunately, the Post 9/11 GI Bill may provide you with an opportunity to go back to school and get the training you need to enter a new industry.

About the Post 9/11 GI Bill

The Post 9/11 GI Bill is a benefit available to certain former members of the military who want to further their education a. The purpose of this bill is to provide money that can be used to support higher education. The benefits may be available to qualifying service members, their spouses or their children.

Not every person who has served in the military will be eligible to receive benefits under this bill. In general, the educational benefits available under the Post 9/11 GI Bill are reserved for those individuals who have been on active duty for at least 90 days at some point on or after September 11, 2001. Service members may also qualify for these benefits if they served for at least 30 days before receiving a medical honorable discharge. Qualifying service members who cannot use their own benefits may be able to transfer them to a spouse or child.

The benefits available under the Post 9/11 GI Bill may include coverage for your tuition and fees, a book stipend and a monthly housing allowance. In some cases, the cost of relocation for school may be covered as well. The exact amount of benefits you can receive depends on how long you spent on active duty. However, you may be able to receive as much as 100 percent of your tuition and associated fees, up to 100 percent of your housing costs, up to $1,000 per year for books and educational supplies and the entire cost of relocation if you cannot find a suitable educational institution near your current home.

Using Your Post 9/11 GI Bill Benefits for F&I Training

After you learn that you can qualify for educational benefits under the Post 9/11 GI Bill, the next thing you need to do is decide how you will use these benefits. A variety of different career paths and training options are available, from bachelor’s degrees to on-the-job apprentice programs. However, one of the easiest and most lucrative options is F&I training. F&I training can benefit almost anyone, but people who have a disciplined military background are particularly well-suited for a career in this industry.

What Is F&I Training?

F&I training prepares you to work as an F&I manager in an automotive dealership’s finance and insurance department. For most dealerships, the department is responsible for bringing in a significant portion of the overall profits. Managers in this department work directly with customers, helping them to secure the financing they need to purchase the vehicle they have chosen. F&I managers also offer extra products to customers, such as GAP protection, alarm systems, extended service contracts and more. After securing financing for the customer and finalizing the details of any extra purchases the customer made, the F&I manager will prepare all of the paperwork to close the sale.

During F&I training, you will learn everything you need to know to be successful as a F&I manager at an automotive dealership. You will study automotive dealership transactions in detail so you can understand all of the intricacies of the sales and leasing process. You will also spend time studying auto financing in depth so you can be prepared to help consumers secure a loan. You will learn about the lending process, credit bureaus, consumers’ rights under federal law and more. In addition, F&I training will teach you the skills you need to sell the extra products the automotive dealership offers to consumers.

Choosing a School

At this time, Automotive Dealership Institute (ADI) is the only licensed and independent Finance and Insurance Manager School in the United States. This institution has been in operation for more than three decades, and offers job placement assistance to our students in all 50 states. Thus, if you are hoping to enroll in a program that will prepare you for a career as an F&I manager, you need to apply for the program at ADI.

Our program offers many benefits to students. When you choose the F&I program at ADI, you will be able to graduate in only four weeks. More than 90 percent of our graduates are able to find jobs in the industry within 90 days of graduation, and many of them are now earning six-figure salaries. In fact, the average income reported by the National Automobile Dealership Association for F&I managers is over $140,000.

Using Your Post 9/11 GI Bill Benefits to Enroll at ADI

If you think you may qualify for educational benefits under the Post 911 GI Bill and you want to use these benefits to pursue a career in F&I at ADI, follow the steps below.

1. Learn about the program.

Before you apply for enrollment in ADI’s F&I program, take the time to learn how the program works and how much it will cost so you know what to expect. Most of the information you need is available on ADI’s website. You can also contact ADI for additional information.

2. Learn about the Post 9/11 GI Bill.

Review the requirements for the Post 9/11 GI Bill to find out whether you qualify and how much you can expect to receive from the government to put toward your schooling.

3. Apply for Post 9/11 GI benefits.

Next, you need to apply to receive educational benefits under the Post 9/11 GI bill. You can apply for benefits by sending in all of the required information online. If you want help completing your application, you can also visit a local VA office to apply. In addition, you can get a paper copy of the application to fill out at home by requesting one from the U.S. Department of Veterans Affairs.

4. Apply for the program at ADI.

Once you know you have access to the educational benefits you need from the Post 9/11 GI Bill, you need to apply for a spot in the program at ADI. To begin this process, simply call ADI or complete the online contact form. Our team will send you the information you need to take the next step, and you will be well on your way to a career in F&I management.

ADI caters to former members of the military who want to use the Post 9/11 GI Bill to qualify for educational benefits. If you feel overwhelmed by the process or you simply want help getting the benefits you need and enrolling in our program, our VA liaison is happy to help you complete all of the necessary paperwork and get things moving in the right direction. Please contact ADI today to learn more about our program or to get started.

How to Be a Successful Auto Finance Manager

When it comes to working in the automotive industry, one of the most lucrative career paths you can choose is in the area of finance. If you wish to work as a finance manager, it’s important to understand what you should expect from this career and how to be the most effective finance manager you can be so you can help your customers get behind the wheel of the vehicle of their dreams at a price they can afford. The following tips can help you be the best auto finance manager you can be.

Get the Right Education

First and foremost, it’s important to make sure you have the right education before you become an auto finance manager. Not only will this help you show your employer you are the best choice for the job, but it will also ensure you can provide the high level of service your customers require with the accuracy they expect. There are options that make getting this type of education easy with online courses that can be completed in a short amount of time, all while giving you a solid grasp on the materials and an understanding of the software and processes needed to do your job well.

Listen to the Customer

While many of them may not be well versed in the nuances of automotive financing, it’s still important to listen to your customers and fully understand what they need so you can help them. It should be your goal to learn as much about your customers’ needs and financial capabilities so you can offer them the best products to get them behind the wheel of the right vehicle, while keeping their monthly payments as affordable as possible. Not only does this allow you to provide better service, but it also helps your customers feel more connected to you, giving it that personal touch.

Finish with the Most Important Point

Chances are you will have to make a pitch to many of your customers, going over a number of points to help guide them to the best possible choices. However, it’s essential to understand they aren’t likely to remember most of what you say. Typically, the last thing you say is what sticks in their minds the most. This means you should decide which pieces of information are the most important and save those for the end of your pitch. This ensures your customers can make the most informed decision possible and always remember the most important factors.

Communicate with the Staff Regularly

Perhaps the most important part of your job is communicating with customers and helping them make the right decisions regarding financing their vehicles, but this doesn’t mean you won’t regularly interact with the rest of the staff at the dealership. In fact, it’s essential to keep the lines of communication open with your coworkers as well, allowing everyone to remain on the same page. You will need to work together with the sales staff, as well as other areas of management, to provide each customer with the seamless service that makes buying their next vehicle easy and less stressful. It’s also important for the other members of the staff to be aware of the rules and regulations surrounding the financial side, so they don’t inadvertently mislead the customers.

Stay Updated

Just like many other jobs, the field of automotive finance is constantly changing. Not only will the deals lenders offer continually change based on the economy, but there are rules and regulations that may be updated as new laws are passed or expire. Therefore, it’s essential to keep up to date with all of these changes. You can do this by completing any continuing education courses that may be offered in the area of automotive finance, such as Automotive Dealership Institute’s F&I Training program, as well as by keeping up with the news and attending any seminars or other events associated with your field in the area. Once you do learn new things, don’t hesitate to set up a meeting and inform everyone else at the dealership about the changes, so they can make the appropriate adjustments in their area as well.

Use Only Products You Believe In

It’s easy to build up a large portfolio of options when it comes to financing vehicles; however, not all of them are as reliable and legitimate as others. This means you should take a close look at everything your dealership offers their customers and keep the list down to only those products you can truly believe in. Your customers come to you believing you will only offer them options that fall within their best interests. If you fail them, they not only won’t return to your dealership when they need a new vehicle in the future, but they are also likely to tell their family and friends about the experience, discouraging them from using your dealership as well. This can be alleviated by providing only products you know you can believe in.

Stay Compliant and Transparent

Customers need to know they can trust you. The best way you can do that is by using only the most ethical practices in the financing industry and staying compliant with all the rules and regulations put in place to protect the consumer. It’s important to be completely transparent with your potential customers, so they fully understand what you offer and where you stand in the area of finance. When they feel they can trust you, they are much more likely to purchase a vehicle from your lot and return to you for their future needs as well.

Build Lender Relationships

Having a good relationship with your customers and other employees is critical to any successful business. However, it’s just as essential to build positive relationships with the lenders your dealership uses as well, so you can offer your customers the best options when it comes to financing vehicles. When you work with certain lenders over the long-term, they are more likely to offer you better rates and can help you land more sales. After all, a solid stream of income is better than a few small loans on occasion for both you and the lender. There’s a certain level of trust between you and your customers and you need to strive for that same trust with your lenders to secure the financing those customers need.

Being a finance manager is about more than just getting your customers the loans they need to pay for their vehicles. You will wear many hats and play many roles along the course of the car buying process. The good news is you can become an effective finance and insurance manager when you follow these simple tips. It all starts with getting the right education at an institution like the Automotive Dealership Institute, so you get a solid foundation. Whether you’re already working in the field of automotive finance and insurance or you’re looking to make a career change, once you are trained in the field and you understand the importance and the role of each of these tips, you can rest assured you can provide your customers with the level of service they deserve and help them get behind the wheel of the vehicle they’ve always wanted without stretching their budget too far.

Interested in getting into F&I or stepping up your F&I knowledge? Learn more about the F&I training program at ADI today.

5 Ways to Get Better at F&I in 2019

Although car sales have seen a slight dip over the past year or two, the numbers are projected to start rebounding, hitting a decade high in 2025. These promising numbers indicate that now offers an excellent time for interested professionals to get involved in finance and insurance at auto dealerships. Those who understand the market stand to perform well in the quickly coming years.

Professionals in the F&I trade understand that a considerable number of skills are involved in building their position within the dealership. Good F&I professionals not only understand cars and finances, they also have excellent communication skills and know how to build rapport with consumers, encouraging them to finance new auto purchases with the auto dealership. They believe in the products they sell and bring a great attitude to each sale.

With the rise projected over the next few years, taking the time to build and solidify quality skills for the industry now will set these professionals up for success. Here are 5 ways to set yourself up for success in automotive finance and insurance in 2019:

1) Get trained with the leading professionals

One of the best steps you can take to build your skills is to get training from experienced, qualified professionals, like those at the Automotive Dealership Institute. Here, at the Automotive Dealership Institute, you will have the chance to learn from the only licensed trade school in the field. The school itself goes back over 30 years, with students learning from teachers who have taught countless successful F&I professionals in dealerships nationwide.

When it comes to F&I success, hands-on experience and the chance to learn from those who work in the field provides a priceless education. At the Automotive Dealership Institute, you will not only have classes that review all the skills you need to thrive in the industry, but you will also have the chance to speak with those working in the field. You will receive help coordinating interviews, preparing for the job, and support as you work to find the perfect position for you.

At the Automotive Dealership Institute, you will find yourself on the fast track to success. You will receive the training and help you need to jump into this career field, building your resume and launching you into the world of auto finance. Those interested in building their skills for this field should not overlook the power contained here. This education will be the most important step you take towards success in finance and insurance at an auto dealership.

2) Get to know your cars

Many people enter the field of auto sales because they already experience a passion for cars, but some prefer the emphasis on finance or sales. Regardless of whether a personal interest in cars drove your decision to enter the world of finance and insurance, you’ll want to take your knowledge of cars even further.

Every good salesman understands the importance of knowing their products, and that goes even further in the auto industry.

Although your title might pertain to the financing of the cars, you are a key player in the sales process. You need to be able to speak with customers and inspire confidence. You want them to know that you understand the cars thoroughly. You want to uncover potential opportunities for an upsell and understand how that will impact the finances of the customer. You will need to provide them with a reassuring voice that will help them navigate the waters of buying this new car.

To improve your knowledge, speak with the sales people on your team. You might also consider reading the information your dealership receives about the cars. The more you can absorb, the easier it will be to speak about the cars and trucks to your customers and close the deals that come across your desk.

3) Bring a great attitude

Buying a car tends to not be an enjoyable task for many customers. They find it stressful, as they worry about the finances and the decisions before them. They feel concerned about making the right choice for their family, taking into consideration factors such as comfort, safety, capacity, and durability. As a member of the sales process, you must bring a great attitude to the negotiating table.

Bringing this great attitude means really caring about your customers. You have likely shopped for a car yourself, so you know how stressful the process can be. Bring that empathy to the customers and let them see how much you care about them and their needs.

Think about what your customers need from their car and from their financial agreement. Work with them to create a situation where they feel respected and listened to and where you can guide them towards what will work best for them.

At the same time, let your enthusiasm shine. Make the passion you feel for these cars clear and let customers know that you want to help them buy the one they love. Let each customer you speak with know about your excitement for this opportunity to provide them with a car of their dreams.

Keep what is best for your customers in the forefront of your mind throughout the sales process. The better the customer feels about the decision you promote, the easier it will be to make the sale.

4) Believe in what you sell

To convince other people to purchase something you sell, you need to believe in the promise of your product yourself. It is very hard to convince people to buy something if you do not personally think that these products will fit the customer well.

As you research and educate yourself on what you sell, following the tips above, you will find it easier to convince people that financing this particular car deal will be in their best interest.

5) Set attainable goals for yourself

One of the best ways to improve in anything is by setting attainable goals for yourself. This will give you something to work towards and something to celebrate when you reach new heights. Goals help you stay on track and give you something concrete to work towards in your career.

It is important, however, to make sure that you set ‘good’ goals. Vague, broad goals will not help you accomplish much. Instead, follow the acronym SMART. You want your goals to be:

Specific. This means the goals are not broad and difficult to define. You want it clear what areas you will improve and how you will do it.

Measurable. Make sure that the goal can be measured. If you cannot measure your progress, you will have no way of knowing that you definitely reached your goal.

Attainable. Set goals that you can be confident you are capable of reaching. Increasing your dealership’s financing numbers single-handedly by 50 percent might not be attainable in one year. You want your goals to be reasonable.

Relevant. Make sure your goals are relevant to your job and where you want to go. Think about where you want to be in your industry and the goals you will need to get you there.

Time Bound. Give yourself a set period of time during which you have to accomplish your goals. This keeps you to a schedule and focused on your tasks at hand. You will find it significantly easier to accomplish your goals within a given timeframe.

As auto sales remain strong across the United States, and remain poised to grow in numbers in the next few years, those who want to thrive in the field of finance and insurance have the chance to position themselves for success. Those who take the time to follow these final recommendations will find it easier to improve their ability to do their jobs and earn a living doing something they love.

Interested in learning more about our F&I program? Request course info today!

From Sales to F&I: How to Grow From Salesperson to F&I Manager

Many individuals who enter the automotive industry do so as a salesperson. These individuals quickly learn how to guide their customers toward the right vehicle for them and help them plan around any budgeting constraints they may have. However, this doesn’t mean you are limited to working in the sales department for the rest of your career. A job in sales can often leave you at the same level, unable to progress your career as far as you’d like. This is when it can be important to seek out additional training so you can continue to work in the automotive industry, all while advancing it into a more lucrative venture for you. Not only will you make more money in the long run, but you will also learn new skills and remain challenged in your career so you don’t fall into the same patterns and become bored. The following are some things to keep in mind if you’d like to progress from being on the sales floor to working in the finance and insurance department.

The Clear Promotion Choice

You may have been in a job before where you felt someone got a promotion more because of who they were or who they knew, rather than what they knew and were able to provide for the company. This can cause a lot of resentment among coworkers, which can ultimately create a more toxic work environment with a higher rate of turnaround. The good news is when you complete the right kind of training to further your career in automotive finance and insurance, you are giving yourself the skills you need to do the job well. When it comes time to promote a salesperson into this important management role, many of your coworkers will apply for the same job. If they haven’t completed the necessary training, they are more likely to be passed over for someone who has obtained certification in this field. Because some schools that offer this type of training offer it online at a relatively fast pace, you can complete the work you need to become qualified for this position quickly and easily in between your job and family.

As long as you have the right skills, you can feel good about earning this promotion. Not only will it make you feel like you’ve gotten what you deserve, but it also means your coworkers are more likely to see the position as earned, rather than given to someone who doesn’t deserve it. Although they were passed up for the same promotion, they are less likely to feel animosity toward you, which contributes to a more positive work environment.

Learn the Necessary Skills

When you work as an automotive salesperson, you are responsible for making sure every customer who walks onto the lot gets the information they need to purchase the car they’ve always wanted. If you hope you move beyond this position, you need to learn additional skills. Those who work as a manager in finance and insurance are also salespeople, but it’s more than about just selling a car. When buyers sit down with this manager, they will work through all the paperwork necessary to obtain the financing needed to drive off the lot in their car. However, this isn’t the only thing the manager is in charge of. You will also be responsible for selling other products offered by the dealership, such as extended service contracts and insurance. This means you need to have a strong knowledge of these products and how to put them in the hands of customers who may not be expecting to have to make these purchases on top of their vehicles.

In the area of finance and insurance, you will need to become familiar with the software used to calculate payments and process the loans and other financial elements the customer chooses to purchase. The same knowledge you use on the sales floor is much different from that you must possess in the finance office. This requires specialized training before you undertake the job.

Any Mistake Can Be Costly

Those who work as a finance and insurance manager at a car dealership will see a lot of money pass through their hands. Some customers pay for their vehicles with cash or a check, while others will require your assistance to obtain financing from the bank. Regardless of how the vehicle is paid for, it’s important to not make even the slightest mistake during any transaction. One small mistake can end up costing the car dealership more than a little money. Not only could they potentially lose the sale in the long run or have to eat the cost of the mistake, but it could also sully the reputation of the dealership, losing even more potential sales. This means those who work in this area of the dealership must have a strong understanding of the processes, pay careful attention to detail and use great care in every transaction they oversee. Once a mistake is made, it’s not just the dealership that will suffer. The individual who made the mistake is also at risk of losing their position and never getting another similar job, which makes it essential to get the necessary training to protect yourself from this fate.

After Hours Sales

While bank hours and car dealership hours often coincide, it isn’t always possible for individuals to purchase a vehicle when banks are open. This can complicate the car buying process for those who require a bank loan to purchase the vehicle. The good news is if you get the proper training to work in the finance and insurance area of the automotive industry, you will learn the process the banks use to approve individuals for a loan. This means you can easily calculate whether an individual qualifies for a loan and what the likely terms will be for that loan. Individuals who come to the dealership outside of regular banking hours can still drive off the lot with the car of their choice and you can run the official loan once the bank opens again the following business day. Because of this, the car dealership is able to close more sales and makes buying from them more appealing because customers can come in at any time and get approved for a loan. However, it’s important to remember this is a precise process. Without a firm understanding of how banks calculate loans, you could approve an individual incorrectly, which leads to them either having to bring the car back or losing your dealership money. Either way, it can ruin the dealership reputation and harm its future, as well as your own.

Because of all these factors, it’s essential to get the proper training if this is your intended career path. At Automotive Dealership Institute, you can get all the training you need to progress into the finance and insurance career path and feel confident you have the skill and knowledge needed to do well on the job. These courses are offered online so you can complete them from anywhere with an Internet connection on your own time, allowing you to carefully balance your already busy life of work and family, while training for your future. Once you receive your certification, you will be ready to apply for the next opening so you can advance your career and get a solid grip on your future in the automotive industry.

Learn more about F&I Training at ADI