Out The Door Price Formula:
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The "Out The Door" (OTD) price is the total amount you'll pay to drive the vehicle off the dealership lot. It includes the base price plus all taxes, fees, and add-ons, minus any discounts or rebates.
The calculator uses the following formula:
Where:
Details: Knowing the OTD price helps you compare offers between dealerships and negotiate effectively, as some may advertise low base prices but make up the difference with high fees.
Tips: Enter the vehicle's base price and your local tax rate. Include any additional fees your dealer has quoted, add-ons you want, and discounts you qualify for.
Q1: What fees are typically included?
A: Common fees include documentation fees ($100-$800), title/registration ($10-$500), and dealer preparation fees ($200-$1000).
Q2: Are taxes calculated on the full price?
A: In most states, taxes are calculated on the total after fees and add-ons but before discounts.
Q3: Can I negotiate the OTD price?
A: Yes, you can negotiate each component (base price, fees, add-ons) to lower the total.
Q4: How accurate is this calculator?
A: It provides a good estimate, but actual OTD price may vary based on your specific location and dealer practices.
Q5: Should I focus on monthly payments or OTD price?
A: Always negotiate the OTD price first, then discuss financing terms separately.