What Does the On-the-Road Price Mean?
4 Answers
On-the-road price refers to all the expenses incurred when purchasing a car up until the vehicle is registered. Below is more information about the on-the-road price: Included Costs: The on-the-road price generally includes the ex-factory price, purchase tax, vehicle and vessel usage tax, car insurance fees, and registration fees. If the car is purchased through a loan, it also includes additional costs such as the 4S store service fee, GPS fee, and auto loan interest. Calculation Methods for Some Costs: Vehicle Purchase Tax = Ex-factory Price ÷ (1 + 17%) × 10%. Insurance Fee = Commercial Insurance + Compulsory Traffic Insurance. Vehicle and Vessel Usage Tax = Varies based on engine displacement. Vehicle Inspection and Registration Fee = Varies depending on the inspection method.
The out-the-door price is the total sum of all costs when purchasing a car, including the base price of the vehicle, purchase tax, insurance, registration fees, and other miscellaneous expenses. For example, a car priced at 150,000 yuan may have a base price of 150,000 yuan, but the purchase tax could be around 15,000 yuan, insurance about 7,000-8,000 yuan, and registration fees a few hundred yuan, adding up to over 170,000 yuan before the car is truly yours. It's called the out-the-door price because once paid, the car is officially ready to hit the road. Don't just impulsively sign a deal because the car price seems cheap—many first-time buyers are lured by low prices only to find themselves struggling with insufficient budget to cover the difference. I recommend proactively asking the 4S dealership or salesperson for a detailed quote, listing and verifying each item to avoid hidden charges, especially since insurance costs can be compared across different companies to save some money.
The out-the-door price refers to the total amount you pay, covering the vehicle price, taxes, insurance, and registration fees. From my car-buying experience, 4S shops often only quote a low vehicle price to lure you in, only for you to discover tens of thousands in additional taxes and fees when it's time to pay. That time I chose a 100,000 yuan car, but the actual out-the-door price was over 110,000, with taxes and insurance being the major costs. This price directly impacts your budget, so it's crucial to calculate it in advance, such as using mobile apps like Autohome to simulate estimates. I recommend doing your homework before purchasing, asking for the all-inclusive price, and not falling for low-price traps, otherwise, dealing with the aftermath can be quite troublesome.
The on-the-road price is the total cost to drive the car away, including the ex-factory price, purchase tax (approximately 10% of the car price), compulsory insurance and commercial insurance, license plate service fees, etc. To save money, don't just focus on discounts on the car price; negotiate the overall cost—for example, opt for basic insurance or wait for tax breaks during promotional seasons, and compare prices to save thousands. When I bought my last car, I negotiated an on-the-road price 15% lower than the online quote. The key is to ask more and haggle without rushing to sign. Remember, it reflects the real expense, helping you plan well and avoid pitfalls.
