DealersEdge Professional Forums

I am having a concern with the senior Managment. What does your warranty person make and whats a pay plan?? We are a Ford Store with Lincoln-Mercury, Mazda, Suzuki total volumn about 200K a month and 600 claims. I am paying about 55K to much or to low?? Does anyone have a good pay plan?

Thanks,

Bob

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Robert "Bob" L. Silcox

Warranty admin pay depends so much on the local market it is tough to pin down. $55K maybe too much for say Iowa, but you'd struggle to find someone for that amount in the greater NYC area. Does the person do all the traditional warranty role from labor operation assignment all the way to claim reconcilation?

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** Rob, Editor Dealersedge/WD&S **
Help is only a message post away!
robc@dealersedge.com

bsilcox,
You may even be a little low for the size of your store. A good warranty administrator is worth their weight in gold. Most dealers don't realize it until the auditors knock on their doors. Their are stores in Florida that gladly pay $70,000 and some will furnish them a demo. In a lot of cases, getting a claim paid is a "gray" art, not black and white. Dealers and GMs have no clue.

Thanks ROBC and Fopsdoc,

My warranty admin does it all from op coding to closing out the repair order, posting the payments and schedules. Cleaning all schedules for warranty and extended warranty and our Fleet department. Please forward information the battle is getting hotter..........

Thanks,

Bob Silcox

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Robert "Bob" L. Silcox

It depends a lot on your size, location, cost of living etc. We're in a small dealership, small town and we pay about $25,000.

It also depends on the benefit package.

Nor Cal

Price of admission for a good warranty administrator is $4000-6000 a month easy. We actually pay an hourly rate plus a small incentive to keep schedules clean. I
Unless you consider outside service and then you will lose a certain level of service and you will have to take alot more responsibility upon yourself. Good luck- You dont know what you have till it is gone!!!

this is interesting I'm in Nor Cal and make way less than that. I'd say i get about 3k a month with 3 years prior experience

Thanks, Everybody for all the information. Is there a good pay-plan idea that can help me get this person bought. Great person works hard with very little charge back, Need anybody input. Thanks a Lot......

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Robert "Bob" L. Silcox

Suggestion:
A flat monthly salary (paid weekly) plus a small bonus at the end of the month for ZERO claims over 30 days old. I would stay away from paying a commission on dollars collected. Warranty expense almost always goes up a bit plus, the manufactures frown on it.