The invoice price of a car is the amount that a dealership pays the manufacturer for the vehicle. It includes the base price for the vehicle itself, plus additional costs the manufacturer pays, such as advertising. The invoice price is usually higher than the amount the dealer actually ends up paying to the manufacturer because of discounts offered to the dealer that do not appear on the invoice, such as dealer holdback and dealer cash incentives. The invoice price is a useful piece of information to know when shopping for a new car because it can help you negotiate a better deal with the dealership. However, its important to keep in mind that the dealer might tell you that the invoice price is the bottom-line price, but thats only a rough estimate of what the dealer will pay the manufacturer.