Labor Day weekend isn’t just the unofficial end of summer; for car shoppers, it’s the time of year when deals are as abundant as iced coffees at the beach. Auto dealerships roll out some of their best discounts and promotions, hoping to clear old inventory and make room for next year’s models. Whether you’re looking for a practical commuter car, a shiny new family SUV, or a sporty splurge, Labor Day might just be your wallet’s favorite holiday.

But with so many options, where do you even begin? Here’s a look at some of the best deals you can score this weekend, so you can drive away feeling like you’ve won the car-buying lottery.

Deals on Last Year’s Models

If you’re someone who doesn’t need the absolute latest features or the cachet of owning a year-ahead model, you’re in for a treat. Car dealerships use Labor Day to try and move out last year’s inventory to make room for the upcoming models. This can mean incredible savings.

Vehicles like sedans and compact cars often have the steepest discounts as customer preferences continue to lean toward SUVs and crossovers. Since these models are brand new (and not “used"), they still come with original manufacturer warranties, giving you peace of mind along with that jaw-dropping discount. The best part? Many of these cars are virtually identical to next year’s model, apart from maybe some minor tech updates or cosmetic tweaks.

When looking at last year’s models, be sure to compare features with their latest iterations. A car that lacks the absolute newest gadgets might come at a five-figure discount, which makes it all the sweeter when you tell everyone about the deal you scored.

Lease Offers You Can’t Ignore

For drivers who like to keep their options open and upgrade frequently, Labor Day is prime time to snag a stellar lease deal. Many manufacturers offer lower monthly payments or reduced down payments to lure buyers during this high-volume shopping period. If you’ve been eyeing a luxury car that might be out of your budget to buy outright, leasing can also bring it well within reach.

Some dealerships even sweeten the deal by offering additional perks, like free maintenance packages or lower wear-and-tear penalties at the lease’s end. Look for leases with low-interest rates or promotions like the first month free.

Just remember to calculate the mileage allowance and any potential penalties for exceeding it. If you’re someone who clocks in high miles annually, leasing may need a closer look before committing. But for those who love the idea of driving a new car every few years, this might be the Labor Day jackpot you’re searching for.

Cash-Back Incentives That Add Up

Everybody loves a little cashback, and this type of promotion is practically a Labor Day staple in the car-buying world. Here’s how it works: Instead of simply lowering the sticker price of a vehicle, manufacturers or dealerships will offer a “cash-back” reward as an immediate discount or rebate. It’s like finding money in your pocket but scaled up to include commas.

These deals are typically applied to specific vehicles the dealership is motivated to sell. SUVs and trucks, for example, often come with hefty cashback offers since they’re in high demand. Buyers willing to opt for specific trims or configurations (rather than being picky about what’s on the lot) tend to reap the biggest rewards.

And yes, cashback promotions can usually be stacked with other discounts, making this an even more attractive option for savvy shoppers. Pro tip? Always ask if the cashback can be taken as a lump sum or applied as part of your down payment. The choice is yours, but either way, you’re driving off with something extra in your metaphorical pocket.

Financing Deals That Keep More Money in Your Wallet

If you’re planning to finance your car through a loan, take advantage of special Labor Day promotions that turn high-interest payments into manageable monthly bills. Many manufacturers and dealerships team up with banks or credit unions to offer reduced APR (annual percentage rate) financing, including the coveted “zero percent APR” offers.

Lower financing rates can save buyers thousands of dollars over the lifetime of their car loan. Take, for example, a five-year loan on a $30,000 car. Reducing the interest rate from 5 percent to 0 percent could save you over $4,000. That’s not pocket change, that’s vacation money.

Of course, these financing offers typically require buyers to have solid credit scores, so it’s wise to check your score before heading to the dealership. If everything checks out, you might find yourself with a dream car and a bargain to brag about.

Trade-In Bonuses That Sweeten the Pot

Have a current car sitting in your garage that you’re ready to say goodbye to? Labor Day is often the perfect time to trade it in. During holiday sales events, dealers frequently offer above-market value for trade-ins to incentivize buyers. Combined with cash-back offers or reduced prices on new vehicles, trade-in bonuses can make upgrading your ride super affordable.

Here’s the deal, though. Don’t walk into a dealership without knowing the approximate value of your trade-in. Use tools like Kelley Blue Book or check private sales listings to establish a baseline. A little research pays off, keeping you informed and better equipped to negotiate.

If your trade-in is in great shape or has low mileage, you’re likely to get top-dollar offers. Even older or higher-mileage vehicles can qualify for trade-in promotions during Labor Day weekend. Remember, every dollar off your new car helps stretch your budget further.