A cargo trailer system includes a vehicle has a hitch receiver. A trailer is provided and the trailer may be manipulated thereby facilitating the trailer to be urged along a support surface. The trailer may contain cargo thereby facilitating the cargo to be transported. A plurality of wheels is hingedly coupled to the trailer. The plurality of wheels is selectively positioned between a deployed position and a stored position. The trailer is coupled to the hitch receiver when the wheels are positioned in the stored position. Thus, the vehicle carries the trailer.