Carson City residents aren't saving money for retirement. Who cares? We're having fun.
Compared to 500 other metro areas and the states, Carson City ranked 277 in the "Nest Egg Index."
That means 223 other communities scored higher than our fair city in how much personal savings the residents sock away for retirement.
The nation's best-saving communities are: Los Alamos, N.M.; Bridgeport-Stamford-Norwalk, Conn.; San Jose, Calif.; Torrington, Conn.; and the Minneapolis-St. Paul area.
By measuring a dozen statistical factors, including participation in retirement savings plans, personal debt levels and home ownership, A.G. Edwards' (NYSE: AGE) Nest Egg Index shows the geographic regions where people are succeeding in saving.
For the states, New Jersey once again ranked No. 1 (the second time in this second annual report), followed by Connecticut, Minnesota, Maryland and Massachusetts. Nevada ranked 26th.
What is it about those Eastern states? I hate to sound jealous (because I'm not), but it must be all that old money growing stale inside 20-inch thick vaults. Here on the West Coast we're all about the entrepreneurial spirit, therefore we're not tied down by the burden (or benefit) of blue blood. Or, maybe it's because Westerners are not getting paid as much and our houses cost more, for those lucky elite who happen to own a home.
Interesting details uncovered by A.G.:
• Although wealth is often associated with big cities, three out of the 10 top-performing communities were "micropolitan areas" of 10,000-50,000.
• Communities that ranked high this year enjoy strong housing markets.
One Nevada community fared quite well. Gardnerville Ranchos ranked 14 in the country. That's quite impressive. But we all know why. They only let people live there who can afford $450,000 homes. Of course, those people have savings plans and low personal debt.
But are they having fun?
Fallon posted dismally at No. 394. Reno at 226. That's because they're all having too much fun going to the cantaloupe festival and the balloon races to save for retirement. Las Vegas is at 339. I can't imagine what they must be doing down South: Taking ice cold showers in the blistering heat, searching in vain for stars in the polluted night sky, visiting the Liberace museum. They must have to spend lots of time in the bars.
For those who are saving
Of the 1 million tax returns filed by Nevadans in the tax year 2004, more than 750,000 of them could be eligible for at least some of the saver's credit if they made a qualifying contribution.
For those who make eligible contributions to an employer-sponsored retirement plan, or to an individual retirement arrangement, you may be able to take a tax credit, according to the IRS. The amount of the saver's credit you can get is based on the contributions you make and your credit rate. Visit www.irs.gov/publications/p590/index.html for information.
• Contact reporter Becky Bosshart at bbosshart@nevadaappeal.com or 881-1212.