For Americans living paycheck to paycheck, saving for a rainy day might seem impossible. According to a recent study by MagnifyMoney, however, Peorians are doing just that. Peoria ranked No. 1 among nearly 400 U.S. metropolitan areas as the city with the most savers—as measured by the percentage of federal tax returns declaring interest income.
Nearly half (48%) of Peoria filers declared at least some interest income in 2017, compared to just 28.3 percent of all U.S. residents. Nearby Bloomington, at 41 percent, tied for eighth in the nation on this measure.
So are Peorians really the nation’s best savers? Not necessarily. That metric was just one of three used to determine a metro area’s saving score. The others were the percentage of residents’ total annual income that came from interest earned from savings, and the average interest income recorded on tax returns in a metro area.
Dubuque, Iowa landed the study’s top overall spot, scoring 97.8 out of a possible 100. Naples, Florida came in second with an overall score of 97—it ranked first in the nation with the highest amount of average interest income per return ($3,224) and the highest percentage of interest income compared to total income (2.33%). At 87.4, Peoria’s overall score ranked 28th in the nation—still a positive indicator for our region. You can parse the numbers yourself at magnifymoney.com/blog/strategies-to-save/super-saving-metros. iBi