How to change default timezone for Active Record in Rails?

I have decided to compile this answer because all others seem to be incomplete.

config.active_record.default_timezone determines whether to use Time.local (if set to :local) or Time.utc (if set to :utc) when pulling dates and times from the database. The default is :utc. http://guides.rubyonrails.org/configuring.html

If you want to change Rails timezone, but continue to have Active Record save in the database in UTC, use

# application.rbconfig.time_zone = 'Eastern Time (US & Canada)'

If you want to change Rails timezone AND have Active Record store times in this timezone, use

# application.rbconfig.time_zone = 'Eastern Time (US & Canada)'config.active_record.default_timezone = :local

Warning: you really should think twice, even thrice, before saving times in the database in a non-UTC format.

Note
Do not forget to restart your Rails server after modifying application.rb.

Remember that config.active_record.default_timezone can take only two values

• :local (converts to the timezone defined in config.time_zone)
• :utc (converts to UTC)

Here's how you can find all available timezones

rake time:zones:all

adding following to application.rb works

 config.time_zone = 'Eastern Time (US & Canada)' config.active_record.default_timezone = :local # Or :utc

I came to the same conclusion as Dean Perry after much anguish. config.time_zone = 'Adelaide' and config.active_record.default_timezone = :local was the winning combination. Here's what I found during the process.