Wordpress, Nginx and Pretty Permalinks
The only issue I had with moving my blog from Apache to Nginx was with pretty permalinks. Installation and setup was very easy. I used this guide from Rackspace Knowledge Center. Add in MySQL server after setting up Nginx, PHP-FPM and you're all set. My server now uses much less RAM and is better suited for serving my static content.
When I first had everything setup, I could login to Wordpress dashboard and make edits to my site, but when I tried visiting any links I received 404 errors. After some Googling and trying a couple solutions it still was not working. I finally found the simple solution below, it's on the Official Nginx Wiki (should have gone there first!).
Add this to your location /
try_files $uri $uri/ /index.php;