Take Steps To Ensure A Secure Retirement

Lutheran Brotherhood, the Minneapolis-based financial services company, recommends several steps individuals nearing retirement take.

Start by drafting a preliminary budget and estimating the length of retirement, perhaps by adding 10 years to the average life expectancy for males and 15 for females. Then divide your retirement savings by the number of months of retirement. If the result is less than your budget, consider the following options:

A reverse mortgage that allows you to remain in your home while receiving monthly payments secured by your equity in the property.

Returning to work. Thanks to new legislation, earnings won’t be subtracted from Social Security entitlements unless you’re under the age of 65.

Delay withdrawals from your retirement portfolio as long as possible, and keep reassessing your holdings. Maintain some exposure to stocks, which have consistently outperformed more conservative investments over time.

Protect your spouse with life insurance, and consider long-term care insurance as well.

Two Washington firms get high marks

Two Washington companies - bSquare Corp. and Targeted Genetics Corp. - are among six on which RedChip Review, the research division of RedChip.com, initiated coverage during the week of June 5, 2000.

bSquare (Nasdaq: BSQR) is headquartered in Bellevue. According to RedChip Review, the developer and integrator of Microsoft operating system applications for the rapidly expanding intelligent computing devices market is poised for growth.

Targeted Genetics (Nasdaq: TGEN), based in Seattle, has a unique, innovative platform for gene therapy.

The other four picks are: Energy Conversion Devices Inc. (Nasdaq: ENER), based in Troy, Mich. With its marketable energy technologies and computer-memory products, strong balance sheet and powerful partners, this company has the potential to revolutionize the energy and information industries.

Imatron Inc. (Nasdaq: IMAT), headquartered in South San Francisco, Calif. Providing emergency room physicians with high-speed, precise images of heart attack patients’ coronary arteries is just one of the life-saving applications of this diagnostic medical equipment maker’s scanning technology.

Iridex Corp. (Nasdaq: IRIX), based in Mountain View, Calif. This developer of high-tech laser systems is advancing the treatment of blindness caused by age-related macular degeneration, moving its technology through the FDA approval process and generating profits.

Rent-A-Center Inc. (Nasdaq: RCII), from Plano, Texas. With more than 2,000 centers across the United States, this rent-to-own retailer offers name-brand home electronics, furniture and appliances to credit-constrained customers.

New insurance brochure

The Washington Insurance Commissioner’s Office has prepared a new health insurance brochure for the disabled.

“Health Insurance Options for Disabled Consumers” was prepared by volunteers and Statewide Health Insurance Benefits Advisors HelpLine staff.

Medicare-related issues figure prominently because the disabled can use supplements not available to other consumers.

Medigap plans and choices from the Washington State Health Insurance Pool are also covered.

The publication can be ordered by telephone, 1-800-397-4422, or by using the commissioner’s Web site at www.insurance.wa.gov.

“This pamphlet is a good starting point for disabled consumers,” said Commissioner Deborah Senn. “But I also recommend that they consult with our SHIBA HelpLine volunteers.”

The telephone number is the same used for ordering the brochure.

Fed setting up market for rally?

Do you fear another interest rate increase when the Federal Reserve meets in a week? Calm down.

“The Fed hiked interest rates six times in 1999-2000,” says Barron’s. “The last time this happened was in 1994-95 when stocks rallied 25 to 30 percent after the sixth tightening.

“A repeat would push the Dow over 13,000 by next spring.”