Lithuania pension reform: Transition to pension accounting units

As Lithuania undergoes pension reform, citizens withdrawing from private pension accumulation will see their state and Sodra contributions converted into pension accounting units. During the transition period from January 1, 2026, to December 31, 2027, individuals who opt out will receive their own paid contributions and investment results, while the state and Sodra portions are transferred back to Sodra as accounting units.

In the third quarter, the average amount transferred to Sodra was 2,763 euros, an increase of approximately 160 euros compared to the second quarter. Currently, 132 million euros have been transferred to the Sodra reserve fund. On average, withdrawing citizens acquire 1.12 pension accounting units, with 56 percent receiving up to one unit and 14 percent receiving more than two units.

One pension accounting unit is calculated based on social insurance contributions equivalent to 12 times the average annual wage. For 2026, the required contribution amount to acquire one unit is estimated at 2,419.43 euros.