# Lithuania pension system reform

> Live situation record from CLSTR: https://clstr.news/situations/lithuania-pension-system-reform
> Updated: 2026-10-26T13:04:50.000Z. Sources: 4. Developments: 3.

Lithuania is undergoing a pension reform that allows residents to withdraw accumulated funds from the second pension pillar during a transitional period lasting from January 1, 2026, until December 31, 2027. To receive funds by mid-October, residents were required to submit requests by September 30. 

Under this reform, individuals receive their own contributions and investment results. However, state incentives and Sodra contributions are not returned to the individual; instead, they are transferred to Sodra and converted into pension accounting units. 

Data from the third quarter indicates that the average amount transferred to Sodra per person was 2,763 euros, an increase of approximately 160 euros from the second quarter, with a total of 132 million euros transferred to the Sodra reserve fund. On average, those exiting the system acquire 1.12 pension accounting units. Specifically, 56 percent of those withdrawing receive up to one unit, while 14 percent receive 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.

The Ministry of Social Security and Labour (SADM) has noted that withdrawn funds are counted as income and assets, which may temporarily impact social assistance, housing compensations, or other benefits for up to three months, except in specific cases of serious illness or palliative care.

## Timeline

### 2026-10-26: Lithuania pension reform: Transition to pension accounting units

Lithuanian citizens withdrawing from private pension accumulation will have state and Sodra contributions converted into pension accounting units during the 2026–2027 transition period.

2 sources. https://clstr.news/cluster/lithuania-pension-reform-transition-to-pension-accounting-units

### 2026-10-23: Lithuania: Pension accounting units for those exiting savings system

Lithuanian citizens exiting the pension savings system during the 2026–2027 transition period will receive state and Sodra contributions in the form of pension accounting units.

2 sources. https://clstr.news/cluster/lithuania-pension-accounting-units-for-those-exiting-savings-system

### 2026-09-28: Lithuania pension reform: deadline for second-pillar fund withdrawals

Lithuanian residents have until September 30 to request the withdrawal of second-pillar pension funds for October payout. Officials warn the funds may impact social assistance eligibility.

7 sources. https://clstr.news/cluster/lithuania-pension-fund-withdrawals-may-impact-social-assistance

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Cite as: Lithuania pension system reform. CLSTR, https://clstr.news/situations/lithuania-pension-system-reform