In what situation can I claim?
The pension system in Lithuania is made up of three tiers in which pensions are accumulated differently.
Tier I - this is the State social security system through which individuals are insured or insure themselves for a State pension. State pension contributions are paid to SoDra by both the employer (23.3% - from 1st July 2017: 22.3%) and the employee (3%) and from the contributions collected SoDra makes pension payments. Pension insurance (self-insurance) over a particular period of time gives entitlement to a state social insurance old-age pension. Those who are insured for a full old-age pension and who have not yet reached pension age may invest a portion of their state social insurance contributions (2%) in a pension fund. That is to say, they may participate in pension cumulation through a pension fund - Tier II. In such cases, they need to make an additional contribution from their own earnings (2% of insured income) to the pension fund chosen. Additionally, a fixed contribution will be paid into the fund from the State budget (this amounts to 2% of the average earnings before tax of the average wage of workers over four quarters, based on data published by the Lithuanian Department of Statistics). Once a pension fund scheme has been set up, it is not allowed to withdraw before reaching pension age.
Tier III - this is additional voluntary contributions to a pension fund or participation in a life assurance scheme. Anyone may participate, including those who do not make payments to SoDra and who do not participate in Tiers I and II.
Social assistance pensions are payable to those who are not entitled to social insurance old age pensions or for whom such pensions would be very small.
What conditions do I need to meet?
The following have the right to receive a pension from SoDra:
- those who have reached retirement age. The pension age is currently being increased year by year to 65. You may use this calculator to find out the pension age;
- those who have at least the minimum social insurance pension record of 15 years. Starting from 2018, the obligatory pension social insurance record requirement for a full pension is 30 years and 6 months. This will be increased in every subsequent year until it reaches 35 years in 2027.
Those participating in pension cumulation (Tier II) acquire the right to receive a pension on reaching pension age, or if they are awarded an early old-age pension.
The following have the right to receive social assistance pension:
- those who have reached retirement age. The pension age is currently being increased year by year to 65;
- those who are not entitled to social insurance old age pensions or for whom such pensions would be very small.
What am I entitled to and how can I claim?
Entitlement to the old age pension requires a minimum obligatory pension social insurance record of 15 years. A full old-age pension is payable to those who have accumulated a contribution record of 30 years and 6 months.
Application may be made for the receipt of an old-age pension 3 months prior to reaching retirement age or at any time after this.
Those who participated in a pension cumulation scheme should apply to the company organising the scheme who will advise whether you will be awarded an annuity (see Jargon busters) or whether you may withdraw the total accumulated sum in a lump-sum or in instalments.
Social assistance old-age pensions depend on the social assistance pension base set by the Government and the coefficient which, depending on the group of people, may amount to 0.9 or 1 (EUR 117 or EUR 130).
When calculating the amount to be awarded, account is taken of such factors as the number of children (up to five) and the length of time someone disabled has been receiving care (up to 15 years).
Social assistance pensions are payable from the date of entitlement. They may be granted retroactively up to 12 months preceding the submission of all the necessary documents to the municipal administration.
- SoDra - The State Social Insurance Fund Board under the Ministry of Social Security and Labour, the principal body that organises social security.
- Insured income - the sum of a person's income from which state insurance payments are deducted.
- Pension annuity - a participant in a pension programme is paid a pension for life in instalments, with all the risk falling on the payer - the life assurance company.
Forms you may need to fill in
- A personal identification document;
- Documents proving your length of service up to 1994 and, in certain cases, proof of insured income before 1994.http://www.vilnius.lt/index.php?2137359300.
Know your rights
These links will help you find out what your rights are. These are not European Commission websites and may not necessarily reflect the views of the Commission:
- Ministry of Social Security and Labour information;
- Old-age pension age calculator;
- Pension calculator.
European Commission publications and websites:
Who do you need to contact?
SoDra, Tel. 1883 or +370 52500883
Lithuanian Bank Supervisory Service, Tel. +370 52680501, e-mail: email@example.com