Abstract
In all states of European Union reforms in pension system are being made, likewise in Latvia. Demographic and economic problemsthat are occurred forces pension reforms to be made. New developed pension reform includes different processes, like – formation offinancial equilibrium between incomes and costs, limit performance in going early in pension, increasing of age of going in pension,rebalancing between men and women. Simultaneous formation of state and private pension systems could prevent some of the majordrawback in system of pension that undermines the pension system of nowadays. Unfortunately the high social security contributionsof state sector persons lacks of money, for deposit in private pension funds. Using method of logic synthesis, as the target authorsnominated to examine problems of pension systems in the Baltic States, as well as similarities and divergences in problems andperspectives, with the status of private pension funds in accumulating pension system.KEY WORDS: labour market, pension system, pension funds, the Baltic States.
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