Baltic countries have shown very fast developments during last 15-20 years with also their lessons learned in the way. One of the big reforms that have been passed is pension reform. Most of the regulations as well focus have been set to pension accumulation phase, while there is limited framework in place regards de-accumulations or out payments. The reserch will cover pension payout concepts and best practices from other countries as well as local circumstances and customer preferences in order to find a suitable concept. Beneficiary parties are therefore pension funds, life insurance companies, regulatory institutions and most important all the people who are involved in the private pension systems.