Abstract:Today the old -age insurance system i n Chinese rural areas has lagged behi nd the requirements of social and economic development.The paper points out that a social old -age insu rance system should be built and the system should be adapted to the needs of market economic development and b e integrated with the system in Chi-nese cities and towns after analyzin g some of the key problems that are ham pering system reform and its develop-ment in rural areas.