Social scientists emphasize importance of factors influencing quality of life of elderly people, especially those in need of social assistance. Aim of the paper is to present findings of grounded theory research on the subjective quality of life of socialy dependant elderly people, living in long term care institutions. The data consists of 21 semi-structured interviews analysed by constructivist version of grounded theory methodology (K.Charmaz). The interviwees are elderly people living in residential care institutions in Lithuania (aged 60-92). Folloing factors of life quality were identified: (1) independence and self-sufficiency; (2) re-creating the important life moments via memorializaton practices; (3) sustaining lively social links with important social actors; (4) acceptance of assistance services; (5) vitality (both physiological and psychological).