The demography of India is in a period of change with declining fertility and rising life expectancy and an increasing number of elderly population. Uttarakhand and Himachal Pradesh, in this respect, present unique demographic and economic patterns as the geographical and socio-economic conditions are unique in these hill states. The paper will discuss the demographic transition dynamics and the old dependence in these two states in terms of economics. The paper investigates the trends of economic independence, aged sources of finance, and trends of old-age dependency ratio with reference to Census reports, National Sample Survey Office (NSSO) rounds (2004 and 2017-18) as well as other Indiastat data. The findings indicate that the economic self-reliance is declining, and there are rising rates of old-age dependency, particularly in older women and rural regions. To secure economic well-being amidst the demographic change, this paper highlights the importance of state-specific policy responses to ensure promotion of inclusive social security, active aging, and pension cover.