In order to cope with the challenges of population aging better, The article made a prediction about the population, proportion and dependency ratio of the elderly people in Liaoning province during the period of ‘12th five-year plan’, by employing the GM (1,1) model to analyze the relevant data of Liaoning population aged 65 and over from 2000 to 2004. The results showed that the population aging of Liaoning province had characteristics of large size, high growing speed, high severity, ahead of aging and inadequate preparation, etc. According to the above analysis, corresponding strategies to deal with the population aging are also put forward in this study.