NDIS Feature – Changes to funding are all about timing and budgets

CHANGES to how people with disability receive their funding began in late May this year and are being gradually rolled out.

The changes, according to the NDIS, are aimed at helping participants more easily manage their budgets.

“Most participants currently have access to all their funding at the start of their plan and need to make it last the full duration of their plan, [which is] usually 12 months,” an NDIS spokesman said in a recent release.”

Previously, the funding allocated to the individual’s plan was allocated in one lump sum.

“We’ve heard from participants that these 12 month funding periods can make it hard to budget, increasing the risk of overspending or running out of funds,” the spokesman said.

On May 19, different funding periods were introduced to new and reassessed plans.

“This change will be rolled out gradually,” he said.

“Participants will not be impacted until they receive a new or reassessed plan following discussion with them to understand their circumstances.”

Now, funding periods will usually be set at three months periods.

This change is to give flexibility to participants and to help them manage their budget.

“This approach makes sure funds are available at regular intervals and supports consistent use of funding over the length of the plan,” the spokesman said.

He added the reassurance that funding periods don’t change the total amount of funding in a participant’s plan, it only changes the timing of when the funding becomes available.

“Funding periods in NDIS plans are not new,” he said.

“Changes to the NDIS Act introduced funding periods in October 2024.

“All new and reassessed plans since then have included 12 month funding periods.

“The NDIA sets the length and amount of funding periods in line with NDIS laws, taking into account a participant’s individual needs and circumstances.”

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