Managing My NDIS Funding: Exploring the Different Choices Available
The National Disability Insurance Scheme (NDIS) has transformed the way people with disabilities are supported, empowering NDIS participants through its core principle of 'Choice and Control.' As part of this world-leading social insurance model, participants have direct access to their funding, giving them the freedom to decide how to allocate their funds and which service providers to engage.
One of the main features of the NDIS is the flexibility it provides in choosing service providers. Participants of the NDIS have the freedom to select from a mix of registered NDIS providers or unregistered providers. Many unregistered providers, whether organisations or sole traders, simply need to have an Australian Business Number, comply with NDIS Price Guide, and NDIS regulations. This level of choice allows participants to personalise their supports to suit their individual needs. Effectively managing your NDIS funding is essential to maintaining control over the services you receive and ensuring you can make choices that work best for you.
When you meet with the NDIA to discuss your plan, you will be asked how you would prefer to manage your funding, allowing you to build a support structure that suits you best. You can manage your NDIS funding in one of three ways (or a combination of the three). What you choose depends on your circumstances and what you want to achieve:
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Your registered provider submit their invoices directly to the NDIA, and the NDIA pays all your service providers on your behalf. They also keeps track of your spending which you can see on the NDIS app.
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Your registered and unregistered service providers send their invoices directly to your chosen Plan Management provider. The Plan management provider will provide bookkeeping services by paying your service providers on your behalf, ensuring the claims are compliant and correct. They will also help you keep track of your spending by sending you budget updates and give you advice about what you can or cannot claim in your NDIS Plan.
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Your registered and unregistered service provider send their invoices to you (or your legal representative) to pay them. You keep track of your spending, keep records of your invoices, and stay up-to-date about what you can or cannot claim.
You can also choose to combine any of the above in a single NDIS Plan. The main difference between the different fund management options is the flexibility and amount of administration each option has. Below is a summary of the amount of flexibility (choices and control) each option gives you:
Choosing the right management option for your NDIS plan is a personal decision based on your individual needs, goals, strengths, and circumstances. It’s essential to consider factors like your geographical location, support network, and access to services. For example, if you live in a metropolitan area with many registered providers, opting for NDIA-managed may give you plenty of choices. However, if you live in a remote area with limited NDIS-registered providers, the NDIA-Managed option might restrict your options. In that case, you might want to consider Plan-Management or Self-Management, which would allow you to engage with providers who are not registered with the NDIS.
Another common scenario is when participants have long-standing relationships with allied health providers, like an occupational therapist or a psychologist, who aren’t registered with the NDIS. Plan-Management might offer the best solution here, giving you more freedom to choose providers while avoiding the high levels of administration that comes with Self-Management.
For many, Plan-Management strikes the perfect balance, offering greater choice and control without the extra paperwork. Plus, if you request Plan Management, the NDIA will allocate funds specifically for that service, so there’s no out-of-pocket cost for you. The NDIS also provides helpful resources on managing your funds to guide you through the process. Follow this link for more information.
The option you choose will depend on your unique situation, goals, your ability to manage your funding and any risks the NDIA may foresee arising. If you're considering Plan Management and want to learn more, our team is here to offer guidance and support in considering your options and what may suit your needs better.
