18/05/2025
From Monday, 19 May 2025, the NDIS National Disability Insurance Scheme will implement a change in how funding is released for all new and reassessed plans.
Participants will now receive funds distributed in scheduled instalments known as “funding periods,” rather than accessing all the funds at the beginning of their plan.
All NEW and REASSESSED NDIS plans will include funding periods.
This means your total plan budget will be split into smaller portions, released at set intervals, rather than giving you access to the entire amount upfront.
For most participants, funding will be released in 3-month periods. For Home and Living supports, it may be released monthly.
Existing plans are not affected until you have a plan reassessment or review. If your plan is simply extended (rolled over), these changes won’t apply until your next review.
How Do Funding Periods Work?
- You can only spend the funds allocated for the current funding period. For example, if you have a 2-year plan, you might only be able to access 3 months’ worth of funding at a time.
- Unspent funds from a period will generally roll over to the next period within the same plan.
- This staged release is designed to help with budget management and prevent running out of funds early.
Why the Change?
- The new structure aims to provide more transparency, encourage regular plan reviews, and ensure funding is used consistently over the plan’s duration.
- It also allows for more timely interventions if there are issues with spending or support delivery.
Other Important Updates
- Plans will show a total budget amount (not individual line items), making it clearer how much funding you have and how long it needs to last.
- The NDIS will only add extra funding in specific situations, like emergencies.
- All new participants from January 2025 will receive an impairment notice, which will link directly to funding decisions.
What Should You Do?
- Be aware of your funding period dates and budget accordingly.
- Attend NDIA information sessions if you need more guidance.
- If you have a review or new plan after 19 May 2025, check how your funds are split and plan your supports to match the new release schedule.
Below we have included a list of links to help you understand the change including the Operational Guideline, DSS Section 33 factsheets and NDIS FAQs.
You can access the Operational Guideline here - https://ourguidelines.ndis.gov.au/your-plan-menu/your-plan
You can access DSS Section 33 factsheet here - https://www.dss.gov.au/national-disability-insurance-scheme-review-and-reforms/changes-ndis-legislation
You can access the FAQs page here - https://www.ndis.gov.au/changes-ndis-legislation/frequently-asked-questions-about-legislation
Bookmark the events page here - https://www.ndis.gov.au/news/events
