The National Disability Insurance Scheme (NDIS) is a vital support system for Australians living with a permanent and significant disability. The funding provided by the NDIS is personalised to meet each participant’s unique goals, needs, and aspirations. It gives individuals with disabilities choice and control over how their support is delivered and by whom. When it comes to managing your NDIS plan, staying within your budget is essential to ensuring consistent access to the supports and services you need. A plan manager plays a crucial role in such situations helping participants managing their NDIS funds wisely.
Overspending your NDIS budget means using more funds than what has been allocated to you. This can happen for a number of reasons including unplanned support needs, services costing more than expected, or poor tracking of invoices and claims. If you overspend, your plan may run out before the plan period ends, leaving you without support for the remaining months. You may also face delays in receiving additional funding, as changes to plans take time and are only considered under specific circumstances, such as a significant change in need. Plan managers are expected to notify you as soon as they identify any risk of overspending. They cannot claim funds before a service is delivered, and they are not allowed to pay providers beyond what is outlined in the NDIS Pricing Arrangements. Regular budget reporting and open communication with your plan manager is so important to
avoid overspending. Underspending might seem like a good thing to a new participant, but in the world of NDIS, it often indicates that you aren’t getting the full benefit of your plan. If your funds remain largely unused, it may suggest that your current supports do not align with your goals, you are not accessing enough services, or you are unsure how to use your budget.
At your next plan review, significant underspending could lead to a reduced budget, as the NDIA might assume you don’t need as much funding. This can be particularly challenging if your needs increase later but you no longer have the same budget available. Plan managers can help you monitor your spending patterns and identify ways to make better use of your funding along with your support coordinator.
Plan Guard Plan Managers is a registered NDIS plan management service provider and we can help you make confident decisions about your funding and avoid the mistake of overspending or underspending. Contact us today to experience a stress-free NDIS journey!
