What Happens If You Don’t Use All Of Your NDIS Funding?

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What Happens If You Don’t Use All Of Your NDIS Funding?

Written by: Katie Greig l NDIS Plan Management Team


NDIS Participants often hear the saying “use it or lose it“, but when it comes to your NDIS Funding, it’s not that simple.  Contrary to the saying, unspent funds are not lost or deducted from your next NDIS Plan, nor does it automatically roll over to your next NDIS Plan.

If you do not use all of your NDIS Funding within the period of your NDIS Plan, it isn’t added on as a surplus to your next NDIS Plan.  The funding you have been provided is allocated for that period of time and is deemed the ‘reasonable and necessary’ amount that you would require to make it through that period of time, based on a variety of factors such as:

  • Therapy reports;
  • Carers Statements;
  • Developmental Stages;
  • Progress; and
  • Other recommendations provided to the National Disability Insurance Agency (NDIA).

Want to know more about reasonable and necessary?  Check out this previous blog we put together: What Actually Is Reasonable and Necessary?

NDIS Plan Period

Depending on the time period of your NDIS Plan, you will have a plan review meeting, most likely every 12 months which should typically occur six weeks prior to the end date on your NDIS Plan, however, this is not always the case.  We are seeing more often the option to extend or roll over your NDIS Plan.

NDIS Plan Rollover -VS- NDIS Plan Extension

A rollover or extension is when they extend your NDIS Plan dates for a further 12 months and duplicate funds for your current NDIS Plan.

This may be an option if you haven’t had any significant changes to your services or life and if you felt that the funding was sufficient and you plan to continue working towards the current goals that are listed on your NDIS Plan.  This option removes the NDIS Plan review process, although you may still opt to request reports from your NDIS Providers so you can see what improvements or challenges have occurred and what the recommendations are to reach your goals.

NDIS Budgets + Flexibility

It is important to remember though, that NDIS Funding is flexible and if your circumstances change during your NDIS Plan period, you can request a plan review to adjust your funding and services accordingly.

Want to know more about flexibility within the National Disability Insurance Scheme?  Check out this previous blog we put together: So, Just How Flexible Is Flexible… In The NDIS?

You can also request a review of your NDIS Funding; this is for when your circumstances haven’t changed but you don’t believe you were provided adequate funding to cover your disability needs or the recommendations provided.

Communication Is Key: LAC + Support Coordinator

If you have concerns about not being able to use all of your allocated NDIS Funds or if your needs have changed, it’s advisable to contact your NDIS Planner or Support Coordinator to discuss your situation.  They are able to provide you with guidance and help you to explore options for reallocating funds or being able to adjust your NDIS Plan to better meet your current needs.  Keep in mind that communications with your NDIS Planner is crucial to ensure that your NDIS Plan reflects your evolving requirements and that you receive the necessary supports.

If you do not have a Support Coordinator or a direct communication with your Local Area Coordinator (LAC) or NDIS Planner, you can speak to your NDIS Plan Management team, like Canny Plan Management, for advice and assistance to track your over or under-utilised NDIS Budgets.

NDIS Plan Managers have the ability to educate you on NDIS Policies, guidelines, and available services which empowers you to make informed decisions about how to best use your NDIS Funds effectively.

Understanding Your NDIS Plan

The National Disability Insurance Scheme (NDIS) Funding is not automatically reduced in the next plan period if you don’t use all of your allocated NDIS Funds in the current NDIS Plan.

Each NDIS Plan period is generally developed based on your assessed needs, goals, and also aspirations for a specific duration, often one year.

At the end of your plan period, any unspent funds are not automatically carried over to the next NDIS Plan.  However, the amount of NDIS Funding you receive in the next NDIS Plan is not directly determined by whether you fully utilised the funds allocated to you in your previous NDIS Plan.  Instead, the National Disability Insurance Scheme reassesses your needs and goals during the planning review process to determine the appropriate level of funding for the upcoming NDIS Plan period.

If your needs haven’t changed, if there are new goals to address, or in the instance that your circumstances have evolved, you can discuss these changes during your planning review.  The review process allows for adjustments to be made to your NDIS Plan, including changes to funding allocations.

It’s important to communicate any changes that you have had in your circumstances to your NDIS Planner or Support Coordinator during the review to ensure that your NDIS Plan accurately reflects your current situation and needs.

Canny Plan Management + Your NDIS Funds

When it comes to your NDIS Plan it’s important to understand that unused funds from your current NDIS Plan do not automatically result in a reduction of funding in your next NDIS Plan.  The reassessment during the planning review is what determines the funding allocation for your upcoming NDIS Plan period, based on your current requirements.

It’s vital to have the right people in your corner when it comes to your supports and your providers.  You should be able to work in partnership and be the one that your support network take direction from, as the NDIS Participant.  Regardless of the amount of NDIS Funding, Canny Plan Management can assist with creating NDIS Plan budgets for plan managed funds to help NDIS Participants manage their funding and expenditure to engage the supports they need and get the best vale and outcomes from their NDIS Plan.

Get in touch to find out how our NDIS Plan Management team can help with your NDIS Budgets!

Pictured, Katie Greig standing with her hands behind her back and a big smile on her face. Wearing a black blazer and a bright green top underneath. The words "Katie Greig- Adviser." on the left hand side and on her right is an orange circle with a little bit of information about Katie.

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