What is NDIS Plan Management: A Simple Guide for You

What is NDIS Plan Management?

May 17, 2025

|By Careassure

|6 min read

What does NDIS plan management do?
Management of funding in a participant’s plan
Conclusion

The funding in an individual's National Disability Insurance Scheme (NDIS) plan is governed by NDIS plan management. There are numerous types of plan management; therefore, selecting the appropriate one is critical. Utilising your NDIS plan to acquire a service or equipment constitutes a financial transaction. Each transaction involving funds from your plan must adhere to the regulations set forth by the NDIS and be duly recorded and accounted for. Your decision regarding who is accountable for monitoring your budgets and remunerating your service providers constitutes plan management.

What does NDIS plan management do?

Managing and monitoring a participant’s budget.
Managing a participant’s NDIS claims and disbursing funds to providers for services delivered.
Providing regular statements to a participant to show the financial status of their plan, including prompt notification of over or under-utilisation.
Offering increased choice and control to a participant over plan implementation and utilisation through additional financial assistance.
Participants can also receive advice from plan management providers about utilising their NDIS plan funding best, which can assist in building a participant’s financial capacity and knowledge.

Management of funding in a participant’s plan

Funding in a participant’s NDIS plan can be managed in many ways. Some of them are discussed below.

1. Agency managed

This is when a participant uses the National Disability Insurance Agency (NDIA) to manage their NDIS funds. The NDIA will directly pay registered providers of relevant services on behalf of a participant. When you schedule any equipment or services with a provider, the National Disability Insurance Agency (NDIA) pays for it. Service providers can directly invoice the National Disability Insurance Scheme (NDIS). Alternatively, your plan includes funds for support coordination. In that case, you may receive assistance from a support coordinator hired by the NDIA or a local area coordinator employed by a third party. The primary advantage is that you will not be required to monitor your spending or manage the cash associated with your plan. Instead, you will be able to concentrate on organising and getting services. The most significant drawback of this choice is that it offers less flexibility. You are only allowed to make reservations for services from providers registered with the NDIS, and you will be required to obtain approval from the NDIA for any purchases. This includes those that are minor and fall in your consumables budget.

2. Self-managed

This is when a participant (or their plan nominee) manages their NDIS plan funds. The NDIS will reimburse a participant or their plan nominee directly for the NDIS support received. When you self-manage, you are directly accountable for the financing in your plan, and you will be responsible for managing receipts, invoices, and service bookings on your own. One of the benefits of taking this strategy is that specific components of your plan are accessible to you in a direct manner. As an illustration, you can make purchases in your consumables budget and then submit a claim to the NDIA to reimburse those purchases. Even though they are not registered with the NDIS, service providers can be booked by you. The drawbacks are the management of expenditures, the maintenance of records, and the verification that the financing in your plan is utilised appropriately. Also, you may be required to negotiate service agreements with your partners.

3. Plan managed

This is when a participant chooses to use a plan management provider who will assist in managing their NDIS plan funds. Plan managers can purchase support on behalf of participants from either registered or unregistered providers. A plan manager will receive funds from the NDIA and disburse funds on behalf of a participant to providers of other services accepted. You will meet with a plan manager instead of meeting with your support coordinator or local area coordinator to discuss services. This contrasts with an agency-managed plan, which will meet with you to discuss benefits. In addition to lowering the amount of administrative work you must do, the plan-managed option offers many of the benefits associated with the self-managed option. Nevertheless, you are still partially responsible for appropriately spending the funds. In exchange for their services, you will be required to pay a fee to your plan manager; nevertheless, you can obtain financing from your plan for plan management.

Conclusion

When managing your NDIS plan, the above information will help you make a good decision. The plan-management option is the one that receives the most attention among the three management choices. It is common knowledge that plan management allows participants to select registered or unregistered NDIS providers. Care Assure is a registered disability service provider in South Australia, and you can get in touch with us if a plan manages your National Disability Insurance Scheme (NDIS) funding. We work effectively to improve the lives of persons who have impairments. You can use our services to achieve greater independence and a higher level of control over your support. We will assist you in gaining access to the financing made available by the NDIS, and we will also ensure that the participants successfully achieve their NDIS goals.

Frequently Asked Questions (FAQs)

: NDIS Plan Management involves a third party, such as a dedicated plan manager, handling the financial management of a participant's NDIS plan. The plan manager coordinates with the participant, service providers, and NDIA to ensure efficient use of funds.