Is Plan Management Free Under The NDIS?

Important information:

• Plan management isn't "free" in the everyday sense. It's funded through your NDIS plan, under its own budget category (Choice and Control, part of Capacity Building).
• It doesn't come out of your other support budgets and there's no out-of-pocket cost to you if it's approved in your plan.
• You need to request this funding at your plan meeting. The NDIA decides whether to include it.

Is NDIS plan management free?

When people talk about National Disability Insurance Scheme (NDIS) Plan Management being “free”, that’s not quite right – it’s more accurate to say there’s no out-of-pocket cost to you, the NDIS participant. It’s functionally free to you, but it’s not a free service.

We can’t rightly call it “free” because someone is still paying for it; the NDIS fully funds this support for eligible participants. While it might seem like a small difference to say “free” versus “no cost to participants”, using the correct language is important. It helps make sure everyone can fully understand their options, because these options are presented in a transparent, fair way.

How Plan Management is Funded

Plan management sits under Capacity Building – Choice and Control. If you are approved for this support, it won’t affect your other funds; plan management is separate to other funding in your NDIS budget, so you don’t need to worry about whether it will impact your existing funding for Core, Capital or Capacity Building supports.

Plan Management Fees Explained

While you won't be charged out of pocket for either, plan management costs are divided into two line items:

1. A one-off set up fee, which will also apply whenever you start a new plan
2. The monthly ongoing, recurring monthly fee for plan management services

Both of these are fully covered by NDIS funding for eligible participants.

Requesting Plan Management Funding in Your NDIS Plan

If you choose plan management, be aware this isn't automatically approved. You will need to request it. Thankfully, you don’t need to wait for your next planning meeting to do this! You can ask to change how your plan is managed at any time by raising it with your NDIA planner or Local Area Coordinator (LAC).

The National Disability Insurance Agency (NDIA) will approve the funding if they agree it’s the best management option for you. The three possible management options are:

1. Self-management (where you manage your own plan entirely)
2. Plan management (where a NDIS-registered plan manager manages your plan)
3. Agency management (NDIA management, where the agency manages your plan)

In all these management options, you retain choice and control over your NDIS plan.

Plan management is often considered the ‘in between’ of the management options. At one end of the spectrum you have self-management, which is the most flexible but gives you the most responsibility as well. At the other end is agency management, which gives you the least flexibility – you can only work with NDIS-registered providers if you’re agency managed.

Like self-management, plan management gives you the ability to work with both NDIS-registered providers and unregistered providers. And like NDIA management, it takes the paperwork and everyday financial admin off your plate.

Related: What is NDIS plan management (and is it right for me)?

Your Life, Your Choice, Your Plan: How Plan Management Empowers Participants

A plan management provider's purpose is to assist you in managing your funding. When they take on the administrative burden, more of your time and energy is free to focus on other things.

Whether it’s wanting to be more social, learning additional life skills, or needing assistance with daily tasks, NDIS plan management can help you reach your plan goals by:

1. Checking and submitting provider invoices for payment
2. Making sure claims are in line with your plan, budget, current NDIS rules including NDIS Pricing Arrangements and Price Limits
3. Preventing non-compliance, like misspending or overspending
4. Budget tracking and regular reports (financial statements)
5. Keeping accurate records

You retain choice and control. This means you’re still in charge of who, what, where, when and how your NDIS plan is administered – as long as it’s in line with your NDIS plan as written, you choose the providers and supports you want.

Related: How NDIS Providers & Plan Managers Can Work Together for Participants

Why Choose NDSP as Your NDIS Plan Manager?

When you choose plan management with NDSP, you are engaging a team of experts who specialise in everything NDIS. We provide dedicated support and advice, backed by extensive NDIS experience and knowledge. Our friendly team can answer any questions you may have – or you can check out our free online participant toolbox for a great introduction all things NDIS and plan management.

We aim to make your journey with plan management (and the NDIS) as smooth as possible, so you can focus more on what’s really important to you. Part of that includes making our tools stress-free to use. Our Nappa portal is accessible on any device, at any time, so you can see your live plan budget whenever you like.

If you’re new to the NDIS, new to plan management, or are looking to switch plan management providers for a better fit – why not get in touch with NDSP today and find out more about how we can help.