Why does 30% of NDIS funding go unspent?
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Did you know that around 30% of NDIS funding goes unspent annually?
According to the latest NDIS quarterly report, for supports provided between 1 April 2020 to 30 June 2020, 30% of funding had not been claimed.
Unspent funds don’t roll over which means your clients might be missing out on receiving services or supports that could be helping them to live better lives.
Here are some reasons we hear from our members…
“The services I need don’t exist in my area.”
It can be hard for participants to use their funding if they can’t find the right support providers. This is the case for many participants living in regional or remote areas who may find access to services more difficult than participants living in large cities.
Although the recent changes since COVID-19 mean some services are being offered through telehealth or online platforms, many people may still have difficulties in getting the supports they need.
One of the benefits of plan management is that your clients can work with all providers (whether registered with the NDIS or not).
The Leap in! Provider Network Directory is a great resource for your clients to find the right supplier or service provider in their area. Our members can even connect with a provider based on their location using the new Providers near you feature of the Leap in! app.
“I’m worried about losing the funds I haven’t used but I’m not sure how to use the funds I have left.”
For many clients, not having a proper understanding of their NDIS Plan and what it covers or what they are allowed to spend the funding on, can make it difficult for them to spend all of their NDIS budgets.
We can help participants with relevant suggestions that contribute to their goals. We can also connect them with the right local supports, services and providers, like yourselves.
If a participant has trouble accessing service providers, we help identify options for providers who can deliver what they need.
If there were times when they are unable to access services for health or other reasons, Leap in! can provide advice on how to document situations so the funding can be included in their next plan.
“I want to save my funding for a rainy day.”
Some people make the mistake of trying to save more of their budget than needed for later. When the time comes for their next plan, any unspent money doesn’t roll over and leftover funds will no longer be available.
Our role as a plan manager means we can assist our members to manage their funds and pay their bills, providing them with access to view budget statements, current claims and service agreements at a glance.
“My family member is providing support so I don’t need to use all of my funding.”
Informal support provided by parents, siblings and other family members can sometimes reduce a person’s need to access NDIS funds.
They cannot use their NDIS funding to pay for a family member to provide supports. This is important to help them maintain good relationships with their family.
They might be able to flexibly use their NDIS funding to access other supports or services that meet their needs. The Core supports budget is the most flexible. For example, if a family member is helping with everyday household tasks, any Core supports – Assistance with Daily Living funds can be used to purchase consumables.
“I am no longer working and am unable to spend my allocated funding for my supports at work.”
There are a number of reasons for personal circumstances to change that could affect the supports your clients need.
A change of circumstances could include:
- Changes to living arrangements
- Changes to disability needs
- Changes to employment
- Changes to the care or support provided by family and friends.
If something does change that affects their needs or the supports in their plan, they will need to complete a Change of circumstances form and contact the NDIA. In some cases, this may lead to a Plan Review.
It’s important to always make sure that your clients NDIS Plan includes the supports they need through each stage of their life.
We’re here to help!