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What will the NDIS fund?

Answering some of the common questions about what is funded by the NDIS.

Written by
Dan McCutcheon

One of the most common questions about the National Disability Insurance Scheme (NDIS) is what does the scheme fund and what does it not fund? In this post we are going to break down some of the common questions people have around NDIS funding, what is funded in different situations and what the funding can be used for. 

Reasonable and Necessary

The NDIS provides 'reasonable and necessary supports’. Reasonable and necessary (R&N) supports are unique to each person’s disability and each person's circumstances and goals. Funded supports assist people to achieve goals, develop independence and build capacity for social inclusion and employment. 

A reasonable and necessary NDIS support;

  1. is directly related to your disability. 
  2. is not an everyday living cost not related to your disability (such as groceries or rent). 
  3. is value for money.
  4. is effective.
  5. takes into account other government services, your family, carers, networks and the community.

NDIS funded supports are divided into three budgets;

  1. Core
  2. Capacity Building
  3. Capital

Example: you experience difficulty socialising and building connections with others. You receive support for allied health therapy through your NDIS plan to assist you to develop your social skills. This support enables you to participate more fully in the community, make friendships and gain meaningful employment. This funded support is directly related to your disability, has been shown to be effective, is the responsibility of the NDIS and is value for money because it helps you to achieve your goals, generate an income and contribute to the local economy. 

What's the difference between the Core, Capacity building and Capital budget?

  1. Core; supports that you need to meet your ‘core’ everyday needs like showering, support with mealtimes, support to access the community and transport. 
  2. Capacity building; supports to build your skills and independence. The aim of these supports is to overcome barriers and reduce your reliance on paid support over time as you build your capacity. 
  3. Capital; assistive technology (AT), home modifications (HM) and Specialist Disability Accommodation (SDA). 

Your NDIS plan might look a bit like this:

Answering some of the common questions about what is funded by the NDIS.

What does the NDIS not fund?

  • supports not related to your disability. 
  • everyday living costs like groceries, rent, bills etc. 
  • expensive unproven support options. 
  • supports that are already offered or are the responsibility of another government service, your family, or the local community. 

Every person is unique and as a result reasonable and necessary looks different for every person. Black and white thinking often in the form of confident claims on social media that the NDIS do fund a) or do not fund b) can contribute to the misinformation out there.

We’ve developed a reasonable and necessary checklist to help you to test whether the NDIS may fund a support:

  • Related to your disability? 
  • Not a daily living expense?
  • Related to your NDIS goals?
  • Helps you participate in the community?
  • Helps you study or work?
  • The cheapest and best solution available?
  • Helps you develop your skills and confidence?
  • Does not replace natural informal support from your family?
  • Most appropriately funded by the NDIS, not another system like the Health department or a community organisation?

If you answered Yes to all the above, your support meets the NDIS reasonable and necessary criteria! Keep in mind, whether the NDIS fund a support or not is always a decision based on individual needs, circumstances and goals. 

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