The NDIS is changing the way participants are assessed and how funding decisions are made.
For many participants, families and providers, these changes can feel scary, Plan Hero has created a resource to help you understand what’s happening :
- Will I still get the supports I need?
- How will funding decisions be made?
- What happens at my next plan reassessment?
- Will providers need to do things differently?
This guide explains what is changing, what is staying the same, and what you can do to prepare.
Why Is the NDIS Changing?
The NDIS says the new process is designed to create a more consistent and fair way of deciding funding.
In the past, two participants with similar support needs could receive very different budgets depending on who completed their reports, the quality of supporting evidence, which planner reviewed their case, and how funding requests were presented.
The new system aims to make funding decisions more consistent across Australia.
How the Current Process Works
Currently, funding decisions are often based on allied health reports, specialist reports, functional assessments, supporting letters, planning conversations, and evidence provided during plan reviews.
Example
Two participants may both have Autism Level 2.
Participant A submits detailed reports from an Occupational Therapist, Speech Therapist and Psychologist. Participant B submits only a brief letter from a GP.
Even if their support needs are similar, Participant A may receive a significantly different budget simply because there is more evidence on the table. This is one of the problems the NDIA says it wants to fix.
What Is Changing?
The new model introduces a more structured assessment process called “New Framework Planning.”
Instead of funding being based primarily on reports and funding requests, the NDIA will use information gathered through standardised support needs assessments.
The focus shifts from asking “What supports are being requested?” to “What level of support does this person need to live their daily life and achieve their goals?”
It may sound like a small difference, but it changes how funding decisions are made. Under the new legislation, needs assessment reports must identify a person’s support needs arising specifically from the impairment(s) they met the NDIS access criteria for.
What Is a Needs Assessment?
A needs assessment is different from a functional assessment. While a functional assessment looks at what a person can and cannot do, a needs assessment looks at the level of support a person actually needs to live their daily life.
Rather than focusing on a diagnosis alone, the assessment looks at how the disability actually impacts daily living across various domains. The government has indicated that these assessments will be conducted by a trained workforce funded by the NDIA, rather than a participant’s own treating health professional.
Example
Two people may both have cerebral palsy. One participant works independently, drives and lives alone. The other requires daily personal care, mobility supports and assistance accessing the community.
Same diagnosis, very different support needs. The NDIS is placing greater emphasis on these daily support needs when determining funding.
What Does This Mean for Participants?
The transition to new framework plans will begin rolling out from mid-2026. The new NDIS Act says that all participants must have transitioned to new framework plans within 5 years.
Supporting evidence will still matter. But evidence that clearly demonstrates your daily support needs is becoming more important than evidence focused only on diagnosis.
Strong evidence explains what the disability is, how it affects daily life, what barriers the participant experiences, and why specific supports are required.
Less useful evidence simply states that the participant has a diagnosis and that therapy is recommended, without explaining how the disability affects everyday functioning.
When you transition to a new framework plan, your budget will look different. Plans will include a flexible budget and, if relevant, a stated budget.
- Flexible funding can be spent on any support that is an approved NDIS support for that participant.
- Stated funding specifies exactly how that money must be used (for example, for a specific type of support or delivered by a particular provider).
The NDIA will also introduce “funding periods.” This means your funding may be released in intervals (for example, 25% of your flexible funding released every 3 months or 6 months), rather than all at once.
What Does This Mean for Providers?
Providers may need to place more focus on documenting outcomes and daily support needs.
Reports may increasingly need to answer questions like: What tasks can the participant complete independently? What tasks require support? What happens when support is unavailable? How does the support improve their daily life?
Example
Instead of writing “Participant attends weekly Occupational Therapy,” providers may need to demonstrate something like: “Occupational Therapy has improved the participant’s ability to independently complete morning routines and use public transport.”
The second example shows functional outcomes and reduced support needs. That is the direction things are heading.
Funding Will Be More Closely Linked to Need
One of the biggest shifts is the move towards funding being linked to assessed support needs rather than requested services.
Previously, funding discussions often focused on hours of support requested, therapies requested and equipment requested.
Going forward, the focus will be more on the level of daily support requirements, living situation, community participation needs, and capacity building. The NDIA will then determine what supports are considered reasonable and necessary based on that information and the new legally binding NDIS Support Lists.
What Is Not Changing?
Despite all the discussion about reforms, some important things remain the same.
The NDIS still funds supports that are related to a participant’s disability and meet the reasonable and necessary criteria. The government has recently released clear lists defining exactly what is and is not an NDIS support.
Approved supports still include support workers, therapeutic supports, support coordination, assistive technology, home modifications, community participation supports, capacity building supports and plan management.
The NDIS will continue to assess whether supports are disability-related and represent value for money.
Common Concerns We Are Hearing
“Will My Funding Be Reduced?”
Not necessarily. Funding decisions will still depend on individual circumstances. The key difference is that the NDIA is aiming to use a more structured method for determining support needs. Strong evidence showing the impact on your daily life will remain important.
“Do I Still Need Reports?”
In most cases, yes. Reports continue to help explain your support needs, your functional challenges and why supports are required. The difference is that reports should focus on the level of support you need rather than simply listing diagnoses.
“Will Reviews Look Different?”
Yes. Many participants can expect planning and reassessment conversations to become more structured through the new needs assessment process. You may be asked more detailed questions about daily living, independence, community participation, mobility, communication and informal supports. Preparing examples from everyday life can be very helpful.
How to Prepare for Your Next Assessment
If your reassessment is coming up, focus on gathering evidence that explains three things.
What you struggle with. Think about preparing meals, personal care, managing appointments, communication and community access.
What support you currently need. This includes support worker assistance, therapy supports, assistive technology and transport supports.
What happens without support. Consider the risks, reduced independence, social isolation and inability to complete daily activities that would follow if your supports were removed.
Real-life examples are often the most powerful evidence you can bring to an assessment.
The Bottom Line
The NDIS is moving towards a more structured assessment and planning process that focuses on daily support needs.
For participants, the most important thing you can do is make sure your evidence clearly explains how your disability affects everyday life and what support you need to manage it.
For providers, the focus is increasingly on demonstrating outcomes, functional capacity and the real-world benefits of the supports you deliver.
The changes may feel significant, but the goal remains the same: ensuring participants receive funding for the disability-related supports they need to live more independently and take part in everyday life.
If you would like help managing your NDIS funding or preparing for the changes ahead, Plan Hero is here to support you.
