Starting Monday, 19 May 2025, a major funding change occurred to the way we access and use NDIS supports.
Staged funding periods for new and reassessed plans
What is changing?
From your plan start date, instead of receiving your full budget at once, funds will be released in smaller instalments or “funding periods”.
- Core supports and capacity building will now arrive in quarterly tranches.
- Home & Living supports will now usually be funded month by month.
- High-cost items such as assisted technology or home modifications will continue to be paid in one lump sum.
If you do not use all the money in one period, any remainder automatically rolls into the next period, but any funds unspent when your plan ends will not carry over into a new plan.
Behaviour Support Example: If you would commonly have 60 hours of Behaviour Support Funding as part of your yearly NDIS plan, you will only receive 15 hours of funds in the first quarter of that plan. Q2 will also receive 15hrs, Q3 15hrs and Q4 15hrs. The Behaviour Support provider can only provide 15 hours of service in that quarter, and not exceed that amount.
Why is this happening?
Funding periods will aim to strengthen financial management and ensure your support budget is used effectively. The key reasons are:
- Better scheme sustainability
Releasing funds in stages helps the NDIA match payments to actual usage and reduces the risk of large sums sitting idle. - Improved transparency
You, your Plan Manager and approved Support Coordinator can clearly see what is available each period and plan services accordingly. - Consistent service delivery
Steady instalments encourage providers and participants to spread supports evenly, avoiding spikes or gaps in service. - Enhanced accountability
Periodic budgets make it simpler to track spending and demonstrate that funds are being applied as intended. - Fraud prevention and financial safeguards
Smaller, regular releases reduce the risk of overspending and help promptly detect irregular claims.
How it works in practice
- Periods start on your plan start date (for example, a plan beginning on 15 June will release its first funds on 15 June).
- You and your Plan Manager or approved Support Coordinator can view remaining balances and release dates in the portal. Other providers will only see your total available under each line item.
- Claims must be submitted within the correct period. If a support crosses two periods, you will need two separate claims.
- Trying to claim more than is available in the current period (including any rolled-over balance) will result in a full rejection. You cannot tap into forthcoming periods early.
When will this be implemented?
If your plan was approved before 19 May 2025, none of this applies yet. You will continue to receive and claim your full budget under the old arrangements until your next review.
Any plans that are approved or renewed from this date onwards, will be following the new funding rules.
An Update from Insight PBS
The above update is going to affect the service delivery at Insight PBS. Much of our work is front-loaded, meaning that our practitioners spend most of their allocated hours at the beginning of service delivery. Activities that generally occur within the first few months can include: Completion or update of a Functional Behaviour Assessment; engagement with stakeholders across home, educational and vocational settings; development and submission of a Behaviour Support Plan; adherence to statutory timeframes for reporting of any restrictive practices.
With these new funding periods, this front-loading of services is harder to complete. If a plan has 20-hours of Behaviour Support allocated to it, Insight PBS will only receive 5 hours of funding for the first three months. Using our above process, none of the above activities can be completed within those hours. This will leave the participant without any significant service until at least the second quarter.
For this reason, we have created our own Planning Resource to assist in applying for an amendment to the funding allocations. This will be available to anyone in our community via email below.
What to do before Funding gets approved
If your plan is soon to be renewed, we highly recommend that you work with your plan managers to request a change in the funding allocation for Behaviour Support. You can email us at hello@insightpbs.com.au for an example letter that can be used for this purpose.
About This Resource
The letter that we’ve produced is a practical tool for advocating on behalf of participants, families, support coordinators, and Behaviour Support Practitioners as they navigate the recent Section 33 changes to NDIS plan funding periods. This presents a crucial opportunity for Behaviour Support services to request funding that meets legislative requirements and accurately reflects the true level of support needed, particularly in the early stages of plan implementation.
Why Use It?
As stated above, most Behaviour Support Plans require the most resources in their first few months, mainly because of:
- Conducting Functional Behaviour Assessments
- Creating the Behaviour Support Plan
- Reporting on restrictive practices and ensuring compliance
- Training staff and working with stakeholders
This letter helps secure funding when it’s most needed, reducing the risk of non-compliance, service disruptions, or harm due to underfunding.
You can email us at hello@insightpbs.com.au for this example letter that can be used for this purpose.
What happens if funding has already been reviewed and approved?
Insight PBS has started to receive new and renewed plans that include the updated funding periods.
Insight PBS may not be able to accept new NDIS plans that have less than $3,500 in Behaviour Support funding allocated for the first quarter. This is due to the reasons listed above. In short, our ability to provide quality service will be limited with this low amount of funds over the first three months.
If you plan is soon to be renewed, you can email us and use our resource, and apply to have more Behaviour Support funding available in the first quarter.
Please note: This is in relation to new participants at Insight PBS. For continuing participants that have their plans updated to the new model, we should be able to continue service as normal.
A message from our Managing Director – Rosie Valencia
“With the introduction of the 2025–26 NDIS Pricing Arrangements and Price Limits, alongside recent changes to NDIS Funding Periods and plan structures, we recognise the very real administrative and emotional impacts these updates can have on participants, families, and providers alike.
While the sector continues to face both perceived and actual challenges, from funding constraints to ongoing uncertainty around reforms; our focus remains clear.
Insight PBS remains deeply committed to delivering evidence-based, person-centred care, no matter how complex the landscape becomes. Our commitment to providing consistently high-quality, values-driven services that support participant goals, uphold dignity, and deliver measurable outcomes remains unchanged.
Thank you for continuing to place your trust in our team. We’ll keep doing what we do best: walking alongside the people we support, with transparency, care, and professionalism.”
If you would like to talk through your personal circumstances about these changes, please feel free to email us at hello@insightpbs.com.au and we’ll be happy to go through all these changes.