What is fund management?
During your child’s planning meeting the ECEI planner will ask you how you want to manage the funding for your child’s NDIS plan. There are several ways the funds can be managed and this factsheet will help you become familiar with the different options available.
Fund management options
The NDIS wants to give your family choice and control over your child’s funding. You can choose who you hire
and how the providers will be paid by picking one or a combination of the following:
- The NDIA manage the funding: The NDIA pay your provider directly.
- You use a Plan Manager: The NDIA will provide funding in your child’s plan for a Plan Manager who pays the provider on your behalf after you approve the invoices.
- You can self-manage: You pay the provider directly and keep track of invoices and payments.
If you choose a combination of the above, you can choose which part of the funding you want to manage and which part you give to a Plan Manager.
It’s important to understand the differences between the fund management options, which are outlined below:
|Choose from providers registered with the NDIS (therapist, personal support, etc.)|
|View the plan on the “myplace” portal and keep track of the budget|
|Choose providers not registered with the NDIS|
* Your Plan Manager must be registered
|Receive invoices for services from your providers|
|Negotiate the price for services with providers|
* NDIA managed and Plan-managed supports cannot be more than the NDIS price guide
|Claim money for invoices from the NDIS and then pay the providers|
|Approve the invoices and have the Plan Manager processes the payments|
|Manage the invoices, receipts, and records of your spending|
Have a look at some different families who exercised their choice on how they manage their child’s NDIS funding:
A family that chose to have the NDIA manage their funding
Sofia chose to have the NDIA manage the funding in her child’s plan. She will be able to:
- Choose who will deliver services to her child. The providers must be registered with the NDIS.
- Negotiate a price with the provider that may be less than the price guide.
- Not worry about handling invoices. Anyone providing services will send the invoices to the NDIS.
- Look at the myplace portal on her account to see how much money has been paid to providers for services delivered under each budget category.
- See how much money is left under each budget category
A family that chose to have a Plan Manager manage their funding
Sahin and Racha chose to have a Plan Manager manage the funding in their child’s plan. They will be able to:
- Choose who will be delivering services to their child. Other than the Plan Manager they do not have to be registered providers with the NDIS.
- Negotiate a price with the provider that may be less than the price guide
- Receive the invoices for services delivered.
- Approve the invoices and forward them to the Plan Manager to process payments.
- Not worry about filing invoices and making payments, or being audited, as the Plan Manager will do
- Look at the myplace portal on their account to see how much money has been paid to providers for services delivered under each budget category.
- See how much money is left in the plan under each budget category.
- Receive a monthly statement from the Plan Manager.
- Let the Plan Manager handle all questions from the providers.