You will be asked how you want to manage your plan when it is approved during your NDIS planning meeting. You should know three ways that are discussed here and choose the suitable one.
Self-management, plan management, or agency (NDIA) management are the three alternatives to NDIS plan management.
For instance, you may decide to self-manage the Core supports or consumables budget, which would give you more freedom of choice and control over how much you spend on products. This would allow treatment providers to bill the NDIA directly for their services.
NDIS plan management: Considering the three choices in terms of payment –
You pay your support providers directly under a self-managed plan, then apply for reimbursement from the NDIS. You are completely responsible for all plan administration, including communication with providers and other parties.
If you designate a plan manager, they will take care of the plan’s financial and administrative aspects on your behalf.
Your NDIS plan manager will be paid by the NDIA, who will then pay your providers on your behalf.
If you select NDIA management, your providers will be paid directly by NDIA.
But in addition to the monetary component of how providers are compensated, there are other aspects you need to consider when determining which road to pursue.
Let’s dive deeper.
SELF-MANAGED
The NDIS cites control, independence, and flexibility as advantages of self-management when discussing how to arrange and pay for your support.
By what is covered by your plan, you can pick the supports you buy and the providers of those supports.
You will have a lot more options for who you can work with because the provider does not have to be NDIA registered.
To receive the best value for your money and maybe stretch your funds further, you can negotiate the pricing of your services because you are in charge of your budget.
You are also not constrained by the price guide restrictions, so you are free to pay more for a piece of equipment than the agency has specified is appropriate.
The Self-managed plan comes with a variety of duties that you do not have with the other two alternatives, in addition to the freedom and flexibility it offers. According to the NDIS website, these include
- Buying resources that are related to the objectives of your NDIS strategy.
- Establish clear terms with your service providers about the assistance you will get, including how it will be provided and paid for.
- Retain receipts and invoices as proof that you used NDIS funding to pay for your support.
- Doing your duties as an employer if you decide to hire people directly.
- demonstrating at your plan review how you’ve used your independently managed cash to achieve your aims.
- Any significant changes in your situation that would make it impossible for you to fulfil your obligations as a self-manager should be reported to the NDIA.
- Take part in any payment audits where you will be required to present invoices, receipts, or other proof of your spending money by your NDIS plan (you should keep financial records for 5 years).
PLAN MANAGEMENT PROVIDER
If you select the plan management option, a plan manager who is a licensed registered NDIS provider will be financed in your plan.
The only significant distinction between self-management and plan management is that self-managed support may be paid at a rate higher than the NDIS price guide. Plan-managed supports, on the other hand, may not be paid at a rate higher than the NDIS pricing guide.
Naturally, they can bargain for you to get a better deal and maximize your finances.
The advantages of working with a plan manager are numerous. One is that it handles all the administrative and financial parts of your plan.
NDIA (AGENCY) MANAGED
When the NDIA (also known as the Agency) oversees the management of your plan:
- You are not permitted to utilize unregistered providers, but you may select one from the list of NDIS-registered providers.
- Your funds are used to electronically pay your providers.
- By accessing the location site, you can keep track of your spending and see the claims that service providers are making against your NDIS funding.
- Your financial records and bookkeeping will be handled by the NDIA.
- Bookings for services must be made through the NDIS platform.
- You won’t be able to haggle with providers to stretch your budget further because all costs will be paid at the price guide rate.
Each choice has benefits and drawbacks, as you can see, but self-management gives you the most freedom and power.
FAQs
Is everything covered by the NDIS?
Several forms of support won’t receive funding from or be offered by the NDIS. Which assistance will not be covered by the NDIS is also specified in the NDIS Act and the rules adopted under it. The NDIS is unable to pay for services that are provided by another government program or through volunteer work in the community.
How long is NDIS funding provided for?
They often provide you with a 36-month plan if it is anticipated that your assistance needs and circumstances won’t change. If you know how to use your NDIS plan, they can provide you with a 36-month plan. Your support requirements are steady.
How long does it take for NDIS approval?
They strive to approve your plan for children under the age of seven within 90 days of your enrollment. They attempt to approve your first plan, if you’re 7 years old or older, within 56 days of enrolling in the program. Our Participant Service Guarantee has more information about our timelines for developing your plan.
