NDIS funding is the money provided to help you live a better life. This money pays for the supports you need because of your disability. In 2026, the way the NDIS calculates and gives out this money is changing to a new framework.
TL;DR: The Quick Guide
The NDIS is moving to a new way of planning in mid-2026. This new framework will use a "Total Funding Amount" instead of many small budgets. Your funding will be based on a Support Needs Assessment called the I-CAN v6. This tool looks at your whole life rather than just a doctor's report. It helps make sure you get enough money to reach your goals.
Most plans will now have flexible funding and stated supports. Flexible funding lets you choose which NDIS supports to buy. Stated supports are for specific things like a new wheelchair. The NDIS has also made a "Yes List" and a "No List" to show what you can buy. Our team in Western Sydney and Canberra helps you spend your money safely so you do not run out.
What is the new NDIS funding framework?
The new framework is a fairer way to build your budget. It focuses on your daily life needs rather than just a medical label.
The NDIS found that the old way of planning was too hard for many people. From mid-2026, the NDIS will use a new tool to see what help you need. This tool is a structured talk with an assessor. It looks at how you move, talk, and learn. The result of this talk sets your "Total Funding Amount." This amount is the total pile of money you can use over your plan period.
How does the I-CAN v6 assessment work?
The I-CAN v6 is the new assessment tool for NDIS funding. It is a conversation about 12 areas of your life like self-care and mobility.
We found that this new tool makes planning much simpler. You do not need to pay for expensive medical reports as often. Instead, you meet with an NDIA assessor for about three hours. You can bring a family member or a Support Coordination expert with you. They will score how much help you need and how often you need it. This score tells the NDIS how much money to put in your plan.
What are the main budget categories?
In 2026, your plan is split into flexible funding and stated supports. This replaces the old labels you may remember from before.
You must spend your money on things that are on the NDIS Supports List. This list tells you what counts as an "NDIS support." If you spend money on the "No List," you might have to pay it back. We help you check your spending to stay safe.
Why did the NDIS introduce impairment notices?
An impairment notice is a letter that tells you exactly which disability the NDIS is funding. It makes your plan more transparent.
The NDIS now sends these notices to all participants. It lists the categories of your disability, like "Physical" or "Cognitive." This notice is very important for your budget. The NDIS will only fund supports that relate to the items on this notice. If the notice is wrong, your funding might be wrong too. We help you check your notice to make sure it is correct.
How can you spend your money safely?
The best way to spend safely is to follow the new NDIS "Yes List." This list shows all the things the NDIS will pay for.
We suggest you check the list before you buy anything new. If you make a small mistake for the first time, the NDIS has a "debt waiver." This means they might forgive a mistake up to $1,500 if it was an honest error. However, you should not rely on this. Using a Plan Management service is the best way to avoid debts. They check every bill to make sure the NDIS allows it.
What are funding periods?
Funding periods are blocks of time that show how long your money must last. Most people now have 3-month or 12-month periods.
The NDIS introduced these periods so people do not spend all their money too fast. If your plan is for five years, you will get your money in small chunks. You cannot move money from a future chunk into your current one without a very good reason. This helps you have enough support for the whole life of your plan. Our team in Parramatta and Canberra helps you track your pace.
Can you change your funding?
Yes, you can ask for a plan variation if your life changes. This is faster than a full plan review.
You might need more funding if you have a health crisis or a big move. You can ask for a "minor variation" to increase your funds for a short time. You will need to show evidence of why you need more help now. The Administrative Review Tribunal can help if you disagree with a funding decision. They are an independent group that checks NDIS choices.
How does the NDIS decide on therapy funding?
The NDIS funds therapy that is "effective and beneficial." This means it must be proven to help people with your disability.
Our Occupational Therapy and Speech Therapy teams provide these proven services. The NDIS looks at whether the therapy helps you stay safe or build skills. They want to see that the therapy represents "value for money." This means the cost should be similar to other providers in Western Sydney. We always link our therapy to your goals so the NDIS keeps funding it.
What is the "Reasonable and Necessary" test?
Every support in your plan must pass the reasonable and necessary test. This is a set of rules the NDIS uses to say "Yes" or "No."
The support must relate to your disability. it must not be something a family should pay for. It must also be an NDIS support and not something the health system provides. You can read the full Reasonable and Necessary Guideline online. We found that clear goals make this test much easier to pass. We help you write goals that the NDIS likes to fund.
FAQ
Can I spend my money on anything?
No, you must only spend your money on NDIS supports. These are items that help with your disability. You cannot buy things like groceries, rent, or tickets to the movies.
What happens if I run out of money?
If you spend your money too fast, you may have to wait for your next funding period to start. This is why funding periods are so important. Contact your Support Coordination team immediately if you think you will run out.
Do I have to use a registered provider?
If you are self-managed or plan-managed, you can often use unregistered providers. However, some high-risk supports still require a registered provider. Always check your plan rules first.
Where can I find the NDIS "No List"?
You can find the list of non-NDIS supports on the NDIS website. It lists things like lifestyle choices and general health costs.
How we can help
Universal Ability is here to help you navigate the 2026 NDIS changes. We offer Psychology, Holistic Therapy, and Application Assistance. We make sure your funding works for your life.
Would you like us to review your current plan and check your impairment notice? Contact us today to book a chat with our friendly team.
