NDIS Funding Periods: What’s Changing in 2025 and What You Need to Know

In the 2024–25 financial year, the NDIS delivered more than $30 billion in supports to Australians with disability. At Lumia Care, we’re proud to work alongside individuals and families as they access services that support their independence and everyday wellbeing.

From 19 May 2025, the NDIS is introducing a change to how funding is distributed across some plans. This update is called funding periods. Here’s a straightforward overview of what’s changing and how it may affect you.

What Are Funding Periods? 

A funding period refers to a specific timeframe—commonly three months—during which a portion of your plan’s funding becomes available.

Instead of receiving the full amount of your budget at once, funding will be released in smaller amounts over the course of your plan. For example, if you have a 12-month plan with $18,000 allocated for capacity building, you may receive $4,500 every three months.

This change does not reduce your overall plan funding. It only changes how and when the funding is made available.

Why Is This Happening?

The NDIA states that funding periods aim to help participants manage their budgets more gradually across the life of their plan. The goal is to support consistent access to services and reduce the likelihood of using up funds too quickly.

It’s important to note that the impact of this change will vary depending on individual circumstances, funding types, and service needs.

What Happens If I Don’t Use All My Funds in a Funding Period?

Unused funds from one funding period will roll over into the next within your current plan. However, leftover funds will not carry into a new plan once the current one ends. Keeping track of your spending and monitoring your plan’s timeline will remain important.

Who Will This Affect?

You may see funding periods in your plan if:

• You start a new NDIS plan on or after 19 May 2025

• Your plan is being reassessed or reviewed from that date

If your current plan was approved before 19 May 2025 and hasn’t been reviewed yet, you will not see funding periods until a review occurs. 

Does This Apply to All Supports?

Funding periods may apply to all or just part of your plan. The NDIA has noted the following exceptions:

• Supports like Supported Independent Living (SIL) may follow a different timeline, such as monthly periods

• One-off items, like assistive technology, may continue to be paid upfront

• The approach taken will depend on the type of support and your individual needs

Getting Support

Understanding funding periods and how they apply to your plan can take time. If you’re a Lumia Care client and have questions, your coordinator is available to help.

If you’re new to Lumia Care and want to learn more about our services, you can reach us on 1300 79 68 76 or contact us.

 Sources: 
• NDIS Summary of Legislative Changes
• NDIS Announcement on Funding Periods
• NDIS Participant Data – March 2025