NDIS changes July 2026 explained by Dedicated Plan Management

NDIS Changes July 2026

Major NDIS reforms take effect from 1 July 2026. New budget structures, new assessments, new spending rules, and new support categories are all changing how the NDIS works. Here is everything you need to know as a participant, and what it means for your plan.

Last updated: April 2026

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What’s Changing on 1 July 2026?

The Australian Government is making the biggest changes to the NDIS since the scheme began. These changes come from the NDIS Amendment (Getting the NDIS Back on Track No. 1) Act 2024, which became law in October 2024, with key provisions taking effect from 1 July 2026. Here is a plain-English guide to every change that affects you as an NDIS participant.

New Budget Structure: Stated Supports & Flexible Budgets

The way your NDIS budget is structured is changing. Under the current system, your plan is divided into three categories: Core Supports, Capacity Building, and Capital Supports. From July 2026, the NDIS is replacing this with a simpler two-part structure.

Stated Supports

Stated supports are specific items or services with a set dollar amount in your plan. They are allocated for a defined purpose and cannot be used for other things.

Examples include:

  • Assistive technology (wheelchairs, communication devices)
  • Home modifications (ramps, bathroom modifications)
  • Specialist Disability Accommodation (SDA)
  • Supported Independent Living (SIL)

Flexible Budget

Your flexible budget is a pool of funding you can use across a range of eligible supports. This gives you more freedom to choose how your day-to-day supports are delivered.

Examples include:

  • Support worker hours and personal care
  • Therapy sessions (OT, physio, psychology)
  • Community access and social activities
  • Transport and household tasks

What about funding periods?

The NDIA is also introducing shorter funding periods. Instead of receiving your entire budget as a single annual lump sum, your funds may be released in quarterly or monthly periods. This means budgeting and pacing your spending throughout the year will become more important. The NDIA has stated this is not intended to reduce flexibility, but to help participants avoid large underspends or overspends.

New Support Needs Assessments

The NDIS is replacing the old planning meeting process with a new standardised assessment. Instead of sitting down with a planner and discussing your needs in an open conversation, a trained assessor will use a structured tool to evaluate your functional capacity across key life areas.

How the new assessment works

The new assessment is based on the I-CAN (Instrument for Classification and Assessment of Support Needs) framework. An assessor asks you a series of questions about what you can and cannot do across different areas of your life. Your answers are scored to create a functional capacity profile, which then feeds into the budget calculation for your plan.

The goal is consistency. Under the old system, two people with identical needs could receive very different funding depending on which planner they saw or how well they advocated for themselves. The new tool aims to make funding decisions more standardised and transparent.

The life areas you will be assessed on

The assessment covers key life domains. For each area, the assessor evaluates how much support you need, from no support through to total support. These areas include:

Daily Living & Self-Care

Washing, dressing, eating, personal hygiene

Home Living & Domestic Tasks

Cooking, cleaning, shopping, household tasks

Health & Wellbeing

Managing medications, health appointments, safety

Communication

Speaking, understanding, using communication devices

Mobility & Getting Around

Moving at home and in the community, transport

Social & Community Life

Recreation, hobbies, community participation

Relationships & Social Skills

Interacting with friends, family, and others

Learning & Education

Formal education, learning new skills

Work & Employment

Finding and keeping a job, work tasks

Money & Budgets

Managing finances, paying bills, budgeting

Choice, Control & Advocacy

Making decisions, standing up for your rights

General Tasks & Routine

Following routines, managing stress, multi-tasking

How to prepare for your assessment

Focus on describing your worst days, not your best. The assessment measures the support you need, not what you can do on a good day. Bring evidence of how your disability affects your daily life, including reports from therapists, support workers, and doctors that describe your functional capacity. Your plan manager can help you organise this evidence before your assessment.

New NDIS Spending Rules & the NDIS Support List

For the first time, the NDIS Act now includes a legal definition of what is and is not an “NDIS support.” The Government has created an NDIS Support List that specifies which categories of supports can be funded and which cannot. This is one of the most significant changes in the 2026 reforms.

What the new rules mean for participants

NDIS supports must be related to your disability

Funded supports must directly relate to your disability and help you pursue your goals, manage daily life, or build your independence.

Day-to-day living costs are not NDIS supports

Costs that everyone pays regardless of disability, such as rent, groceries, electricity, and general entertainment, are not fundable under the NDIS.

Other systems are responsible for some supports

Supports that should be provided by health, education, housing, or justice systems are not NDIS-funded. The NDIS is designed to fill gaps, not replace what other government services should provide.

Debt recovery: misspent funds can be recovered

Under the new legislation, if NDIS funds are spent on items that are not on the NDIS Support List or not in your plan, the NDIA can seek to recover those funds as a debt. This makes it essential to ensure every dollar is spent on eligible supports. The Government has stated this is intended for clear misuse, not honest mistakes, and there are review and appeal processes available. Having a knowledgeable plan manager who checks invoices and spending before it happens is one of the best ways to protect yourself.

How your plan manager protects you

A good plan manager acts as your compliance shield. At Dedicated Plan Management, we check every invoice against NDIS guidelines before processing it. If something does not look right, we flag it with you before any payment is made. This means you are protected from accidental non-compliant spending and the risk of debt recovery.

The New PACE System

PACE is the NDIA’s new computer system that replaces the old platform used since the NDIS launched. It is not just a technology upgrade. PACE is the system that powers the entire new participant pathway, including how plans are created, how budgets are calculated, and how claims are processed.

What PACE means for you

New participant portal

PACE includes a new online portal where you can view your plan, track your budget, and manage your supports. The interface is being redesigned to be more user-friendly than the current myplace portal.

Faster plan changes

Under PACE, certain plan adjustments can be made more quickly without requiring a full plan reassessment. The system is designed to be more responsive to changes in your circumstances.

Progressive rollout

PACE began rolling out to new NDIS access requests in October 2024 and is being progressively expanded to existing participants at their plan reassessment. By July 2026, the majority of participants are expected to be on the new system.

Your plan manager adapts with you

As the claiming and payment systems change under PACE, your plan manager needs to keep up. At Dedicated Plan Management, we are staying across every PACE update to ensure your invoices and claims continue to be processed without disruption.

Plan Management After July 2026: What Stays the Same

With all the changes happening, many participants are wondering whether they still need a plan manager. The answer is yes, and here is why plan management becomes even more important under the new NDIS framework.

What is not changing

Plan management remains a funded NDIS support at no cost to you
You can still choose to be plan-managed, self-managed, or NDIA-managed
Plan-managed participants can use both registered and unregistered providers
You can change your plan manager at any time, free of charge
Plan management funding is separate from your support budget
Your plan manager processes invoices, pays providers, and tracks your budget

Why plan management matters more after July 2026

1

Compliance protection

With the new NDIS Support List and debt recovery powers, every dollar needs to be spent correctly. Your plan manager checks invoices against NDIS guidelines before payment, protecting you from accidentally spending on non-eligible items.

2

Budget pacing

With funding periods potentially released in shorter intervals, managing the pace of your spending becomes critical. Your plan manager tracks how quickly you are using your budget and alerts you if you are at risk of running low before your next funding period.

3

Provider choice

Plan-managed participants retain access to both registered and unregistered providers. This gives you significantly more choice in who delivers your supports, which is especially important in regional areas where registered provider options may be limited.

4

Assessment preparation

Your plan manager can help you prepare for the new support needs assessment by organising evidence, tracking your support usage, and helping you understand how your current spending relates to the new budget categories.

Changes to NDIS Providers & Worker Screening

The Government is introducing a new graduated provider registration system. Instead of the current two-tier model (registered or unregistered), there will be three levels based on the risk and complexity of the supports being delivered.

1

Enrolled Providers

Lowest-risk supports with minimal registration requirements. This brings more providers into the system with basic accountability, without the burden of full registration.

2

Registered Providers

Moderate-risk supports with standard registration and audit requirements, similar to the current registered provider model.

3

Advanced Registered

Highest-risk and most complex supports (SIL, SDA) with the most stringent registration, audit, and quality requirements.

NDIS Worker Screening requirements are also expanding. The goal is for all workers delivering NDIS supports to be screened, not just those working for registered providers. This is being progressively implemented across all states and territories.

For plan-managed participants, this is good news. The new system means more providers will have some level of accountability and oversight, while you still retain the flexibility to choose from a wider range of providers than NDIA-managed participants.

NDIS Reform Timeline

A summary of when the key changes are happening.

October 2024

NDIS Amendment Act receives Royal Assent. PACE system begins rolling out to new access requests.

2025

Progressive PACE rollout to existing participants at plan reassessment. Navigator trials in selected regions. Funding period changes begin. I-CAN assessment trials expand.

1 July 2026

Key reform provisions take effect. New budget structure (stated supports + flexible budget) applies to participants on the new pathway. New support needs assessments become the standard process. NDIS Support List rules in effect. Majority of participants expected to be on PACE.

2026 and Beyond

Graduated provider registration framework continues rollout. Navigator network expands nationally. Ongoing refinement of NDIS Support List rules and budget calculation methodology.

What Should You Do Now?

Five practical steps every NDIS participant should take before July 2026 to be prepared for the changes.

1

Get a plan manager you trust

With new spending rules and debt recovery provisions, having a knowledgeable plan manager is more important than ever. If your current plan manager is not proactive, responsive, and across the July 2026 changes, now is the time to switch to one who is.

2

Gather your evidence

The new assessment focuses on your functional capacity, not your diagnosis. Collect reports from therapists, support workers, and doctors that describe what you cannot do and how much support you need in daily life. Focus on your worst days, not your best.

3

Understand your current spending

Review how you currently use your NDIS funding. Know which supports you rely on most and how much you spend each month. This will help you plan for the new budget structure and funding periods. Your plan manager can provide a spending summary to help.

4

Check your supports are NDIS-eligible

Under the new NDIS Support List, some items that were previously in a grey area may no longer be funded. If you are unsure whether a support you use will still be eligible, ask your plan manager to check before July. It is better to find out now than to receive a debt notice later.

5

Stay informed

The NDIA is publishing updates as the reforms roll out. Bookmark the official NDIS website and check it regularly. We also keep this page updated as new information is confirmed, so you can bookmark this page as a reference.

Are You Prepared for the July 2026 Changes?

Answer three quick questions to see how ready you are for the NDIS reforms.

1

Do you currently have a plan manager?

Why Participants Trust Dedicated Plan Management

We stay across the NDIS changes so you do not have to. Here is what our participants say about working with us.

“Dedicated Plan Management has been exceptionally responsive and professional. Communication is clear and timely, making the entire process smooth and reassuring. Highly recommended service.”

Ben Ballard

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“Dedicated Plan Management are absolutely fantastic to deal with! Super friendly, responsive, and easy to work with. They make everything simple and stress-free - highly recommend!”

Melissa Pringle

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“Vee is great! She explained in detail how everything works. Thanks”

Kelly White

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Frequently Asked Questions About the NDIS July 2026 Changes

Will my NDIS funding be cut because of the July 2026 changes?

The NDIA has stated that no participant will have their funding cut solely due to the introduction of the new assessment tool. There are transition protections in place to prevent sudden reductions. However, the way your budget is structured and allocated may look different under the new stated supports and flexible budget model. If your assessment suggests a lower budget than expected, you have the right to request a reassessment and to appeal the decision.

Do I still need a plan manager after July 2026?

Yes. Plan management remains a fully funded NDIS support. With the new spending rules and debt recovery provisions, having a plan manager who checks every invoice against NDIS guidelines is arguably more important than before. Plan-managed participants also retain the ability to use both registered and unregistered providers, giving you more choice in who delivers your supports.

What is the NDIS Support List?

The NDIS Support List is a new legislative instrument that defines exactly what can and cannot be funded under the NDIS. For the first time, the Government has created a formal list of eligible support categories. If a support is not on this list or does not meet the definition of an NDIS support in the Act, it cannot be funded. The list is being refined and may be updated over time.

What are funding periods and how do they affect my budget?

Instead of receiving your entire annual budget as a lump sum, the NDIA is moving toward releasing funds in shorter periods, such as quarterly or monthly. Your total budget for the year does not change, but the timing of when you can access it does. This means pacing your spending throughout the year is more important. Your plan manager can help you track spending against each funding period so you do not run short.

Can the NDIA really take money back if I spend on the wrong thing?

Yes, the NDIS Amendment Act 2024 includes debt recovery provisions. If NDIS funds are spent on items that are not classified as NDIS supports under the new rules, the NDIA can seek to recover those funds. The Government has stated this is aimed at clear misuse rather than honest mistakes, and there are review and appeal options. The best way to protect yourself is to have a plan manager who checks every claim before it is processed.

Are Navigators replacing plan managers?

No. Navigators help you understand your plan, find services, and connect with mainstream supports. Plan managers handle the financial side: processing invoices, paying providers, tracking budgets, and lodging NDIS claims. These are completely different roles. Your right to choose a plan manager is not changing under the new framework.

How should I prepare for the new support needs assessment?

Focus on documenting your functional capacity rather than your diagnosis. Collect reports from therapists, support workers, and doctors that describe what you cannot do and how much help you need in daily life. Think about your worst days, not your best. The assessment covers areas like self-care, mobility, communication, community participation, and managing finances. Your plan manager can help you organise evidence that covers all the relevant areas.

Can I still use unregistered providers after July 2026?

Yes. If you are plan-managed or self-managed, you can continue to use providers who are not fully registered. The new graduated registration system introduces three tiers (enrolled, registered, advanced registered), which means more providers will have some level of accountability, but plan-managed participants retain access to a wider range of providers than NDIA-managed participants.

Disclaimer: The NDIS is undergoing significant reforms. Information on this page reflects our understanding as of April 2026 based on the NDIS Amendment (Getting the NDIS Back on Track No. 1) Act 2024, NDIA communications, and publicly available information. Some changes are still being finalised by the NDIA and the Australian Government. We update this page regularly, but recommend checking ndis.gov.au for the latest official information. This content is general information only and is not legal advice.

Navigate the NDIS Changes With a Plan Manager You Can Trust

The July 2026 changes are significant, but you do not have to figure them out alone. Dedicated Plan Management is here to help you understand the changes, protect your budget, and ensure your supports continue without disruption.