Introduction

Every year, thousands of NDIS participants leave funding on the table.

In some cases, that’s okay. But more often, underspending is a sign that you’re not getting the full benefit of your plan—and that can hurt you in your next review.

In this blog, we’ll explore:

• What underspending really means
• Common reasons why it happens
• How it can impact your future funding
• What to do now (before your plan ends)
• How Assist Providers helps you fix it

💰 What Does “Underspending” Mean in the NDIS?

Plan underspending happens when you don’t use a portion of your allocated funds during your plan period.

Example:

• Your plan gives $45,000 for 12 months
• At the end of your plan, only $30,000 has been spent
• That’s $15,000 unused = 33% underspent

In some cases, small underspends are fine. But significant or unexplained underspending can raise questions at your next plan reassessment.

🚨 Why Underspending Can Be a Problem

While the NDIA doesn’t “take money back,” they do use your previous spending patterns to shape future plans. If your funding wasn’t used, they may assume you didn’t need it—and reduce it next time.

🔴 This is especially risky if:

• Your needs haven’t changed
• You just didn’t know how to access services
• You were waiting for the “right” provider
• You’ve had gaps due to provider issues

🧠 Why Do Participants Underspend?

Here are some of the most common reasons:

1. Not knowing what’s funded

Many participants don’t fully understand their plan. They miss out on supports that could change their lives—like therapy, transport, or community access.

2. Delays in finding providers

High demand, long waitlists, or lack of local services can slow things down.

3. Service gaps due to illness or cancellation

COVID, illness, or staffing shortages mean many participants miss out on planned supports.

4. Poor support coordination or lack of guidance

Without help understanding and implementing your plan, it’s easy to get stuck.

5. Personal preferences or anxiety

Some participants may feel uncomfortable trying new services—or don’t know how to begin.

📉 Case Study: Sarah, 34, Plan Underspent by $12,000

Sarah has psychosocial disability. Her previous plan included:

• Support work (Core)
• Psychology & recovery coaching (CB)
• Community access

She underspent due to:

• Long waits for a psychologist
• Not understanding she could use a recovery coach
• Lack of a support coordinator

At her next review, her CB budget was cut by 40%. With Assist Providers' help, she challenged the change, accessed a recovery coach, and was able to use 95% of her new plan.

✅ What You Can Do Right Now

1. Check your spending

Log into your myplace portal or ask your plan manager for a spending breakdown.

2. Understand what’s still available

Ask your support coordinator (or Assist Providers) to explain each category—and what you’re allowed to use it for.

3. Get strategic before your plan ends

There’s still time to book services, schedule sessions, buy AT, or use consumables.

4. Document everything

If you couldn’t use funds due to waitlists, provider issues, or personal challenges—document it. It’s important for your next review.

5. Request a plan variation (if needed)

If there’s still a significant gap, and your needs have changed, you may be eligible for a plan reassessment.

🧰 How Assist Providers Can Help

✅ Full plan utilisation reviews

✅ Participant and team training on how to understand the plan

✅ Help identifying eligible services

✅ Strategic spending plans and booking assistance

✅ Support coordination that focuses on using the plan well

✅ Templates and documentation for end-of-plan reviews

We don’t just help you spend—we help you spend smart.

🏁 Final Thoughts

Underspending your NDIS plan can mean missed opportunities—and it might even result in less funding next time.

The good news? It’s never too late to turn it around.

Need help making the most of your plan before it ends? Assist Providers is here to help you take control, access the right supports, and protect your future funding.