The funding that you receive as part of your NDIS plan can make a HUGE difference in helping you to achieve your goals and live your life. Which is why it is so important for you to keep track of your spending and ensure that you don’t fall into the trap of overspending. To help you better understand managing your NDIS funding, we wanted to share our five top tips to avoid overspending on your NDIS budget.
Tip #1: Break it down
When you receive your NDIS plan, review which support categories – Core Supports, Capital Supports and Capacity Building Supports – that you have been funded for and how much that funding is. The Core Support category is flexible, meaning you can move funding around within that category. Capital and Capacity Building Supports are not flexible, and funding must be spent within the category that has been funded.
Once you know the funding for each support category, break that down into smaller sections to see how much money you may be able to use each week, fortnight, or month. It’s important to remember that there may be instances where you may have higher funding costs than other times and to factor that in as well.
With your plan broken down into more manageable costs, you can better determine how to use your funding on a weekly, fortnightly, or monthly basis.
Tip #2: You are not alone
Probably the most important tip is that you are not alone. If you are plan managed with First2Care then you will have access to your own personal Client Manager who can assist you through every step of your budget management.
If you need assistance to breakdown you budget into weekly, fortnightly, or monthly spend amounts, your Client Manager can work through this with you.
If you would like to speak with one of our Client Managers, you can call 1300 322 273 or email support@first2care.com.au.
Tip #3: Online tracking
Each participant who is plan managed by First2Care can access our Plan Magic online portal to check their budget status. Plan Magic is our online dashboard where First2Care Plan Managed participants can login with their personal login details to view their funding details, invoices, and any other key financial management information. While our First2Care Accounts team process and pay invoices and manage the paperwork for your NDIS plan, you can maintain choice and control over your plan funding through the Plan Magic online portal.
In the portal you can see your monthly budget reports which not only give you a total budget review but also break down each budget category showing how much funding has been used, how much is remaining and whether you are underspending, overspending or on the right track with your spending. You can also access in-real-time budgets, so you don’t have to wait until the end of the month for a budget report.
Tip #4: Service Agreements are your friend
No one likes an invoice payment being larger than expected (well… except the person being paid of course!). To help protect yourself and to ensure that you and any of the service providers that you work with are on the same page – organise and sign a service agreement. With a service agreement you and your service provider can outline the types of services being provided, how long they will be provided for, any expectations or terms and conditions, and how much the services will cost.
Tip #5: It’s never too late
If you do happen to overspend on your budget, and you are unsure of how to get back on track, speak with your First2Care Client Manager. They can provide you with key tools and strategies to get your spending back on the right track.
While it is never too late to make changes to the way you spend and manage your funding, it certainly pays off to have a financial plan organised in advance.
Read more about the benefits of working with an independent, professional Plan Manager. Alternatively, contact our friendly team on 1300 322 273 or support@first2care.com.au.