When can’t you self-manage your funding?

You, or your plan nominee or child representative, can self-manage your funding unless: 

  • you, or your plan nominee or child representative, are currently bankrupt or insolvent under administration
  • there’s an unreasonable risk if you self-manage your funding.

Are you bankrupt or insolvent?

You can’t manage your NDIS funding if you’re currently an insolvent under administration.

Your plan nominee or child representative also can’t manage your funding if they’re an insolvent under administration. 

Insolvent generally means you can’t pay your debts when they are due.

Your NDIS funding can’t be self-managed if you, or your plan nominee or child representative:

This also applies if you, or your plan nominee or child representative, are an insolvent under administration in another country.

You might be able to self-manage your funding if you are no longer insolvent under administration. But we’ll consider if there might be an unreasonable risk if you manage your funding.

Your plan nominee might be a company or body corporate, like a service provider or advocacy organisation. If so, they can’t be insolvent either.

A company or organisation can’t manage your funding if they are under voluntary administration, liquidation or receivership  .

How do we decide if there is an unreasonable risk to you?

You have the same right as all Australians to take reasonable risks in managing your money. We respect your right to take reasonable risks in self-managing your NDIS funding.

But you can’t self-manage your funding if this would create an ‘unreasonable risk to you’.

Your plan nominee or child representative also can’t manage your funding if that would be an unreasonable risk to you. 

If you’re older than 18 and want to self-manage your funding, we’ll consider if this could put you at risk.

This could be if you’re vulnerable to physical, mental or financial harm. Or, if someone might pressure you to do something. 

We'll also think about:

  • how well you make decisions and manage your money 
  • how well you managed your funding in the past,  for example if you managed disability funding before the NDIS
  • if you were previously bankrupt or insolvent under administration, how well you manage your money now 
  • if you have a court or tribunal order that someone else, such as a financial trustee or guardian, manages your money 
  • if your informal supports could help you reduce any risks, for example if they help you manage your money. 

We consider what strategies we could use to reduce risks, including: 

  • giving you a shorter plan
  • having regular check-ins
  • including supports in your plan to help you manage your funding.

When we think about risks, we think about the types of supports you want to manage. There might be unreasonable risks for you to self-manage some supports, but you might be able to manage others.

For example, it might be risky for you to manage the funding for a $30,000 home modification. But you might be able to manage a $500 home modification like a grab rail.

If your plan nominee or child representative wants to manage your funding, we’ll think about: 

  • how well they manage their money
  • if any business or other interests might affect how they manage your money
  • whether we believe they will use your NDIS funding according to your plan
  • if any safeguards or strategies in your plan could help reduce any risks to you.

How do we decide if there is possible physical, mental, legal, or financial harm to you?

When thinking about risks to you, we’ll look at whether there is evidence of possible physical, mental, legal or financial harm to you.

Evidence of possible harm won’t always mean there is an unreasonable risk to you if you want to self-manage your funding.

We know it can be difficult to talk about this information. We’ll only talk about it to make sure we can identify any possible risks.

We can then work out together if you need help from us to manage risks.

Examples of possible physical harm might include if there is evidence of:

  • you being injured from a reckless or intentional act, caused by you or another person, like a fracture, contusion, wound, burn or concussion
  • you being physically assaulted by a carer, support person, family member or member of the community which causes serious harm or injury
  • serious unexplained injury to you while receiving NDIS supports
  • you having a history of habitual or continued substance abuse within the last 12 months.

Examples of possible mental harm might include if there is evidence of a family member, carer, or support person:

  • denying you food as ‘punishment’
  • threatening to harm you
  • abandoning you by denying support permanently
  • consistently not letting you go out and do activities
  • secluding or restraining you.

An allegation of you being subject to offensive, abusive, or demeaning language by a family member, carer, or support person, may also mean there is an unreasonable risk to you.

Examples of possible legal or financial harm might include if there is evidence of:

  • you being financially exploited
  • frequent changes in a child representative or nominee
  • an appointment of a trustee or guardian to manage your money by a court or tribunal 
  • you, your child representative or nominee having a gambling addiction
  • you, your child representative or nominee being the victim of coercion, such as being coerced to sign for a loan or power of attorney
  • you, your child representative or nominee being previously insolvent under administration in the past 5 years
  • deliberate misuse of, or fraud, in relation to plan funds, by you, or your child representative or nominee
  • you, or your child representative or nominee having been involved with the criminal justice system in relation to funds management or fraud.
This page current as of
10 July 2023
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