If you’ve heard that NDIS budget changes 1 October are coming into effect this week, you might be wondering: Does my funding change on 1 October? Do I need to do anything?
For most participants, there is no need to panic.
The changes begin on 1 October 2026, but they are being introduced progressively. Your current plan and supports continue as usual until your plan is created, reassessed or renewed.
What starts on 1 October 2026?
From 1 October, the Australian Government will begin resetting funding for two groups of NDIS supports:
- Social, economic and community participation supports
- Improved daily living skills supports
The announced reset is 50% for social, economic and community participation supports and 10% for improved daily living skills supports.
But this does not mean everyone’s existing budget is automatically cut on 1 October.
The change is introduced over a 12-month period as participants’ plans are created, reassessed or renewed.
Who is actually affected first?
This is the part that has caused the most confusion.
From 1 October 2026, the changes start applying when:
- a new participant receives a new plan
- an existing participant’s plan is reassessed
- a plan is otherwise created or renewed under the new arrangements.
Participants can continue using their current plan and supports until their plan is reassessed or renewed. The NDIS says participants will be notified ahead of their reassessment or renewal.
For other participants whose plans have not been created or reassessed under the new arrangements, the broader renewal process begins from 1 February 2027. The government says the affected plans will be transitioned progressively through to September 2027.
So if your plan is currently running and you haven’t received notice of a reassessment or renewal, you should not expect your budget to suddenly change just because the calendar reaches 1 October.
What happens to your current plan?
For participants with an existing plan, the immediate answer is simple:
Keep using your plan as usual.
The NDIS has specifically said participants can continue using their current plan and supports until their plan is reassessed or renewed.
When your plan is reassessed or renewed, the affected budgets will be updated.
Your new plan will show the funding available after the change, so you can see what has actually changed rather than trying to calculate it from the announcement alone.
And the impact will not be identical for everyone. The government notes that many participants do not use their entire budget, so a reduction in the allocated budget does not necessarily mean the same percentage reduction in what someone actually spends on supports.
What is NOT affected?
The changes are limited to particular support categories.
They do not reduce funding across your entire NDIS plan.
For example, the government says the reset does not apply to supports such as:
- help with eating, drinking, dressing and toileting
- cleaning and laundry
- community nursing care
- help with medication
- home and vehicle modifications
- personal mobility equipment and transport
- Specialist Disability Accommodation.
Some supports within the affected categories are also protected, including employment supports, disability-related health supports, high-intensity supports, intensive and complex behaviour supports, customised and wearable technology, and hearing services.
What should you check in your NDIS portal?
You don’t need to change your plan simply because 1 October arrives.
Instead, when you receive a new or renewed plan, check:
1. Your total plan funding
Has the overall amount changed?
2. Your social and community participation budget
If you receive these supports, check the new allocation.
3. Your improved daily living skills budget
Look at whether this category has been reset.
4. Your current supports
Make sure the supports you rely on are reflected correctly in the new plan.
5. Any protected supports
Check that supports which are excluded from the reset have been treated accordingly.
If something doesn’t make sense, don’t assume you’ve done something wrong. Speak with your Support Coordinator, plan manager or provider and ask them to help you understand the new plan.
What if your funding isn’t enough?
The changes do not remove the ability to request a plan change when there is a significant and ongoing change in your circumstances or functional capacity.
There is also a specific plan variation pathway for eligible participants with high support needs who require continuous 24-hour disability support. This is intended to help ensure they can continue receiving the supports needed to remain safe at home.
If your new plan does not appear to reflect your circumstances, talk to your support team rather than trying to work it out alone.
The biggest myth about 1 October
“My NDIS funding is being cut on 1 October.”
Not necessarily.
The change starts on 1 October, but the application to individual plans is progressive.
If you’re halfway through an existing plan, you can continue using it until your plan is reassessed or renewed.
That distinction matters.
You don’t need to panic, cancel supports or change providers simply because the reform date has arrived.
What Lotus is doing to help participants
At Lotus Disability Care, we know that NDIS changes can be confusing when you’re trying to work out what they actually mean for your day-to-day support.
Our team can help participants understand changes to their plan, review the supports they currently receive and work through what their new funding means when their plan is reassessed or renewed.
The key is not to make assumptions before your individual plan changes.
Your plan tells you what applies to you.
FAQ: NDIS budget changes 1 October
Do my NDIS funds automatically reduce on 1 October?
No. The changes begin from 1 October but are applied progressively when plans are created, reassessed or renewed. Existing participants can continue using their current plan until then.
What NDIS budgets are changing?
The reset applies to social, economic and community participation supports and improved daily living skills supports. The announced reductions are 50% and 10% respectively.
Do I need to do anything on 1 October?
Not simply because the date arrives. Continue using your current plan and supports unless the NDIS tells you that your plan is being reassessed or renewed.
When will my plan be affected?
Your plan is affected when it is created, reassessed or renewed under the new arrangements. The changes are being introduced progressively over 12 months.
Can I still ask for my plan to change?
Yes. Participants can request a plan change when there is a significant and ongoing change in their circumstances or functional capacity.
