Upcoming Changes to NDIS Plans: What Parents Need to Know About Section 33

From 19 May 2025, all new NDIS plans issued through the PACE system will reflect changes to Section 33 of the NDIS Act. While this may seem like a procedural or policy update, these changes will directly impact how funding is structured, released, and utilised—particularly for families accessing occupational therapy, speech pathology, and other allied health supports.

This article outlines what’s changing, how it may affect your child’s access to therapy, and how you can prepare ahead of your next planning meeting.

What is Section 33—and why is it changing?

Section 33 of the NDIS Act outlines the requirements for what must be included in a participant’s plan. The NDIA has acknowledged that under the previous model, funding allocations were often vague, with limited visibility around the total budget and a lack of clarity regarding how supports were expected to be delivered over the course of the plan.

In response, and following the recommendations of the 2023 NDIS Review, the NDIA has amended Section 33 to promote greater structure, consistency, and transparency in the plan format.

According to the NDIA, these changes aim to improve budgeting, provide clearer oversight, and support more effective coordination between participants and providers. However, many within the allied health sector have raised concerns that this new format could inadvertently reduce flexibility and create logistical barriers to delivering timely, goal-aligned care.

Key Changes to Expect

1. Total funding will be explicitly stated
   Plans will now include the total value of a participant’s funding, eliminating the need for interpretation or estimation.

2. Supports will be grouped into broader components
   Instead of itemised support lines, plans will categorise funding under broader headings such as Core, Capacity Building, and Capital.

3. Funding may be released in stages
   The most significant change is the potential shift to quarterly funding releases. Rather than receiving the full annual budget at the beginning of the plan, participants may only have access to one quarter of their funding at a time.

Why This Matters

Although the intent is improved clarity, in practice this model could restrict a family’s ability to access necessary supports at critical times. Therapy is rarely delivered in predictable, uniform intervals. It often occurs in bursts—during transitions, following a diagnosis, or as part of an intensive intervention block.

The risk under the new structure is that participants may have adequate funding across the year, but not have access to enough of that funding in a given quarter to meet their current therapy needs. For example:

• A school holiday therapy block may be delayed or cancelled due to quarterly caps

• A functional capacity assessment (FCA) requiring 10 or more hours of occupational therapist time may be unfunded until later in the year

• Services agreed upon in a service agreement may not be deliverable until future quarters, resulting in delays to therapy commencement

These funding constraints could lead to gaps in care, unmet goals, and increased stress for families and providers alike.

What Parents Can Do to Prepare

While the NDIA controls the structure of new plans, parents can still advocate for what works best for their child. Consider the following suggestions when preparing for your next planning meeting:

1. Request front-loaded funding
   Ask that the majority of the plan’s funding be allocated to the first quarter. This allows more flexibility early in the plan, and any unspent funding will typically roll over into subsequent quarters.

2. Request up-front funding for assessments such as Occupational Therapy FCAs
   Functional Capacity Assessments are often required to support NDIS reporting and plan reviews, and typically involve around 10 hours of occupational therapist time. It is essential that funding for these assessments is available from the start of the plan, rather than staggered across quarters. You can request that a specific amount (e.g. 10 hours of OT time) be allocated for the FCA early in the plan.

3. Advocate for continued annual funding blocks (if appropriate)
   If you have consistently managed your child’s funding well—without overspending or underutilisation—highlight this during the planning meeting. Request that funding be made available in full at the start of the plan year, as has previously worked for your child.

4. Ask for a copy of the plan before committing to service agreements
   Ensure you and your providers have access to the final plan so you can confirm how funding is structured and when it will become available.

5. Clarify how staged funding may impact therapy timelines
   During your planning meeting, ask questions such as:

   • “Will funding be released quarterly?”

   • “Can more funding be made available earlier in the year?”

   • “Will funding be available for an FCA up front?”

   • “How does this structure support the timing of my child’s therapy goals?”

Final Thoughts

These upcoming changes to Section 33 are significant. While they aim to simplify and standardise the NDIS experience, they also introduce new challenges for families and service providers—particularly when it comes to planning and delivering therapy that aligns with a child’s developmental needs.

At Hi Thrive, we are monitoring these updates closely and adjusting our approach to ensure children continue to receive timely, evidence-based support. If you have questions about how the changes may affect your child’s therapy, please don’t hesitate to contact us. We’re here to support you through every step of the process.