Core: the engine room of daily support
Core funds the supports that get you through daily life: support workers helping at home (in-home support), getting out and about (community access), consumables like continence products, transport, and short stays away from home (STA/respite). Home-and-living supports like SIL are also Core.
Core's defining feature is flexibility: within it, funding can generally move between types of support as your week actually demands — more community access one month, more help at home the next — with some exceptions where funding is 'stated' for a specific purpose (transport allowances and home-and-living supports are common examples). If a support matters enough that it must be there, planners can fix it; otherwise, Core flexes.
Capacity Building: investment in skills
Capacity Building (CB) funds supports that build your independence so you need less help over time. This is where therapy lives — psychology, occupational therapy, physiotherapy, dietetics — alongside behaviour support, support coordination, employment supports and skills programs.
Unlike Core, CB is not flexible across categories: money allocated to one CB category (say, therapy) can't be shifted to another (say, support coordination). Within the therapy category, though, you generally choose how to split funds across therapy types — which is why it pays to plan the year's therapy deliberately rather than drifting: what mix of psychology, OT and physio serves this year's goals, and what reports will the next plan reassessment need?
Capital: equipment and environments
Capital funds physical things: assistive technology (wheelchairs, communication devices, hoists), vehicle and home modifications, and — for the small group who qualify — Specialist Disability Accommodation. Capital money is the least flexible of all: it's tied to the specific items or purposes stated in your plan, and bigger items generally need supporting evidence (usually an OT assessment) before they're approved and before you spend.
Making a plan work in practice
A few habits separate plans that last the distance from plans that run dry:
- Know your numbers early — divide each budget by the plan length and know roughly what a 'normal week' costs
- Watch stated vs flexible funds — stated funding can only be spent on its stated purpose
- Spend Capacity Building deliberately — therapy budgets are finite; map sessions and needed reports across the year
- Keep evidence as you go — therapy reports, support logs and carer statements are what win the next plan, and they're much easier to gather during the year than the week before a reassessment
- Ask for help — support coordinators (if funded), your providers and the NDIA itself can all explain what a line in your plan means
A note on plan changes
The NDIS has been through significant reform in recent years — new legislation, clearer lists of what counts as an NDIS support, changes to how plans are set out and how funding is released over a plan period, and the progressive rollout of the PACE computer system, which renamed some categories. The three-budget logic above has stayed stable through all of it, but details shift: treat this guide as the map, and check the current rules on ndis.gov.au (or with your support coordinator) before making big spending decisions.
And if reading your plan still feels like decoding a foreign language — that's genuinely common. Care Alliance's intake team talks families through what their plan does and doesn't fund every week, no strings attached. Call us on 1300 206 309 or get in touch.
Common questions
Can I move money between Core, Capacity Building and Capital?
No — the three budgets are separate, and funding can't be shifted between them. Flexibility exists mainly within Core, while Capacity Building is fixed per category and Capital is tied to stated items.
What happens to unspent funds at the end of a plan?
Unspent funding doesn't roll over or get paid out — and consistent underspending can suggest to the NDIS that less funding is needed. If you're underspending because you can't find providers or supports aren't working, raise it well before the plan ends.
What does 'stated support' mean in my plan?
Stated funding must be spent exactly as described in the plan — on that support, sometimes with that provider type. Flexible funding within a budget can move between support types as your needs change.
Who can help me understand my plan?
A support coordinator (if your plan funds one), the NDIA on 1800 800 110, local area coordinators, and any experienced provider. Never feel embarrassed to ask — plans are genuinely confusing documents.
This guide is general information about the NDIS, not advice about your individual situation, and scheme rules change over time. For decisions about your plan, check the current guidance at ndis.gov.au or talk to your support coordinator, planner — or call us on 1300 206 309.