The NDIS is going through its biggest restructure since it launched. If you're a current participant - or supporting someone who is - here's what you need to know.
The short version: your plan isn't being cancelled. But budgets are tightening, the way plans are assessed is changing, and if you're not prepared, your next plan review could look very different from your last one.
Here's what's changing, when it kicks in, and how to put yourself in the strongest position before it does.
What's driving the NDIS reforms?
On 22 April 2026, NDIS Minister Mark Butler announced the "Securing the NDIS for Future Generations" reform package — the most significant restructure since the scheme launched in 2013.
The NDIS was designed for around 410,000 participants. It now supports more than 760,000 Australians and is on track to cost more than $50 billion this year. Without intervention, that figure was heading past $70 billion by 2030.
The reform plan sets clear targets: reduce participant numbers to around 600,000 by 2030, slow annual growth from 5–6% to 2%, and bring average plan sizes from $31,000 back down to $26,000.
There are four pillars driving how it gets there:
- Tightened eligibility: New entrants must demonstrate what Minister Butler has described as a "significant reduction in functional capacity", not just a diagnosis. Existing participants will be reassessed at plan review.
- Reduced plan sizes: Average plan sizes come down. Social and community participation funding is the first category affected. Plan rollovers end.
- Market and provider reform: All providers must use a new digital payment system. Mandatory registration expands, starting with SIL providers from July 2026.
- Quality and safeguarding: Stronger powers for the NDIS Quality and Safeguards Commission
When each change kicks in
Nothing happens overnight. Most participants won't feel a direct impact until their next plan review. But there are key dates worth knowing.
Please note: The following timeline reflects dates as announced by the Australian Government in April 2026. Timelines are subject to change and may be subject to delay as legislation is finalised. We will update this article as further information is confirmed.
- June 2026: Tighter criteria for unscheduled plan reassessments take effect.
- July 2026: Mandatory registration begins for Supported Independent Living (SIL) providers. New digital claims and payments system rollout begins.
- 1 October 2026: Social, civic, and community participation budgets begin to be progressively reduced. This is the change most current participants will feel first.
- 1 February 2027: Tighter "reasonable and necessary" support assessments applied — new entrants first, then existing participants at plan review.
- 1 April 2027: New Framework Planning system commences.
- 2028 Onwards: New eligibility criteria intended to be fully in effect for current participants.
The biggest shift: from diagnosis to functional impact
The NDIS is moving away from diagnosis-based decisions and towards functional-impact decisions. This is the most important change to understand.
What counts is how your disability affects your daily life - communication, mobility, personal care, community participation, work, and relationships.
This is being delivered through a standardised tool called the I-CAN v6 (Instrument for the Classification and Assessment of Support Needs, version 6), developed by the Centre for Disability Studies and the University of Melbourne. A trained assessor will have a structured conversation with you about your daily life and support needs.
For many participants, this is a fairer approach. Two people with the same support needs should receive similar plans regardless of their diagnosis label.
Conditions with fluctuating or less visible impacts - psychosocial disability, chronic illness, autism, ADHD - benefit from strong documentation to be captured accurately in an assessment.
The most useful thing you can do right now: document your functional needs and the support that helps you live your life well.
Will your social and community participation funding change?
From 1 October 2026, budgets for social, civic, and community participation — and capacity building daily activities — begin to be progressively reduced. This is the change most Like Family members will feel first.
Social support isn't being eliminated. It remains a funded category. But funding will be more clearly tied to your disability-related goals and functional needs, rather than general lifestyle activities.
What that means in practice:
- Support that builds social skills, increases independence, or progresses your goals: funded
- A social carer who supports you to participate in your community, attend appointments, or develop new skills: funded
- Supports without a clear link to disability-related goals: at risk of review
Good documentation of your supports helps demonstrate their value - including the role they play in building confidence, practising communication, and reducing social isolation.
This is how Like Family's matching has always worked. We connect Members with Social Carers who share interests and support them towards specific goals, so the activity and the goal sit together - which is exactly what the NDIS will keep funding.
How Like Family helps you get more from your plan
Our rates are 11% below the NDIS price limit
With average plan sizes coming down, every dollar counts more. Like Family's 1:1 social support rates sit 11% below the NDIS price limit. That means for the same funding, you get more support hours - which matters a lot when budgets are tighter.
If your plan drops 20%, that's a hit. But choosing a provider priced below the cap is one practical way to absorb some of that.
‘My Journey’ keeps your support history documented
When your plan review comes around, you need to show what your support has looked like and why it matters. Our ‘My Journey’ feature records your support history with Like Family over time - your social carers, activities, and progress. That's a ready-made record for your assessor, without the scramble to pull it together at the last minute.
We're a registered NDIS provider with 10 years in the scheme
Like Family has been a registered NDIS provider since 2016. We've worked with participants across NSW, Victoria, Queensland, South Australia, and Western Australia through multiple rounds of NDIS reform. Our team knows the scheme, and if you want to talk through how your plan might be structured or what your funding could cover, we're a phone call away.
📞 1800 545 332 | ✉️ hello@likefamily.com.au
10,000+ social carers, matched to your goals
Our platform has profiles of over 10,000 Social Carers across Australia. You filter by location, interests, and experience - and book up to 5 free Meet and Greet sessions to find the right fit. The match matters, because a social carer who genuinely fits your life is also one whose support is easy to document as goal-aligned.
Five things to do before your next plan review
1. Document your functional needs clearly. Write down what support helps you with, why it matters, and how it contributes to your daily life and goals. Focus on what support enables you to do. This is what assessors will be looking at.
2. Review your current support categories. Check that each support is clearly tied to your disability-related needs and goals, and that you have good records to show this.
3. Spend your plan purposefully. Plan rollovers end under the reforms. Unspent funds won't carry over. Choose providers and Social Carers who genuinely fit your goals and make the most of each plan period.
4. Request reassessments only when your circumstances have genuinely changed. Criteria for unscheduled reassessments tighten from June 2026. If your situation has meaningfully changed, a review may be appropriate - speak with your support coordinator.
5. Choose providers who know the changes. Your support coordinator, plan manager, and registered providers should all be across what's coming. Like Family has been an NDIS registered provider for 10 years and our team is here to answer your questions.
Frequently asked questions
Will I lose my NDIS plan because of the 2026 reforms? Most current participants won't lose their plans. Eligibility changes apply primarily to new entrants from 2027–2028. Existing participants will be reassessed at their normal plan review using the new I-CAN v6 tool. Permanent and significant disability with clear functional impact remains fundable.
What is the I-CAN v6 assessment? A structured tool trained assessors use to understand how your disability affects your daily life. It focuses on functional impact rather than medical diagnosis, and will inform your plan budget under the new framework.
What happens to my unspent NDIS funds? Plan rollovers end under the reforms. Unspent funds won't carry over to your next plan. Use your funded support purposefully through each plan period.
Can I still get social and community participation funding? Yes - it's still a funded category. The change is that funding will be more clearly tied to disability-related goals and functional needs. Good documentation of your supports helps demonstrate their ongoing value.
Is Like Family affected by the changes? Like Family is a registered NDIS provider and has been since 2016. Our rates sit 11% below the NDIS price limit, helping you get more support hours from your budget. We work across self-managed, plan-managed, and agency-managed participants.
Last updated May 2026. The reform process is ongoing - timelines and details may change as legislation is finalised. For advice on your specific situation, speak with your support coordinator, plan manager, or a qualified disability advocate.
Like Family is a registered NDIS provider supporting members across NSW, Victoria, Queensland, South Australia, and Western Australia since 2016