NDIS funding is split into three categories. People get them confused all the time, and providers sometimes exploit that confusion to bill for things in the wrong category. Understanding the difference takes about ten minutes and saves a lot of pain later.
Here is what each one actually covers, with real examples.
Core Supports — day-to-day
Core Supports pay for the things you need every day. This is the biggest category for most participants, and the most flexible. If your plan has Core Supports funding, most line items within Core can be used interchangeably.
Core Supports has four sub-categories:
| Sub-category | What it covers |
|---|---|
| Assistance with Daily Life | Personal care, household tasks, SIL support, community nursing — the hands-on daily support. |
| Transport | Transport allowance or activity-based transport. See NDIS transport services. |
| Consumables | Continence aids, wound dressings, low-cost assistive technology (under about $1,500 per item). |
| Assistance with Social & Community Participation | Group activities, community access, social events with a support worker. |
Core Supports line items can usually be used flexibly across these sub-categories, except Transport which is usually a separate allowance.
Capacity Building — building skills and independence
Capacity Building pays for supports that help you build skills, independence and connections — so you need less support over time. The name is the giveaway: we are building your capacity.
Capacity Building supports are less flexible. Each line item is tied to a specific purpose and cannot be swapped with other Capacity Building items.
Main line items under Capacity Building:
- Improved Daily Living: Therapeutic supports — OT, physio, speech, psychology, dietetics. Also life skills training.
- Improved Relationships: Behaviour support plans, relationship skills, positive behaviour support training.
- Improved Health & Wellbeing: Exercise physiology, dietitian input where it builds capacity (as distinct from clinical nutrition therapy).
- Improved Learning: Training to transition into further education.
- Improved Life Choices: Plan management — if you have a plan manager, this is where their fees come from.
- Improved Living Arrangements: Support to find and maintain appropriate housing.
- Increased Social & Community Participation: Skill-building for community life. Covers both standard and innovative community participation.
- Finding and Keeping a Job: School-leaver employment supports, employment-related assessments and training.
- Support Coordination: Level 2 or Level 3 coordinators who help you use your plan. A separate line item.
Capital — equipment and modifications
Capital Supports pay for specific one-off items: assistive technology (wheelchairs, communication devices), home modifications (ramps, bathroom modifications), vehicle modifications, and specialist disability accommodation (SDA) payments.
Capital is the most restricted category. You usually need quotes, often an OT assessment, and explicit NDIA approval before purchasing.
Main types of Capital Supports:
- Assistive Technology (AT) — wheelchairs, hoists, communication devices, shower chairs above $1,500
- Home Modifications — ramps, grab rails, bathroom modifications, lift installations
- Vehicle Modifications — accessible vehicle conversions, hand controls, wheelchair lifts
- Specialist Disability Accommodation (SDA) — for participants qualifying for purpose-built housing
How the categories work together — a real example
Let us say a participant has cerebral palsy, uses a wheelchair, lives at home with family, and attends TAFE. A realistic NDIS plan might include:
| Funding Category | Example Items |
|---|---|
| Core — Assistance with Daily Life | Personal care 2 hours/day, household tasks 3 hours/week |
| Core — Transport | Weekly transport allowance for travel to TAFE and appointments |
| Core — Consumables | Continence aids, wound dressings |
| Core — Social/Community | 4 hours/week group activity, 2 hours/week community access |
| Capacity Building — Improved Daily Living | OT assessment, physio 10 sessions/year, OT review of equipment |
| Capacity Building — Support Coordination | 40 hours/year Level 2 support coordination |
| Capital — Assistive Technology | New power wheelchair ($15,000+) and communication device |
| Capital — Home Modifications | Bathroom modifications, ramp at front entrance |
Each category does its specific job. The power wheelchair (Capital) means the participant can access school. The personal care (Core) means they can get ready in the morning. The OT (Capacity Building) reviews whether the current equipment is still suitable. All three are needed.
Common mistakes
- Trying to pay for equipment out of Core Supports. Larger equipment (over about $1,500) needs to come from Capital.
- Using Capacity Building flexibly — most line items are not interchangeable.
- Missing Capital requests at plan review. Capital items take time to get approved; raise them well in advance.
- Not tracking Core vs Capacity spending separately. Your plan manager’s statements should show this clearly.
- Assuming Core Supports can pay for allied health. Therapy is almost always Capacity Building.
Which category covers support from a specific provider?
Common supports and where they fall:
| Support | Category |
|---|---|
| Support worker for daily personal care | Core — Assistance with Daily Life |
| Household cleaning | Core — Assistance with Daily Life (or sometimes under household tasks specifically) |
| OT assessment | Capacity Building — Improved Daily Living |
| Psychology sessions | Capacity Building — Improved Daily Living |
| Behaviour support plan | Capacity Building — Improved Relationships |
| Support coordination | Capacity Building — Support Coordination |
| Plan manager fees | Capacity Building — Improved Life Choices |
| Transport to appointments | Core — Transport |
| Wheelchair over $1,500 | Capital — Assistive Technology |
| Ramp installation | Capital — Home Modifications |
| Group activity with support worker | Core — Assistance with Social & Community Participation |
| Youth mentoring for skill building | Capacity Building — Increased Social & Community Participation |
| Community nursing for wound care | Core — Assistance with Daily Life (Community Nursing line item) |
| HIDPA worker for PEG feeding | Core — Assistance with Daily Life (HIDPA line item) |
Frequently Asked Questions
Can I move funds between Core, Capacity Building and Capital?
Generally no. These are separate budgets and funds cannot be transferred between them. Within Core Supports there is more flexibility — you can often use funding across different Core line items.
Which category has the most flexibility?
Core Supports. Most line items within Core can be used interchangeably. Capacity Building is more restrictive — each line item is tied to specific supports.
If I have Capacity Building funding but do not use all of it, can I use it for Core?
No. Unused Capacity Building funding stays in Capacity Building. If you finish the plan with unspent Capacity Building, raise it at plan review — you may not need as much next time.
Why did my plan not include any Capital supports?
Capital Supports only appear when you need a specific piece of equipment or a modification. If you do not have that kind of need, the plan simply will not include it.
Can I buy small items out of Core funding?
Consumables under a certain amount (like incontinence pads, catheter supplies) are funded under Core Supports — Consumables. Larger equipment needs to be under Capital Supports.
Need Help Understanding Your Plan Categories?
If you have been staring at your NDIS plan trying to work out what goes where, call us. We can walk through your specific plan, identify which line items cover what, and flag any gaps to raise at review.
