The NDIS is built around freedom with participants given choice and control over their funding and how they spend it. Despite this freedom, participants and providers are expected to use their funding on ‘reasonable and necessary’ supports and the NDIA performs random audits to make sure funds are being spent and managed properly.

At Plan Partners, we want the NDIS to be successful and continue for years to come – audits play an important role in making this happen.

Let’s take a look at audits in more detail, so you know exactly what to do in the event you’re audited.

Why am I being audited?

While it can feel a bit like you’re being accused of something, that’s not the case at all. It’s very likely you’ve simply been chosen at random – a bit like when people are picked for jury duty. The National Disability Insurance Agency (NDIA) can audit participants they suspect may be misusing their funds, but many participants are chosen randomly. This helps the NDIA get an overall sense of whether the average NDIS participant is using their funding correctly, and also ensures service providers stick to pricing limits and invoice correctly.  

What happens during a NDIS audit?

If you’re selected for an audit, the NDIA will contact you to explain how the process works.
You’ll be asked to send them copies of some financial documents, including receipts and invoices from your service providers from the past 12 months. You may also be asked to provide them with evidence that shows why some of your supports are reasonable and necessary such as a letter or report from a healthcare professional or Occupational Therapist (OT). 

The NDIA will then review your documents and compare them against your plan and budget. If they are happy everything meets the relevant criteria, the audit is pretty much completed.

One important thing to note; an audit doesn’t impact your supports. You will still have access to all of your funding and be able to pay your service providers as usual.

What do I need to do during the audit?

It’s your responsibility to give the NDIA everything they need to carry out the audit. Finding all those documents and receipts can be a tricky and time-consuming job, but the good news it that once you have sent it all to them, there’s not much else you need to do. The NDIA might ask you some follow-up questions if anything is unclear, but for most people the hardest part of an audit is tracking down documents. 

If you have a plan manager like Plan Partners, we take care of all of this for you. We store all your important documents securely on file to hand over to the NDIA and work with them to ensure they have all they need to do the audit. We also help with any questions you have about the auditing process.   

What happens if the audit finds something wrong?

The NDIA understands that mistakes can happen. An audit isn’t about catching you out. If the NDIA find anything suspicious, they’ll contact you to find out more about what’s happened. Often, there is a simple explanation such as an invoice being filled out incorrectly. The good news is, you’ll have the opportunity to discuss and resolve the issue with the NDIA.

Sometimes, the NDIA will question whether a support is reasonable and necessary or not. For this reason, it’s a good idea to use our reasonable and necessary checklist and to always make sure you collect written evidence from a health professional when required. Small things like these help to avoid any complications in the event of an audit.

We’re here to help

As experienced NDIS plan managers, we can support you through the auditing process, including storing all your records and making them readily accessible to auditors..

Visit our plan management page to learn more about how we support you as your plan manager.