The plan administrator will pay providers for the supports provided. A plan administrator will help you monitor your funds and provide you with financial reports. A support coordinator will help you understand and implement the supports included in your plan. An agency-managed plan uses a simplified electronic portal system that greatly simplifies purchasing services and paying your service providers.
With a plan manager, you'll have the same flexibility in choosing the service provider for your plan's supports as if it were self-managed. The funding for a plan administrator is specific and does not go to any other funding area of your plan. If you can manage your own fund or have a family member manage it, you can save some money by avoiding paying for administrative expenses. It's important to note that, with an agency-managed plan, all services are paid at the indicative rate, so you can't negotiate with providers to further exhaust your NDIS funds.
When choosing to manage the plan, you don't have to burden yourself with paperwork, because the plan administrators will take care of all that. The NDIA will pay the plan administrator, and then the plan administrator will use the funds to pay providers directly. Plan administration is free for all NDIS participants, and all charges are paid by the NDIS from the “Improved Life Choices” budget. Jude's is about the difference between NDIS fund management services managed by an agency and those managed by a plan.
The main advantage of having a plan administrator is that they will take care of the financial and administrative aspects of the plan, such as paying providers for the supports you hire, keeping track of your expenses and taking care of financial reports. Finally, when the NDIA manages your plan, the NDIS will pay your care providers directly. Independent plan managers, such as My Plan Manager, specialize in providing plan management services and do not provide any other services to NDIS participants. However, managing your own plan's funds requires significant administrative work, making the self-management of the NDIS a task in itself.
In managing the plan, you receive funding from the NDIS so that someone else can handle your paperwork and manage your funding.