Answers to questions on changes to flexible funding.
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Who do I contact if I have questions?
If you can’t find the information you need on the DSS website, talk to your Host if you have one. If you don’t have a Host, talk to your NASC or EGL site.
Remember, your flexible funding allocations or budgets do not change on 1 April. Your current funding plan does not change on 1 April either. It continues as it is now and your support arrangements do not need to change.
Your Host will be in touch with you sometime from April onwards to discuss support for you.
What is changing from 1 April 2026?
From 1 April 2026, the current purchasing rules for flexible funding will be removed, including the 2024 changes.
People’s allocated budgets for their flexible funding will not change.
Hosts will provide support to help people manage their Individualised Funding or hosted EGL personal budgets.
People with Carer Support continue to make claims through Health New Zealand.
What types of flexible funding are included in the April changes?
The April changes apply to:
- Individualised Funding
- Some Enabling Good Lives (EGL) Personal Budgets – hosted personal budgets
- Carer Support
Choice in Community Living is not included in the flexible funding changes.
Will my flexible funding allocation change, re-set or reduce on 1 April?
No. Your current flexible funding allocation will continue as it is now. The April changes do not change people’s allocated budgets for flexible funding.
Does my budget period re-set on 1 April?
No – nothing about your allocated budgets for flexible funding changes on 1 April. They continue as they are.
Why are flexible funding budgets staying the same?
Earlier we said that we would set budgets by looking at what people spent in previous years.
Since then, our work to stabilise the system has given us confidence that we have measures in place that will ensure our funding is allocated fairly, consistently and sustainably.
This includes our February changes to assessment and allocation which mean that everyone receives the same service and approach to assessing their needs, no matter where they live.
What happens if I use up my allocation before the end of my budget period?
People need to manage their spending so it stays within their allocation and the purpose set out in their funding plan.
If required, your Host will help you manage this by:
- monitoring spending against your allocated budget
- reviewing purchases with you
- helping you plan how to use your funding over time.
If your needs or situation change, you should talk with your Host, NASC or Enabling Good Lives site, who can discuss whether your supports need to be reviewed.
Will my plan change on 1 April?
No. If you use flexible funding, your current plan will continue – whether that’s an Individual Service Plan, Enabling Good Lives Funding Plan or My DSS Funding Plan.
Over time, everyone who gets flexible funding will move to the My DSS Funding Plan. This will happen at your next review or reassessment.
What is the My DSS Funding Plan?
The My DSS Funding Plan is part of the new, nationally-consistent assessment and allocation approach for DSS-funded supports, introduced in February 2026.
Over time, everyone who gets flexible funding will move to the new My DSS Funding Plan. This will happen at your next review or reassessment.
The My DSS Funding Plan helps you understand what funding you have, what the funding is intended for, and the outcomes the funding is meant to support. It helps guide and plan how your flexible funding is used.
What can flexible funding be used for?
Flexible funding can be used for supports, services, equipment, and activities – as long as the spending matches the purposes in their plan and their disability needs. (The plan could be an Individual Service Plan, Enabling Good Lives Funding Plan or My DSS Funding Plan.)
Anyone who is unsure what their funding was allocated for can contact their Host, NASC, or EGL site.
When the purchasing rules are removed, can people spend whatever they like?
No. Even though the purchasing rules will be removed from 1 April, flexible funding still comes with responsibilities. A few items are prohibited or require prior approval from Host. People must:
- use their flexible funding for supports that match the purpose in their funding plan
- keep their spending within their allocated budget
- keep records such as receipts, invoices, and any employment records if they hire support workers
- provide receipts and invoices to their Host
- seek prior approval for some purchases.
What spending needs prior approval?
- Overseas travel
- Equipment – to ensure it is safe and matches the person’s needs.
- Complementary therapies that are not publicly funded
- Repeat purchases of similar items before the expected life of the item has expired
- One-off purchases over the approval limit. For most people, the approval limit is $1,500. For a few people who have the highest level of Host support, the approval limit is $500.
What can flexible funding NOT be used for?
Flexible funding cannot be used for drugs, alcohol, tobacco, gambling or illegal activities.
Can I use flexible funding for supports that are provided by other government services?
Sometimes a support may also be available through another government service.
It is expected that a person and their Host or NASC first consider whether these services could adequately provide the support, before deciding to use flexible funding. The spending still needs to match the purpose of their plan and their disability needs.
This doesn’t mean you can’t use flexible funding - it just helps you make the best use of your available funding.
Your Host, NASC, or EGL site can help you look at the options and record what’s been considered.
Can I continue to employ family members as support workers?
If you currently employ family members to support you, this won’t change.
What will my Host do?
Hosts provide guidance, coaching, and oversight for people who have hosted flexible funding (either Individualised Funding or hosted EGL personal budgets).
Hosts provide different tiers of support depending on the person’s situation.
Support from Hosts can include guidance and coaching with planning, keeping records, budgeting, employing workers (if relevant), and ensuring spending fits people’s plans and budgets.
What are the support tiers?
Support tiers describe how much help you receive from your Host to manage your flexible funding. Everyone receives some support. The tier simply reflects how much guidance you may need.
Why are support tiers being introduced?
Support tiers help make sure people receive the right level of support to manage their funding confidently. For some people this will be light‑touch support, while others may have more frequent guidance.
How many support tiers are there?
There are four support tiers. Each tier reflects how often your Host may check in with you and how much guidance they provide.
Will my support tier affect how much funding I receive?
No. Your support tier does not affect how much funding you receive. It only affects the level of guidance your Host provides, and how frequently they check in with you.
How will my support tier be decided?
Your support tier will be based on things like your experience managing flexible funding, how much funding you receive, and how much guidance you need.
Can my support tier change?
Yes. Your support tier can change over time if your situation changes or if you need more or less guidance. The goal is to provide the right level of help for your situation.
What if I don’t want support from a Host?
Everyone who uses hosted flexible funding will receive some level of support from their Host. This helps people manage their funding, keep records, and make sure spending stays within their allocated budget and funding plan.
For many people, this support will be light touch. The level of support depends on a person’s support tier, which reflects things like their experience managing flexible funding and their situation.