With the new Support at Home framework now in effect from 1 November 2025 and the National Disability Insurance Scheme (NDIS) pricing changes effective from 1 July 2025, not-for-profits (NFPs) operating in disability and aged care face a pivotal moment. Boards must sharpen their financial oversight and cost-management practices.
The shift in funding models and pricing highlights a central challenge for many organisations – maintaining financial sustainability while continuing to deliver quality services. Sound financial governance enables NFPs to make informed decisions about resource allocation, manage risks, and ensure their mission can be sustained into the future.
For disability providers, the NDIA’s 2025–26 Pricing Arrangements and Price Limits include a 3.95 percent increase for support worker services, revised therapy rates, and a limit on travel charges to 50 percent of the hourly rate.
While these adjustments provide some relief, they also underscore the importance of understanding the true cost of service delivery. Boards need confidence that pricing models reflect all cost drivers – including supervision, compliance, travel, and administration – to protect margins and avoid the gradual erosion of reserves which is a growing risk in the sector In aged care, the introduction of Support at Home will transform how services are funded and monitored, with increased transparency around package management, workforce utilisation, and overhead allocation. Financial sustainability in this environment depends on having access to accurate and timely information that connects service performance to financial outcomes.
Developing robust costing frameworks is key. Boards should ensure management can clearly map direct and indirect costs, identify efficiency opportunities, and align resources with strategic priorities. Dashboards and key performance indicators (KPIs) that link operational data with financial performance provide the visibility needed to make proactive, evidence-based decisions.
Financial capability within both boards and management teams is another cornerstone of sustainability. Investing in financial literacy strengthens confidence in interpreting results, managing risk, and navigating reform with resilience.
Ultimately, building financial sustainability means aligning purpose with performance. When boards understand the story behind the numbers, they are better positioned to make strategic decisions that safeguard both impact and longevity.