Your Guide to NDIS Capacity Building

Here’s the simple truth about NDIS Capacity Building: it’s not about just getting support; it's about investing in yourself. Think of it as a personal development fund, designed to help you build a toolkit for life. Each new skill you learn is a tool that boosts your independence, confidence, and connection to your community.

What NDIS Capacity Building Really Means for You

At its core, NDIS Capacity Building is the proactive part of your plan, focused squarely on long-term growth. While Core Supports are fantastic for helping with your daily needs right now, Capacity Building is all about developing skills so you might need less of that daily help down the track.

It’s the difference between having someone do your weekly grocery shopping for you versus having someone teach you how to budget, plan meals, and confidently navigate the supermarket on your own.

This forward-thinking approach is a cornerstone of the National Disability Insurance Scheme (NDIS), a system that supports a huge number of Australians. In fact, as of 31 March 2025, the NDIS was supporting 717,001 participants across the country. For over half a million of those people, it was their first time receiving this kind of support. If you're curious, you can explore more about the NDIS reach in your state and see how this national support network operates.

Ultimately, this focus on skill development is designed to put you firmly in the driver's seat of your own life.

The Shift from 'Doing For' to 'Doing With'

In the past, 'support' often meant having tasks done for you. NDIS Capacity Building completely flips that idea on its head. It’s all about collaboration and sharing knowledge. Your support worker or therapist works with you, not for you, breaking down tasks and building your confidence at a pace that feels comfortable.

The goal is to move from being managed to being empowered. It’s a journey of learning, where every small step—like making a phone call to a provider or learning a new bus route—is a victory that builds momentum toward greater autonomy.

Core Principles Guiding Your Growth

The whole concept of Capacity Building is built on a few key ideas. Getting your head around them helps you see how every funded activity connects back to a bigger purpose. It’s not just a random collection of activities; it’s a structured approach to your personal development.

Let’s break down the fundamental principles that make it all work.

Core Principles of NDIS Capacity Building

Principle	What It Means for You
Person-Centred	Your goals and what you want out of life are the starting point. Supports are chosen specifically to help you achieve what's important to you.
Skill-Focused	The main goal is learning something new or getting better at something you can already do, from practical life skills to social skills.
Long-Term View	This is an investment in your future. The aim is to build lasting independence and reduce your reliance on supports over time.
Empowerment	It gives you the confidence and the tools to make your own informed choices and speak up for what you need.

When you see NDIS Capacity Building through this lens, you can start to imagine how it applies directly to your own situation. It's a personalised pathway designed to help you unlock your potential and live the life you choose, with confidence and control.

When you hear about NDIS Capacity Building, it's easy to get lost in the jargon. The best way to think about it is like a toolkit, not a rigid checklist. The NDIS organises this funding into nine distinct categories, but these aren't just budget lines—they are pathways designed to help you build specific skills and live more independently.

This structure helps you and your NDIS planner channel funds into the areas that truly matter for your personal growth. It’s all about giving you flexible options, whether your goal is to improve your health, make friends, or land a job you love. Getting a handle on these pathways is the first step to unlocking your potential.

The image below really captures the heart of it all.

As you can see, it all comes back to mastering new skills, advocating for yourself, and becoming a part of your community. These are the end goals.

Now, let's dive into what each of those nine funding categories actually looks like in the real world.

NDIS Capacity Building Categories at a Glance

This table offers a quick snapshot of the nine categories, showing what each one is for and giving a practical example of how the funding might be used. It's a handy reference to see how they all fit together.

Category Name	Main Goal	Example Activity
Choice and Control	To help you understand and manage your NDIS plan effectively.	Engaging a Support Coordinator to help you navigate your plan.
Improved Living Arrangements	To gain skills for finding and keeping a stable home.	Support to inspect rental properties and understand a lease.
Increased Social & Community Participation	To build confidence and skills for connecting with others.	A support worker helps you attend a local hobby group.
Finding and Keeping a Job	To develop skills for employment and success at work.	Help with writing your resume or on-the-job coaching.
Improved Relationships	To develop positive social skills for building connections.	Therapy to improve communication with family and friends.
Improved Health and Wellbeing	To learn how to manage your own physical and mental health.	Working with a dietitian to create a healthy meal plan.
Improved Learning	To access and succeed in education and training.	Specialised tutoring or mentoring for a TAFE course.
Improved Life Choices	To manage the financial side of your NDIS plan.	Hiring a plan manager to pay provider invoices.
Improved Daily Living	To build skills for everyday tasks and independence.	Occupational therapy to learn new ways to cook a meal.

With that overview in mind, let's explore each category a little more deeply to see how they can support your journey.

1. Choice and Control

This category is your foundation for navigating the NDIS. It provides funding for experts like a Plan Manager or a Support Coordinator. Their job is to help you get your head around your plan, manage your budgets, and feel empowered to make your own decisions. The aim is for you to become more confident in steering your own ship over time.

2. Improved Living Arrangements

This one is about more than just having a roof over your head; it’s about learning what it takes to live there successfully. Funding here can help you explore different housing options, get support with a rental application, or learn the ropes of being a good tenant, like talking to a landlord or sorting out household jobs.

Key Takeaway: This category is all about giving you the skills to find and maintain a home that’s right for you—a stable base that makes everything else in life a bit easier.

3. Increased Social and Community Participation

Ever wanted to join a club or group but felt unsure how to start? This pathway is designed to help you do just that. It's focused on building your confidence and skills so you can connect with others, whether that’s through volunteering, joining a sports team, or taking part in community events.

For instance, the funding might cover a support worker to go with you to a local art class for the first few weeks until you feel comfortable on your own. It’s about turning your interests into real connections. If you're looking for ideas, our guide on inclusive activities for developing social skills is a great place to start.

4. Finding and Keeping a Job

This is your go-to support for all things employment. It covers a whole range of activities designed to help you find work that you find meaningful and, just as importantly, keep it.

• Skill Development: This might look like getting help to write a killer resume, practising your interview skills, or learning the public transport route to a new workplace.
• On-the-Job Support: It can also fund support once you've landed the job, like a mentor who helps you learn new tasks or navigate the social side of the workplace.

A structured approach can make a huge difference, much like creating a detailed career development plan. This funding gives you the practical resources to bring a plan like that to life.

5. Improved Relationships

This category is dedicated to helping you build and maintain positive relationships with the people in your life—family, friends, and colleagues. Often, this involves working with a therapist or a behaviour support practitioner. They can help you work on communication, social cues, and interaction in a safe and constructive environment.

6. Improved Health and Wellbeing

Here, the goal is to empower you to take charge of your own health. This could mean learning about healthy eating from a dietitian, developing a fun fitness routine with an exercise physiologist, or getting support to manage all your medical appointments. It’s all about arming you with the knowledge and habits for a healthier lifestyle.

7. Improved Learning

If you’re thinking about studying, this pathway can help. It provides support to access and succeed in education, like TAFE or university. The funding is designed to bridge any disability-related gaps, covering things like specialised tutoring, mentoring, or specific aids that allow you to participate fully in your course.

8. Improved Life Choices

This funding stream is specifically for plan management and building your financial skills. It allows you to hire a plan manager who takes care of the money side of your NDIS plan—paying invoices, tracking your spending, and keeping the books in order. This support frees you up to focus on achieving your goals, knowing the finances are handled correctly.

9. Improved Daily Living

Finally, this is one of the most common and versatile categories. It funds therapies that directly improve your skills for everyday life. Think of it as a toolbox of practical support, which can include:

• Occupational Therapy: To discover new ways to handle daily tasks like cooking, cleaning, or personal care.
• Speech Therapy: To build confidence and clarity in your communication.
• Physiotherapy: To improve your mobility, strength, and physical function.

Essentially, this is your ticket to accessing allied health professionals who can teach you hands-on skills that make a massive difference to your day-to-day independence.

Understanding Your Capacity Building Budget

Getting your head around NDIS funding can feel a bit overwhelming at first, but your Capacity Building budget is actually one of the most empowering parts of your plan. The best way to think of it is as your personal growth and development fund. It's money set aside specifically to help you learn new skills and become more independent.

This is a really important distinction. While your Core Supports budget covers daily, practical needs, Capacity Building is all about investing in your future. For instance, Core funding might pay for a taxi to get you to an appointment. Capacity Building funding, on the other hand, would pay for a specialist to help you learn and practise using public transport by yourself. See the difference? One helps you today, the other empowers you for a lifetime.

The government is also doubling down on this forward-thinking approach. The recent 2025-26 Budget, for example, committed $364.5 million over five years to enhance the Information, Linkages and Capacity Building (ILC) program. This initiative is all about building more inclusive communities and giving people more opportunities to develop their skills.

What Does "Reasonable and Necessary" Actually Mean?

You’ll hear the term "reasonable and necessary" a lot in the NDIS world. It’s the official checklist the National Disability Insurance Agency (NDIA) uses to figure out if a support or service can be funded.

For a Capacity Building support to tick these boxes, it generally needs to:

• Be directly linked to your disability.
• Help you work towards the goals you've set in your NDIS plan.
• Show how it will build your independence and, ideally, reduce your need for other paid supports over time.
• Offer good value for money.

So, simply asking for funding to attend a generic weekly cooking class probably won't get approved. But, if you request funding for an Occupational Therapist to teach you specific cooking techniques and strategies that help you manage your disability in the kitchen, that's a perfect example of a reasonable and necessary support.

Preparing for Your Plan Meeting

To make the most of your Capacity Building budget, you need to go into your plan meeting prepared. This is your moment to paint a clear picture of what you want to achieve and advocate for the supports that will get you there. Don't just turn up; go in with a game plan.

Bringing the right evidence is your secret weapon. This could include:

• Reports from professionals: Letters from your doctor, O.T., or psychologist that recommend certain therapies or skill-building activities.
• A clear list of your goals: Be specific! Instead of saying, "I want to be more social," try something like, "I want to develop the confidence and communication skills to join my local book club and feel comfortable attending their fortnightly meetings."
• A personal statement: Write down, in your own words, how learning these skills will make your life better and help you rely less on others.

Pro Tip: The easier you make it for the NDIA to connect the dots between a support you're requesting and a specific goal in your plan, the higher the chance of getting it funded.

Clearly Articulating Your Goals

The way you talk about your goals can make all the difference. Frame them as an investment. Explain how learning a new skill won't just benefit you personally but might even reduce your need for other supports down the track, saving NDIS funding in the long run.

For instance, you could explain that funding a Support Coordinator for the first year will help you learn how to manage your own plan, eventually empowering you to handle it all by yourself. Nailing this is also crucial for setting up clear expectations with your providers. Our guide to NDIS service agreements is a great resource for learning how to document these goals properly.

When you show up prepared and can confidently explain your vision, your plan meeting becomes more than just a review. It’s your opportunity to secure the NDIS Capacity Building funds you need to truly thrive.

Real Stories of Independence and Growth

It’s one thing to talk about budgets and categories, but seeing NDIS capacity building in action is where it really clicks. The true impact of these supports isn't found on paper—it’s in the everyday wins of NDIS participants. These aren't just line items in a plan; they're direct investments in a person's confidence, skills, and freedom.

Looking at real-world examples helps you picture how these supports could make a difference in your own life. Let's explore a few stories that really showcase what can happen with a well-thought-out capacity building budget.

From Kitchen Hesitation to Culinary Confidence

Meet Anna, a young woman who dreamed of being more independent at home. She loved good food, but the idea of cooking felt completely overwhelming. Relying on pre-made meals was the easy option, but it left her wanting more control over her life.

Using her ‘Improved Daily Living’ funding, Anna started working with an Occupational Therapist (OT). The OT didn't just hand her a recipe book; they rolled up their sleeves and broke down the entire cooking process together.

• Skill Building: They first tackled the kitchen itself, organising everything so ingredients and tools were simple to find and reach.
• Practical Steps: Next, they created simple visual guides for a few nutritious recipes, adding just one new dish each week to keep it manageable.
• Confidence Boost: Anna learned practical skills like how to use knives safely, manage cooking times, and even shop for ingredients on a budget.

A few months down the track, Anna wasn't just following instructions anymore. She was adapting recipes on her own and even hosted a small dinner party for her family. That journey, funded by NDIS capacity building, turned her kitchen from a source of anxiety into a place of creativity and pride.

Landing a Job and a New Sense of Purpose

Tom’s big goal was to find a job he was genuinely passionate about. He knew he had the ability, but the whole application and interview process felt like an impossible hurdle. He just couldn't seem to get his foot in the door.

This is where the ‘Finding and Keeping a Job’ category made a huge difference. Tom connected with a disability employment specialist who helped him map out a clear path to getting hired.

This wasn't about someone finding a job for Tom. It was about giving Tom the tools and confidence to find a job himself—skills he can use for the rest of his career.

Together, they polished his resume, ran through mock interviews, and identified local businesses known for being inclusive. Tom eventually landed a part-time job at a local nursery, which was a perfect fit for his love of plants. His supports are still there to help him navigate the workplace and ensure his success is long-term.

Finding Connection Through Community

Growth isn't just about work or daily tasks. For many, NDIS capacity building is the key to building friendships and feeling like part of a community. We see these incredible transformations all the time, as participants move from feeling isolated to truly belonging. You can read some of our favourite client success stories about inspiring independence for more examples.

While our focus here is on NDIS supports, the core idea of self-reliance is universal. Resources like this guide on achieving independence explore this concept from a financial perspective, showing how it's another cornerstone of personal empowerment.

What these stories really show is that NDIS capacity building is a deeply personal journey. The goals are as unique as the people themselves. Whether it's learning to catch a bus, managing a budget, or joining a local club, this funding provides the foundation for turning goals into achievements. Think of your plan as the launchpad for your own story of growth.

How to Get the Most from Your NDIS Plan

Having NDIS capacity building funds in your plan is a fantastic start, but the real magic happens when you put them to work to bring your goals to life. This section is all about the practical side of things—making smart choices and turning that funding into real, lasting skills and independence.

It's reassuring to know the NDIS is focused on making sure resources are used effectively. The latest expenditure trends from March 2025 show the scheme is becoming more financially stable. In the first nine months of the 2024-25 financial year, expenses were $34.2 billion—a significant $740 million less than projected. This careful management means more funding can be channelled toward initiatives that directly support participant growth. You can dive deeper into the numbers by reading the full NDIS quarterly report.

Choose Providers Who Understand Your Vision

Your relationship with your providers is the foundation of your entire NDIS journey. Don't just settle for the first name you find. You need to find people who truly listen, who "get" your goals, and who are genuinely committed to helping you build skills, not just tick boxes.

When you're meeting a potential provider, ask them point-blank: "How will you help me build my capacity?" A great provider won't just talk about doing things for you; they’ll talk about working with you. They’ll be excited about your long-term vision and ready to help you map out the small, achievable steps to get there.

Set SMART Goals to Track Your Progress

If your goals are vague, your results will be too. To get real value from your NDIS capacity building budget, you need crystal-clear objectives. The SMART goals framework is a brilliant tool for this, turning fuzzy ideas into concrete, actionable steps.

Here’s how it works:

• Specific: What, exactly, do you want to achieve? Instead of "be more independent," a specific goal would be, "I want to learn to cook three different healthy meals by myself each week."
• Measurable: How will you know when you've done it? For the cooking goal, it might be successfully making those three meals for four weeks straight.
• Achievable: Is this goal realistic for you right now? If three meals feel like too much, start with one and build from there.
• Relevant: Does this actually matter to you? Does it align with the bigger picture of what you want for your life?
• Time-bound: Give yourself a deadline. "I will achieve this within the next three months."

Setting goals this way gives both you and your support workers a clear roadmap. It transforms your NDIS plan from a static document into a living, breathing action plan.

Embrace the Power of a Great Support Coordinator

A skilled Support Coordinator can be your most valuable ally in the NDIS world. They do so much more than just book services. They are strategists, helping you connect the dots, understand your plan inside and out, and find the very best providers to match your needs.

A Support Coordinator's real job isn't just managing your plan—it's building your own capacity to manage it yourself. They should be teaching you and empowering you, so that over time, you need them less and less.

If you feel like you aren't getting this kind of strategic support, it might be time for a chat with your coordinator. For a closer look at what truly effective support coordination involves, check out our guide on the essential role of support coordination.

Be Proactive and Use Your Funding

This is a big one: your NDIS plan funding doesn't roll over. If your NDIS capacity building budget isn't used within your plan's dates, that money is gone. This is why being proactive is absolutely critical.

Don't wait until the last few months of your plan to get things moving. Make it a habit to regularly check in on your SMART goals with your providers or Support Coordinator. If a particular support isn't working or a goal needs tweaking, don't be afraid to speak up and make a change. Your plan is designed to be flexible, and your supports should be too. By staying on top of it, you ensure every single dollar is invested in building a more independent and fulfilling future for yourself.

Your Common Questions Answered

The NDIS can feel like a whole new world, so it's only natural to have questions pop up as you get to grips with your plan. We get asked a lot about NDIS capacity building, so we've put together some straightforward answers to the most common queries we hear.

Let's clear up some of the confusion and help you feel more confident in using your plan to its full potential.

Can I Use NDIS Capacity Building Funds for a Gym Membership?

This is probably one of the most frequent questions we get. The short answer is usually no. A standard gym membership is typically considered an everyday living cost that everyone, regardless of disability, is expected to cover themselves.

However, there's a really important distinction to make. While the NDIS won't pay for the gym entry fee, it can fund a professional, like an exercise physiologist, to work with you at the gym. This support would fall under the 'Improved Health and Wellbeing' category and must be directly linked to helping you achieve your disability-related goals. So, you'd pay for the entry, and your plan would cover the expert support.

What Is the Difference Between Core and Capacity Building?

It's easy to get these two mixed up, but here’s a simple way to think about it: Core Supports are about the 'now', while NDIS Capacity Building is an investment in your 'future'.

• Core Supports are there to help you with your immediate, day-to-day needs. A great example is having a support worker help you with your weekly grocery shop.
• Capacity Building focuses on teaching you the skills to become more independent in the long run. So, instead of someone doing the shopping for you, this funding might pay for an occupational therapist to teach you how to budget, plan meals, and shop for yourself.

The idea is that by building your skills and confidence, you might eventually need fewer Core Supports.

What Happens If I Don't Use All My Capacity Building Funds?

NDIS funding comes with an expiry date—it must be used before your plan's official end date. Any money left unspent in your budget simply disappears; it doesn't roll over to your next plan.

This is why being proactive is so crucial. If you notice you're not getting through your funds, it's a red flag to take action. Chat with your Support Coordinator or Local Area Coordinator (LAC). They can help you connect with the right providers or even discuss whether your goals need a bit of a tweak.

Key Insight: Think of unspent funds as missed opportunities to build new skills. Checking in on your progress regularly helps ensure you're making the most of every dollar in your plan.

How Do I Add Capacity Building Goals to My NDIS Plan?

It all starts with thinking about what you want to achieve. What skills would make the biggest difference in your life and help you become more independent?

Before you head into your plan review meeting, get your evidence in order. This could be reports from your doctor, therapists, or other allied health professionals that back up why these new skills are so important for you.

When you meet with your planner, be ready to clearly explain how learning these things will help you reach your long-term goals. Preparation is everything. For a more detailed guide, check out our insider's guide to NDIS plan review success for practical tips on how to prepare.