What is the difference between NDIS and DSP?

Understanding the Difference Between NDIS and DSP

Navigating the world of support services can be complicated, especially when it comes to understanding the difference between the National Disability Insurance Scheme (NDIS) and the Disability Support Pension (DSP). This article aims to break down the differences, how they work together, and how one impacts the other.

National Disability Insurance Scheme

What is the NDIS and Disability Support Pension?

Before we delve into the differences, it’s essential first to define what these two terms mean.

The National Disability Insurance Scheme (NDIS)

The NDIS is a new way of providing support for Australians with disability, their families and carers. It’s an insurance scheme that takes a lifetime approach, investing in people with disability early to improve their outcomes later in life. It provides funding directly to individuals to purchase the supports and services they need to live an ordinary life.

Disability Support Pension (DSP)

On the other hand, the Disability Support Pension is a Centrelink payment for people who are unable to work for 15 hours or more per week due to a physical, intellectual, or psychiatric condition. It is not means-tested and is designed to provide financial security for those who cannot earn a sufficient income due to their disability.

How Does NDIS Affect the Disability Pension?

The NDIS and the Disability Pension are designed to work in tandem, not against each other. The NDIS does not replace the Disability Support Pension. Instead, the NDIS is designed to fund reasonable and necessary supports related to a person’s disability to help them achieve their goals, such as independence, community involvement, employment, and health and wellbeing.

These supports may include personal care and support, access to the community, therapy services and essential equipment. The Disability Support Pension, meanwhile, provides a regular income for day-to-day living costs.

How Do the NDIS and Disability Support Pension Work Together?

While the NDIS provides funding for supports and services, the Disability Support Pension offers income support. This means that a person could be eligible for both the NDIS and DSP simultaneously, as they serve different purposes.

The NDIS is there to fund supports that help people with disabilities achieve their goals and engage with the community. The DSP, on the other hand, provides financial support for those who cannot work due to their disability.

Does NDIS Replace Disability Pension?

No, the NDIS does not replace the Disability Support Pension. They are two separate programs designed to serve different purposes. The NDIS provides funding for supports and services to help people with disabilities live an ordinary life, while the DSP provides income support for those unable to work due to their disability.

Does NDIS Affect Disability Pension?

The introduction of the NDIS does not affect the Disability Support Pension. If you are eligible for the DSP, you will continue to receive it regardless of whether you are also receiving support from the NDIS.

Does the Disability Support Pension Impact the NDIS?

Being a recipient of the Disability Support Pension does not automatically make you eligible for the NDIS. The NDIS has its own eligibility requirements, which include having a permanent and significant disability that affects your ability to participate in everyday activities.

In conclusion, understanding the difference between the NDIS and DSP can be confusing, but it’s essential to remember that they are designed to complement each other, not compete. The NDIS provides funding for supports and services, while the DSP provides income support. Together, they offer a comprehensive support system for Australians with disabilities.