What is an NDIS service agreement and who needs one?
A service agreement is a written contract between an NDIS registered provider and a participant (or their nominee or plan nominee). It sets out the supports that will be delivered, how they will be delivered, what each party agrees to do, and how the arrangement can be changed or ended.
Under the NDIS Act 2013 and the NDIS Practice Standards, registered providers must have a current, signed service agreement in place before delivering funded supports. For SIL providers in particular, the agreement is a primary evidence document during quality audits — auditors expect to see it alongside the participant's support plan, risk assessment, and behaviour support plan where relevant.
The 2026 strengthened registration framework has increased scrutiny on service agreements. Providers renewing or applying for registration under the updated requirements must demonstrate that their agreements reflect contemporary rights-based language, include restrictive practices disclosure where applicable, and are accessible to participants with varied communication needs.
What must an NDIS service agreement include?
The NDIS Commission does not mandate a single prescribed template, but it does specify the information that must be present. At minimum, a compliant service agreement must address the following areas:
- Supports to be delivered — a clear description of each support item, its frequency, and the setting in which it will be provided.
- Price and funding source — the rate charged per unit of support, the relevant NDIS Support Catalogue line item reference, and whether the participant is self-managed, plan-managed, or NDIA-managed.
- Duration and review dates — the start date, end date (or notice period), and when the agreement will be reviewed.
- Cancellation and notice terms — aligned to the NDIS Pricing Arrangements and Price Limits, including the short-notice cancellation rule that applies to most supports.
- Participant rights — explicit reference to the participant's rights under the NDIS Code of Conduct, including the right to have a support person or advocate present, and the right to make decisions about their own life.
- Complaints and feedback process — contact details for the provider's internal complaints officer and a direct reference to the NDIS Commission as the external avenue (1800 035 544).
- Privacy and information sharing — how the provider collects, stores, uses, and shares participant information, and the participant's rights under the Privacy Act 1988.
- Incidents and reportable incidents — a plain-English statement that the provider must report certain incidents to the NDIS Commission and that the participant has the right to be informed.
- Restrictive practices — if any regulated restrictive practices are used or anticipated, the agreement must reference consent, the behaviour support plan, and the provider's obligations under state/territory authorisation requirements.
- Signatures — dated signatures from the provider's authorised representative and the participant or their decision-maker, with an option for a witness where the participant's capacity is supported by a guardian or plan nominee.
Step-by-step: how to write your service agreement
- Start with participant information. Record the participant's full name, NDIS number, plan dates, and the name of any nominee or plan manager. Cross-check these against the current NDIS plan before proceeding.
- List every support with its line item. Use the NDIS Support Catalogue to identify the correct support item number and category. Write the support description in plain English — avoid internal shorthand that a participant or family member may not understand.
- State the price for each support. Include the hourly or per-unit rate, the GST status, and whether travel or non-face-to-face time applies. Reference the current Pricing Arrangements and Price Limits document to confirm you are within the price cap.
- Define cancellation terms clearly. Specify the notice period required, what constitutes a short-notice cancellation, and the rate the provider will claim (if any) in that event. This must align to the current NDIS Pricing Arrangements, which sets out permitted cancellation claims.
- Write the rights and responsibilities section. Use plain language. State what the provider commits to (respectful treatment, on-time delivery, trained workers) and what the participant agrees to (reasonable notice of changes, access to their home for scheduled visits if SIL applies).
- Include the complaints pathway. Name the provider's internal complaints contact. Include the NDIS Commission's contact number and website. For participants with complex communication needs, attach an Easy Read complaints summary or provide an accessible alternative.
- Add privacy, incident, and restrictive-practice clauses. Tailor the restrictive-practice clause to the participant — leave it blank or mark "not applicable" if no regulated practices are in place, but ensure the clause exists so it can be activated if circumstances change.
- Review with the participant before signing. Offer to read the agreement aloud, arrange an interpreter, or provide an Easy Read version. The NDIS Practice Standards require providers to actively support informed consent — a signature alone is not sufficient evidence if the participant did not genuinely understand what they were signing.
- Both parties sign and date. Keep the original in the participant's file. Provide the participant (and plan manager if applicable) with a copy. Store securely in line with your privacy obligations.
- Schedule a review. Set a calendar reminder at least four weeks before the agreement's end date or the participant's plan end date — whichever comes first. Review sooner if supports change, the participant's needs change, or a significant incident occurs.
Example: filled-in service agreement excerpt
Provider: Sunrise Support Services Pty Ltd | ABN: 12 345 678 901 | Registration number: 4050012345
Participant: Jordan Smith | NDIS number: 430 123 456 | Plan period: 1 July 2026 – 30 June 2027
Supports agreed:
| Support item | Catalogue ref | Frequency | Rate (incl. GST if applicable) |
|---|---|---|---|
| Assistance with Daily Life — Weekday Daytime | 01_002_0107_1_1 | 20 hours/week | Per current NDIS Price Limit |
| SIL — Shared Supported Accommodation | 01_700_0115_1_1 | 7 nights/week | Quoted SIL amount per plan |
Cancellation terms: Jordan agrees to provide at least 2 clear business days' notice if unable to use a scheduled support. Short-notice cancellations (less than 2 business days) may result in Sunrise Support Services claiming the applicable cancellation rate as permitted by the NDIS Pricing Arrangements.
Complaints: Jordan can raise concerns with our Client Experience Officer at any time ([email protected] / 03 9000 0000). If Jordan is not satisfied with our response, they can contact the NDIS Commission at 1800 035 544 or ndiscommission.gov.au.
Review date: This agreement will be reviewed on 1 May 2027 or earlier if Jordan's needs or plan change.
Signed by participant: _______________________ Date: ___/___/______
Signed on behalf of provider: _______________________ Date: ___/___/______
Common mistakes and how to fix them
- Generic pricing clauses ("as per NDIS rates"). Auditors and plan managers require the actual rate at the time of signing. State the specific rate or attach a fee schedule as a signed schedule to the agreement.
- Missing cancellation terms. This is one of the most frequent audit non-conformances. Add a dedicated clause that mirrors the current NDIS Pricing Arrangements cancellation policy.
- No complaints pathway for the NDIS Commission. Providers must reference the external complaints avenue — the internal process alone is insufficient under the Practice Standards.
- Out-of-date agreements. Using a template that pre-dates the strengthened standards may omit mandatory rights-based language. Review your template at least annually and whenever the NDIS Commission releases updated practice guidance.
- No accessible version for participants with communication needs. If a participant uses AAC, has low literacy, or speaks a language other than English, providing only a standard written document does not satisfy the informed-consent requirement.
Keeping your template audit-ready in 2026
Quality auditors assess service agreements against the NDIS Practice Standards — specifically the Core Module requirements for rights, service access, and support planning. Auditors look for evidence that the agreement was genuinely negotiated with the participant, not simply handed to them to sign. Version-control your template, date every revision, and retain superseded copies in the participant file.
If you are building or overhauling your SIL compliance document suite, the 74-document audit-ready compliance kit available at ndiscompliant.com.au includes a fully structured service agreement template, a fee schedule annex, an Easy Read participant rights summary, and the other supporting documents auditors expect to see alongside it.
Important: This article provides general guidance about NDIS compliance requirements. It is not legal or professional advice. Requirements may change as the NDIS Commission updates its policies and Practice Standards. Always verify current requirements with the NDIS Quality and Safeguards Commission or a registered NDIS consultant before making compliance decisions.