Case Study: John the NDIS Support Worker – What Sole Traders Need to Know About Business & Finance

Meet John

John spent years as a nurse with Qld Health before deciding to step into the disability sector as an NDIS support worker. The shift gave him more flexibility and the chance to build closer relationships with his clients. But with this change also came a big adjustment - John was no longer an employee. He needed to register for an ABN and operate as a sole trader.

Like many support workers moving into self-employment, John was excited about the earning potential, but also unsure of the financial responsibilities that came with running his own business.

The Opportunities

Becoming a sole trader opened doors for John:

• Higher earning capacity - he now controls his rates.

• Flexibility - he chooses when and how he works.

• Independence - he runs his own show, rather than following an employer’s systems.

  
  

The Challenges

While John was confident in his ability to deliver great care, the business side of things felt overwhelming. He quickly discovered:

1. Tax isn’t automatic anymore

   • As an employee, PAYG tax was deducted from his pay. Now, John needs to set money aside for income tax - and potentially GST if his turnover exceeds $75,000.

2. Super is his responsibility

   • John’s old employer contributed to his super automatically. As a sole trader, he has to make personal contributions to keep building his retirement savings.

3. Business expenses matter

   • Mobile phone, insurance, car travel, professional memberships, even part of his home office costs - these can all be legitimate deductions, but only if tracked and recorded properly.

4. Insurance isn’t optional

   • Public liability and professional indemnity cover are essential for NDIS workers. Without them, John risks both compliance issues and personal liability.

5. Cash flow can be unpredictable

   • Unlike a steady pay cheque, John now deals with irregular income depending on client bookings and payments. Budgeting and building a buffer are crucial.

     
     

Lessons for Other NDIS Sole Traders

If you’re stepping into the NDIS space as a sole trader like John, here are the key things to set up from day one:

• ABN & business registration - keep it clean and above board.

• Separate bank account - makes tax and expense tracking much easier.

• Tax planning - set aside at least 25–30% of income for tax so there are no nasty surprises.

• Super contributions - aim for at least 10.5% (what an employer would pay) to stay on track for retirement.

• Insurance cover - public liability, professional indemnity, and income protection.

• Expense tracking system - even a simple app or spreadsheet can save hours of headaches.

• Professional support - a financial coach or accountant can help set systems up correctly and keep you focused on your goals. Lucky for you - we that's us - we can help!

Final Thoughts

Like many NDIS workers, John found that becoming a sole trader gave him freedom and higher income, but it also demanded a new level of financial awareness. By getting the right structures in place early, he reduced stress and built confidence in his business.

If you’re a support worker considering the same move, you don’t have to do it alone. My Finance Coach helps sole traders like John set up their finances, stay compliant, and focus on what they do best - supporting their clients.

👉 Book a free chat today to see how we can help you make the transition with confidence.