This chapter examines the Australian Not-for-profit (NFP) sector. It explores how the charities have needed to operate through partnership arrangements to enhance their ability to contribute to the wellbeing of their clients and their own sustainability as they pursue their service obligations. The chapter also examines the arrangements between federal government agencies with social welfare responsibilities that undertake specific arrangements with relevant NFP organisations. It discusses the emergence of partnership arrangements in the broader theoretical context of neoliberal ideas that have reformed relationships between governments and the private sector, including NFP organisations, since the 1990s. The chapter examines the nature of the partnership arrangements, including the areas of engagement, and the approaches taken by government agencies and NFP organisations. It considers possible ways in which partnership arrangements can be improved to maximise the delivery of services to the most vulnerable sectors of the community. According to interdependence theory, philanthropists may also have an active role as stakeholders.