Since 1996, the National Fund has been sponsoring projects in accordance with its legislative mandate. All groups of victims are taken into consideration for funding. When awarding project funding, the surviving victims of National Socialism are given priority. As a result, social, medical and psychotherapeutic projects which are of immediate benefit to the victims are particularly well funded. In addition, funding is awarded for projects that serve academic research into National Socialism and the fates of its victims, that remember Nazi injustices or safeguard the memory of the victims. Particular emphasis is placed on educational projects.
The project funding is financed from the budget of the National Fund; until 2010 funding was also provided by the International Fund for Victims of National Socialism. Since 2013 the undisbursed residue of the funds provided for compensating seized tenancy rights has been used for programs benefitting victims of National Socialism.