US foreign aid falls into three basic categories: humanitarian assistance, development assistance, and security funding. The current system of distribution was created in 1961 by the Foreign Assistance Act. According to the Congressional Research Service, the FY2025 estimated percent of the federal budget spent on international affairs, which includes foreign aid, on top of other international spending, is 1.2%. This funding is allocated to four different levels: state, related agencies and programs, foreign operations, and agriculture. The State Department funds the administration of foreign affairs, which includes the construction of embassies and international organizations, while related agencies and programs encompass the U.S. Agency for Global Media and other similar programs. Foreign operations, which is the typical view of what foreign aid is, includes the U.S. Agency for International Development (USAID), multilateral aid, bilateral aid—such as independent agencies and state and military programs—and financial investment assistance. Within these four categories, the money is distributed to many smaller agencies. Each fiscal year, the budget can be distributed as needed throughout these smaller agencies, and changes can involve reducing, raising, or eliminating funding entirely. These programs include USAID, educational and cultural exchange programs, the peace corp, the tropical forest and coral relief conservation, and many more.