What does the State Department do?
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The State Department has managed the nation’s foreign policy and diplomatic efforts since 1789. It negotiates treaties, issues passports and visas, coordinates humanitarian assistance for refugees, oversees foreign aid and embassies, and represents the US in international organizations. And it does it with a relatively small portion of the US budget. |
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- The State Department spent $38.8 billion in fiscal year 2024, comprising 0.57% of total federal spending. It ranked 15th in total spending among federal agencies.
- Since 1980, department spending (adjusted for inflation) has risen 272.5%, compared to a 193.7% increase in total federal spending.
- In March 2025, Secretary of State Marco Rubio announced that the State Department would absorb USAID programs that haven’t been canceled. USAID’s functions included supporting global economic growth and health, providing humanitarian aid in response to crises, and advancing US foreign policy through partnerships.
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Does your state give or receive the most federal money?
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- On average, each US resident contributed around $14,000 to federal revenue in 2023.
- Delaware paid the most in overall federal taxes per person: $24,575 per resident. The state has some of the nation’s highest rates of business creation and, therefore, the highest share of federal revenue from business income taxes.
- Washington, DC, contributed $54,612 per person to the federal government — more than double any state. It also received $74,361 per person from the federal government, the most in the country, primarily due to defense and transportation funding.
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All states—and their taxpayers—send money to federal coffers. The government distributes much of this back to states, but some receive more money than they contributed. This shapes how money flows through Social Security, Medicaid, and infrastructure projects nationwide.
- In 2023, the federal government collected $4.67 trillion in taxes and redistributed $4.56 trillion back to states and residents, mostly through programs like Social Security and Medicaid but also through sources like transportation funds and government contracting.
- Nineteen states paid the federal government more than they received. New Yorkers paid about $89 billion more to the federal government than they received. Meanwhile, Virginians received about $79 billion more.
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What trade (and trade wars) means for the nation is all over the news. But what is the value of US trade?
The US and Ukraine have signed a deal to give the nation access to Ukraine’s minerals and other critical natural resources in exchange for long-term defense support against Russia. Read about the money the US has provided Ukraine since Russia’s invasion.
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Do you have plans to visit a national park this summer? Your visit offers more than scenic views: it boosts local economies by supporting jobs and generating wages.
In 2023, 325 million national park visitors spent an estimated $26.4 billion—the most in a decade. That spending supported 415,400 local jobs and generated $19.4 billion in wages and salaries.
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