The chart above was one of the slides provided at the District's Zoom Grants Training last week.  It very nicely shows how contributions are distributed.
With funds originating from Clubs and its Rotarians, donations flow to Polio Plus Fund, Annual Fund and Endowment Fund.  From there the donations go on to specific programs or invested.
In particular. a gift to the Annual Fund supports efforts to "strengthen peace efforts, provide clean water and sanitation, support education, grow local economies, save mothers and children, and fight disease."   The Every Rotarian Every Year "initiative asks every Rotarian to support The Rotary Foundation every year.  In addition to contributing to the Annual Fund on a regular basis, members are encouraged to get involved in a Foundation project or program.
"Through the Share system, contributions to The Rotary Foundation are transformed into grants that fund local and international humanitarian projects, scholarships, and activities, such as vocational training teams.  At the end of every Rotary year, contributions directed to the Annual Fund -SHARE from all Rotary Clubs in the district are divided between the World Fund and the District Designated Fund (DDF).  At the end of three years, the district can use the DDF to pay for Foundation, Club and District projects."  Districts may use up to half of their DDF to fund district grants - funds available to Clubs for projects which must "align with the Rotary Foundation's mission."  District Grants are short-term (one year) with a limit of $1,500 per Club granted.
Due to Club giving in 2018-2019 ($161,320), DDF funds available for the 2021/2022 year will be $80,660.  The District will split this between Short-term District Grants and Long-term Global Grants.
Our Club has successfully applied for and completed District Grants for several years including projects such as the One Room Schoolhouse, providing a Trailer for RI Assisting Those in Need, Food Grants to Pawcatuck Neighborhood Ctr, Jonnycake Ctr of Westerly and RICAN, and the Reforest the Tropics School education program.  
If you have not yet made a contribution to Every Rotarian Every Year (EREY), please consider doing it soon.  Rotary does so much good in this world and we are so much a part of this great organization!!!