Standalone proects

FallenDemon:
So if I were to buy the Attiny85, what else would I need to buy to program it with my Arduino?

A working version of the ArduinoISP sketch, capacitor or resistor to disable auto-reset, wire, breadboard, and a core.

There is a core available here...
http://hlt.media.mit.edu/?p=1695

And a better one ( :D) available here...
http://code.google.com/p/arduino-tiny/

Does the chip include the pinout diagram?

I don't think anyone ships the processor with a diagram.