Zakat
Calculator

Zakat is one of the important pillars of Islam, which is sometimes referred to as Al-Sadaqa Al-Wajiba (obligatory alms). Zakat is a pillar of Islam, it is a compulsory act of worship for all Muslims that can afford to give, Zakat can also be referred to as Al-Sadaqa Al-Wajiba (obligatory alms).

(Zakat is not applicable on non-Muslims). Mature (i.e., above the age of puberty) Mentally sound (Zakat is not compulsory on those who are insane). Free (i.e., not a slave or in prison). Complete ownership of the wealth (wealth can only be subject to Zakat if it is in complete ownership of the individual. For example, if someone buried some possessions somewhere and forgot where he had buried them, and then remembered years later, the Zakat will not have to be paid for the interim period when the possessions were missing.) One’s wealth should exceed that which is required to fulfil the basic necessities of life. One should be free of debt. For example, if someone has £1000 saving, but he also has a debt of £1000, he is not liable to pay the Zakat, so long as his savings do not exceed his debt. Zakat is payable on that wealth or property which grows either materially, such as trade goods or free-grazing livestock, or in value, such as gold or silver. Total value of wealth and property should be above threshold determined by Shariah. Person must have been above Zakat threshold for a whole lunar year. One does not pay Zakat as soon as one reaches threshold; rather a whole lunar year has to pass before one pays the Zakat on the condition that one still above the threshold one year on.

The person who possesses the required threshold which makes Zakat obligatory must give a specific amount of his wealth to those who are eligible to receive Zakat.

There are seven categories of people who are eligible to receive Zakat: The poor The Destitute Administrators of Zakat To soften the hearts of people Those who have been enslaved. Those in debt Those in the path of Allah Travelers (including refugees)

Those assets, wealth, and property upon which it is compulsory to pay Zakat must pass a threshold in order for Zakat to become obligatory on a person. This threshold is known as ‘Nisab’.

Zakat becomes obligatory if someone is in possession of 87.48 grams of gold. `Ali b. Abi Talib narrates that the Holy Prophet [SAW] said, It is not compulsory upon you, i.e., on gold, until you are in possession of 20 dinars. When you have 20 dinars and a whole year passes, then half a dinar becomes obligatory on it, and whatever exceeds it, then it is in accordance to the excess (i.e., 1/40) [Abu Dawud, #1573]. It is narrated that `Abd Allah b. `Umar and `A’isha both narrate that the Holy Prophet (saw) used to take Zakat of half a dinar from 20 dinars, and one dinar from every 40 dinars (i.e., 1/40) [Ibn Majah, #1791]. It should be noted that in those days, dinars were gold coins and 20 dinars weighed 87.48 grams.

Zakat becomes obligatory if someone is minimally in possession of 612.36 grams of silver. One-fortieth (1/40) of the total amount should be paid as Zakat. Abu Sa`id al-Khudri states that Holy Prophet [SAW] said, There is no Zakat upon any silver that is less than five awqiya (612.36 grams) [Bukhari, #1390]. It must be noted that the Zakat due is equivalent to 2.5% either by weight or value.

If these valuable stones and jewels [i.e., other than gold and silver] are for the purpose of trading, then they are liable for Zakat. If however, they are used for one’s personal use, Zakat does not need to be paid on it, irrespective of its value.

Yes, in order to fulfil one’s obligation, one must intend (i.e., specify) that they are paying Zakat. As an act of worship pertaining to financial dealings, an intention is required in order for it to be performed correctly. The intention (niyya) for fulfilling one’s obligation is to intend that one is paying Zakat, whether that be at time of distributing one’s wealth to those who are eligible (i.e., at the time of payment), or when setting Zakat money aside.

Yes, someone who is legally responsible to pay Zakat can pay through monthly instalments throughout the year, with the intention of paying Zakat. When lunar year comes to an end, Zakat should be calculated, and whatever remains outstanding should be paid off. In similar fashion, outstanding amount can also be paid through instalment.