Zakat

Zakat is the annual, obligatory alms-giving paid by Muslims to support those in need. It is one of the Five Pillars of Islam and carries a dual significance: spiritual purification of your wealth, and social justice through a fairer distribution of wealth. Its essence is to seek the pleasure of Allah by obeying His command to give charity to those in need.

Zakat is due on any person who is an adult (has reached puberty), Muslim, of sound mind, and in complete ownership of wealth that exceeds the Nisab threshold.

The Qur’an names eight categories of people eligible to receive Zakat: the poor (Fakir), the needy (Miskin), Zakat administrators (Amil), those in bondage (Riqab), the debt-ridden (Gharmin), those in the cause of Allah (Fisabilillah), the stranded traveller (Ibnus Sabil), and those whose hearts are to be reconciled — new Muslims and friends of the community (Muallafatul Qulub).

We distribute your Zakat to those who fall within the eligible categories, through projects such as Little Hearts, Maternal Health, Cataract treatment, child sponsorship, education for poor children and Feed the Fasting. We operate a separate, dedicated system with assigned staff to ensure your Zakat reaches eligible recipients, and our administration costs never exceed one-eighth of the amount collected.

Nisab is the minimum amount of wealth a Muslim must own before Zakat becomes payable. It is set at the value of either 87.48 grams of gold or 612.36 grams of silver. Any debts you owe are deducted from your total assets before your Zakatable wealth is calculated.

Once your wealth exceeds the Nisab threshold, Zakat becomes due after one full lunar year (the Hawl, 354 days) has passed, provided your wealth remains above Nisab. Many Muslims choose to pay during Ramadan for the greater blessings of the month, but Zakat can be paid at any time of year.

The standard rate is 2.5% of your annual savings and personal wealth above the Nisab. Different rates apply to other forms of wealth: 5% on irrigated crops, 10% on rain-fed crops, and 20% on precious resources such as oil, gold and silver discovered during the year.

Include cash savings, money set aside for special purposes (such as a wedding, Hajj or deposit), the value of gold and silver, shares at market value, business stock, rental income and money owed to you. Exclude personal items, debts you owe to others, current rent or mortgage, outstanding bills and business expenditure. Your Zakatable wealth is your total assets minus your liabilities.

Yes. Zakat may be paid in instalments, although paying it in a single transaction is preferred. You may also pay your Zakat in advance if your wealth is expected to remain stable.

Zakat-ul-Fitr (Fitrana) is different from annual Zakat. It is due before the Eid al-Fitr prayer at the end of Ramadan and is traditionally given as food, for yourself and on behalf of your dependents. Give your Zakat-ul-Fitr →