Paying Your Zakat
What is Zakat?
Donating zakat is essentially the giving of alms to the poor and needy, and is one of the five pillars of Islam (the others are declaration of faith, prayer, fasting in Ramadan and Hajj). It is obligatory upon every adult Muslim of sound mind and means to give zakat. Give your zakat today with Islamic Help and empower those in need.
The individual must own a specific amount of wealth or savings (after living costs, expenses etc). This is referred to as Nisaab and is the threshold at which Zakat becomes payable. The amount of Zakat to be paid is 2.5% of Nisaab .
“The alms are only for the Fuqara’ (the poor), and Al-Masakin (the needy) and those employed to collect (the funds); and to attract the hearts of those who have been inclined (towards Islam); and to free the captives; and for those in debt; and for Allah’s Cause, and for the wayfarer (a traveler who is cut off from everything); a duty imposed by Allah. And Allah is All-Knower, All-Wise.” [Al-Quran 9:60]
Try our Zakat Calculator
Give your Zakat with Islamic Help to empower those most in need and help transform lives.You can rest easy in your faith, knowing that your Zakat donation will go directly to helping those who need it most, and help lift them out of poverty. We work with the aim of empowering those in need to break cycles of poverty and create bright futures free from the devastation of poverty. When you pay your Zakat online with us, you are helping some of the most vulnerable people in the world gain access to life-saving food, clean water, vital healthcare and support for orphans.
Why do we give Zakat?
Zakat is not charity, nor is it a voluntary charity or a tax, but it is an obligation. By giving Zakat, a Muslim is acknowledging that everything we have belongs to Allah and we do not really own it, and we should use it to remember Allah and help those who are in need. It is also an act to help free us from excessive desire and greed, learn self-discipline and honesty.
Who needs to pay Zakat?
Zakat is obligatory on every Muslim who is of sound mind and able means, possessing wealth above the Nissab – this is the threshold or minimum amount of wealth a Muslim must possess before Zakat becomes payable. People who aren’t mentally well, and people who genuinely cannot afford to do so because their total wealth and savings are below the Nisab do not need to pay Zakat. When should we give Zakat?
You should record the Islamic calendar date on which you first became the owner of Nisaab – if, on the same date the following lunar year, you are still the owner of Nisaab, you will be obliged to pay Zakat within the next year. Many Muslims choose to give their during Ramadan as the rewards for good deeds performed in Ramadan are greater than in any other month.
Who can receive Zakat?
Zakat can only be paid to specific beneficiaries and projects, as there are certain rules that must be followed when distributing Zakat. The Qur’an mentions eight groups of people on who Zakat should be spent:
- (Surat At-Tawbah 9:60)
- The Fuqara’ (the poor)
- Al-Maskin (the needy)
- Aamileen (Zakat collector)
- Muallafatul Quloob (poor and needy who recently converted to Islam)
- Ar-Riqaab (slaves; Zakat can be used to purchase their freedom)
- Ibnus-Sabeel: A stranded traveller in need of financial assistance.
- Al Ghaarimeen: A debtor
- Fi Sabeelillah: Those who are away from home in the path of Allah
How is Zakat calculated?
There are two measures to determine Nisaab – gold (3 ounces or 87.48 grams, or its cash equivalent) or silver (21 ounces or 612.36 grams, or its cash equivalent). Using today’s (April 2020) value of gold (87.48 grams), the nisaab is £3,878.86 Today’s value of silver (612.36 grams), the nisaab is £241.27 Have you tried our Zakat Calculator? Gold: For example, if the price of gold is £20 a gram, the Nisaab (£20 x 87.48) on which Zakat is due is £1,749. So anyone who has £1,749 or more in savings will have to pay 2.5% Zakat on that (minimum Zakat will be £43.73). Silver: if the price of silver is £1 a gram, the Nisaab (£1 x 612.36) on which Zakat is due is £612.36. So anyone who has £612.36 or more in savings will have to pay 2.5% Zakat on that (minimum Zakat will be £15.31). PLEASE NOTE: These are only examples. If you wish to calculate your zakat, you must obtain up to date information on the price of gold and silver.
What do I include in my wealth/assets for Zakat?
Assets to include in your Zakat calculation are cash (in hand, in bank accounts or money lent to someone), shares, pensions, gold and silver. Personal items such as your home, furniture, cars, food or clothing are not included in Nisaab.
Should I use gold or silver to calculate Nisaab?
While it is permissible to use either gold or silver to calculate Nisaab, many scholars recommend using silver as more people paying Zakat means more of the poor and needy benefit.
Does Zakat need to be paid in one go, or can I pay in monthly instalments?
Zakat can be paid in instalments throughout the year, if you pay the full amount by the end of the lunar year. This can work well if you have a steady income, and can predict how much you will earn in the 12 month period. Many of our Zakat applicable projects have monthly payments.