Zakat FAQs
The believers, both men and women, are guardians of one another. They encourage good and forbid evil, establish prayer and pay zakat, and obey Allah and His Messenger. It is they who will be shown Allah’s Mercy. Surely Allah is Almighty, All-Wise.
FAQs:
1
What is Zakat?
Zakat is one of the five pillars of Islam and an act of worship. (Bukhari)
The meaning of Zakat is ‘to purify’ and so to purify our wealth, some Muslims are obliged to pay a portion of their assets to help those in need.
2Who pays Zakat?
All Muslim adults who are sane and possess the nisab (a minimum amount of wealth held for a year) should pay Zakat.
Young Muslims who possess wealth should also pay Zakat but the responsibly falls on their guardians.
3
What is the Nisab?
The nisab is a minimum amount of wealth that a muslim must possess for a whole lunar year before Zakat becomes obligatory on him/her.
4
How much is the Nisab?
The Nisab can be determined in terms of gold or silver. Most scholars advise to use the silver nisab. The nisab by the silver standard is 21 ounces of silver (612.36 grams) or its equivalent in cash. To see what the cash equivalent is, visit the National Zakat Foundation’s website.
5
How much zakat do I need to pay?
The Zakat of currency (money), gold, silver & trade goods is to give 2.5% on capital assets.
6
How do I work out how much I need to pay?
You should calculate your capital every lunar year on the date in which your wealth reached nisab. Calculate cash, silver, gold, and trade goods that you have, then pay its zakah at the rate of 2.5% on the total amount.
7
Where does Zakat go?
The Quran states who may receive Zakat payments and they are of eight types:
Allah says “Alms are for the poor and the needy, and those employed to administer the (funds); for those whose hearts are to be reconciled (to the truth); for those in bondage and in debt; in the cause of Allah; and for the wayfarer: (thus is it) ordained by Allah, and Allah is full of knowledge and wisdom” (Al- Tawbah : 60)
- The poor
- The destitute
- Administrators/collectors of Zakat
- Reverts
- To free slaves
- Those who are unable to pay their debt.
- In the path of Allah
- Travellers who cannot afford to return home.
8
Are personal assets included in Zakat?
No, Personal assets such as home, furniture, cars, food, and clothing are not included.
9
Can I give my Zakat to a Muslim charity or Islamic centre?
Yes, you can, but It is advised you give your Zakat to organisations that you are sure will spend it on the eight categories mentioned above.
10
Can I give Zakat to my relatives?
Giving zakat to relatives who are entitled to it is better than giving it to those who are not your relatives, because giving charity to relatives is both charity and upholding the ties of kinship.
The Prophet (peace and blessings of Allah be upon him) said: “Charity given to a poor person is charity, but charity given to a relative is two things, charity and upholding the ties of kinship.” (Al-Nasaai & Tirmidhi)
However, you are not allowed to give zakat to those whom you are responsible to take care of financially such as your children, parents, and wives.
11
Zakat on gold & silver jewellery
According to the majority of Muslim jurist there is no Zakat on jewellery that is used as an adornment, provided the jewellery is worn frequently. If it is not worn except on special occasions, then Zakat must be paid. However, it is more appropriate to pay Zakat on it even if it is worn most of the time to be on the safe side, to avoid the difference of opinion, and to meet the needs of the poor.
12
When should Zakat be paid?
Zakat must be paid when one lunar year has passed, starting from the day your wealth exceeds the nisab unless it is the zakat of agricultural crops, which must be paid on the day of harvesting.
13
Should I pay my Zakat in Ramadan?
Ramadan is a blessed month where your rewards for good deeds are multiplied. Most Muslims prefer giving Zakat during Ramadan so that they can get more rewards. However, if his zakat was due before Ramadan (for example, in Rajab), and you delay it so you can pay it in Ramadan, this is not permissible, because it is not permissible to delay zakat unless one has a valid excuse.