Zakah in the Light of the Qur'an (9:60)
“As-Sadaqat (Zakah) are only for the poor and the needy, and those employed to collect it; and to attract the hearts of those who have been inclined (towards Islam); and to free captives; and for those in debt; and for Allah’s cause, and for the stranded traveler – a duty imposed by Allah. And Allah is All-Knowing, All-Wise.” (Qur’an 9:60)
Zakah Eligibility and Conditions
Zakah is a fundamental pillar of Islam and is paid when two key conditions are met:
Nisab (Minimum Wealth Threshold):
A Muslim becomes eligible to pay Zakah when they possess wealth equal to or exceeding the Nisab amount.
The Nisab was established by the Prophet Muhammad (peace be upon him) as:
87.48 grams of gold
612.36 grams of silver
Since gold and silver are no longer standard currencies, Zakah should be calculated based on the current market value of gold or silver in your local currency.
Hawl (One Lunar Year):
The wealth must have been in possession for a full lunar year (354 days/Islamic calendar year) after reaching the Nisab threshold.
Important Note:
If your wealth falls below the Nisab amount, Zakah is not required.
Amanah Relief encourages accurate Zakah calculation to fulfill your duty and support those most in need.
HOW MUCH DO I PAY?
Amanah Relief uses the value of gold as the standard for the Nisaab, with the current minimum amount set at £3767.35 before Zakat is due. For example, if a year had passed on this amount, you would pay 2.5% of it, which equals £94.18. If you had £5,000 in wealth or assets saved and a year had passed, you would pay £125.00.
Wealth and assets that are Zakat applicable include:
Cash: Money saved in the bank or at home, including amounts saved for specific purposes.
Gold and Silver: The value in your local currency according to the Nisaab.
Shares: The market value of shares you own.
Money Owed to You: If repayment is expected.
Business Assets: The balance sheet value of the stock you possess.
Properties: Any rental income saved over the year. The equity value of your investment property portfolio is not included as part of your assets in the Zakat calculation.