What is Zakat?
Zakat (زكاة) is one of the Five Pillars of Islam and a powerful act of worship. It means "purification" and "growth" — it purifies your wealth and soul from greed while bringing barakah (blessings) to the rest of your money.
The Quran mentions Zakat alongside Salah (prayer) over 30 times, showing its immense importance. Allah ﷻ says:
"And establish prayer and give Zakat, and whatever good you put forward for yourselves — you will find it with Allah." (Quran 2:110)
Unlike Sadaqah (voluntary charity), Zakat is mandatory on every eligible Muslim. It is the right of the poor upon the wealth of the rich.
Our free Zakat Calculator makes this process simple and accurate.
Who Must Pay Zakat?
Zakat becomes obligatory when you meet these conditions:
- You are a Muslim
- You are an adult (reached puberty)
- You are sane
- You own wealth above the Nisab threshold
- One full lunar year (Hawl) has passed on that wealth
Understanding the Nisab
The Nisab is the minimum amount of wealth that makes Zakat obligatory. There are two traditional standards:
87.48 grams of gold
612.36 grams of silver
Most scholars recommend using the **silver Nisab** for cash and savings as it is lower and helps more people fulfill this pillar.
What Assets Are Zakatable?
Zakat is due at **2.5%** on the following:
- Cash, bank savings, and fixed deposits
- Gold and silver (including investment jewellery)
- Business inventory and trade goods
- Stocks, shares, and investments
- Money owed to you (receivables)
- Rental income and profits
Not zakatable: Your primary home, personal car, daily clothes, furniture, and tools of trade.
Step-by-Step Zakat Calculation
- 1. Choose your Zakat anniversary date (many use 1st Ramadan)
- 2. List all zakatable assets on that date
- 3. Subtract short-term debts due within the year
- 4. Check if the total is above Nisab
- 5. Multiply the net total by 2.5%
Practical Example
Total Assets:
- Savings: £10,000
- Gold (investment): £2,000
- Stocks: £3,000
- Money owed: £1,000
- Credit card due: -£2,000
Net Wealth: £14,000
Zakat Due: £350 (2.5%)
Calculate Your Zakat Instantly →
Common Mistakes to Avoid
- Forgetting to include gold/silver jewellery used as investment
- Deducting full long-term loans (only current year's installment)
- Not waiting for one full lunar year (Hawl)
- Giving Zakat to immediate family (spouse, parents, children)
Ready to Pay Your Zakat?
May Allah accept your Zakat and bless your wealth. Ameen.