Zakat Basics: Who Gives and Who Receives?
By MyMasjidScreen Team ·
Zakat is one of the five pillars, yet many Muslims are unsure how it works. A clear introduction to who pays, how much, and who can receive it.
Zakat is one of the five pillars of Islam, mentioned alongside prayer again and again in the Quran. Yet many Muslims, especially those who have only recently started earning or saving, feel unsure how it actually works. This article gives the basics. For your own situation, always check with a qualified scholar or your masjid.
What zakat is
Zakat means purification and growth. It is a fixed portion of certain kinds of wealth that a Muslim gives each year to specific groups of people. It is not a voluntary donation, which is called sadaqah. It is a duty, and a right that the poor have over the wealth of those who have enough.
Who has to pay
Zakat is due from an adult, sane Muslim who:
1. Owns wealth above the nisab, the minimum threshold, and 2. Has held it for one full lunar year (called the hawl).
The nisab is traditionally measured by gold or silver: about 85 grams of gold or about 595 grams of silver. Because the values of gold and silver differ, and change daily, many scholars and organisations recommend using the silver nisab, as it is lower and benefits more of the poor. Ask your local scholar which they advise.
What counts
Commonly included:
- Cash, in hand and in bank accounts. - Gold and silver (there are differences of opinion about jewellery that is worn). - Business stock and goods held for sale. - Money owed to you that you expect to be repaid. - Shares and investments, depending on their type.
Not usually included: your home, your car, personal belongings and the tools of your work.
How much
For cash, gold, silver and trade goods, zakat is 2.5% of the total zakatable wealth, once a year. You can use the zakat calculator on this site to estimate yours, then confirm with someone knowledgeable if your situation is complex.
Who can receive it
Allah names the recipients precisely: "Zakat expenditures are only for the poor and for the needy and for those employed to collect it and for bringing hearts together and for freeing captives and for those in debt and for the cause of Allah and for the stranded traveller" (Quran 9:60).
These are the eight categories. Zakat cannot be given to your own parents, grandparents, children or grandchildren, or by a husband to his wife, because you are already responsible for supporting them. Many scholars allow giving it to other relatives in need, such as siblings, and say that this carries a double reward.
Practical tips
- Pick a date. Many people choose a date in Ramadan and calculate every year on that day. - Keep records. A simple note of your calculation helps next year. - Give to trustworthy channels. Your masjid or a reputable organisation can make sure zakat reaches eligible people. - Do not delay. Once it is due, pay it promptly.
A reminder
Zakat is not a loss. Allah describes those who spend their wealth in His way as being like a grain that grows seven ears, with a hundred grains in each ear (Quran 2:261). It purifies our wealth and our hearts, and it keeps the community standing.