Frequently Asked Questions About Zakat

Zakat is the third pillar of Islam. It is a mandatory act of worship where Muslims give 2.5% of their qualifying wealth annually to those in need. The word "Zakat" literally means "purification" — it purifies your wealth and soul. Zakat is mentioned alongside Salah (prayer) over 30 times in the Quran, emphasizing its importance.

Zakat is obligatory on every Muslim who is: (1) sane, (2) adult (reached puberty), (3) owns wealth above the Nisab threshold, and (4) has held that wealth for one full lunar year (Hawl). Both men and women must pay Zakat on their own wealth.

The Zakat rate is 2.5% (or 1/40th) of your total qualifying wealth minus liabilities. For example, if your net Zakatable wealth is PKR 1,000,000, your Zakat would be PKR 25,000. Use our free calculator to get your exact amount.

Zakat becomes due after one full lunar year (Hawl) passes since your wealth first exceeded the Nisab. Many Muslims choose a fixed date each year (such as 1st Ramadan) to calculate and pay their Zakat. Once due, it should be paid promptly without unnecessary delay.

Zakat is a mandatory obligation in Islam. Intentionally refusing to pay Zakat is considered a major sin. The Quran warns of severe consequences for those who hoard wealth and do not pay Zakat (Quran 9:34-35). If you have missed Zakat in previous years, you should calculate and pay all outstanding amounts.

Nisab is the minimum amount of wealth a Muslim must possess before Zakat becomes obligatory. In the Hanafi school (most common in Pakistan), Nisab equals the value of 612.36 grams of silver (~PKR 153,090). In the Shafi'i school, it equals 87.48 grams of gold (~PKR 1,837,080). See today's Nisab rates.

If you follow the Hanafi school (majority in Pakistan), use the silver standard. If you follow the Shafi'i school, use the gold standard. When in doubt, most scholars recommend the silver standard as it is more cautious and benefits more poor people.

According to the Hanafi school: Yes — Zakat is due on all gold, whether worn daily or kept stored. The Shafi'i school generally exempts gold jewelry worn regularly for personal adornment. Since most Pakistanis follow the Hanafi school, it's best to include all gold in your calculation. Read our complete guide on Zakat on gold.

No. Personal assets used for daily living — such as your primary residence, personal vehicle, furniture, clothing, and household items — are NOT subject to Zakat. However, if you own property as an investment or for rental income, the rental income itself may be Zakatable once it accumulates.

Zakat is not paid directly on salary (income), but on the savings accumulated from your salary. If your total savings and assets exceed Nisab for one lunar year, Zakat is due on the total amount. Read our detailed guide on Zakat on salary.

Yes. Stocks, mutual funds, bonds, and other liquid investments are Zakatable at their current market value. Include the total value of your investment portfolio when calculating Zakat.

Yes. You can deduct your personal debts, outstanding loans, and unpaid bills from your total assets before determining Zakatable wealth. This includes credit card debt, car loans, home mortgages (some scholars limit this to one year's payments), and money you owe to others.

The Quran specifies 8 categories of eligible Zakat recipients in Surah At-Tawbah (9:60): (1) the poor, (2) the needy, (3) Zakat administrators, (4) those whose hearts are to be reconciled, (5) freeing captives, (6) those in debt, (7) in the way of Allah, and (8) stranded travelers.

You cannot give Zakat to your parents, grandparents, children, grandchildren, or spouse. However, you can give Zakat to siblings, cousins, aunts, uncles, nieces, nephews, and in-laws — provided they are eligible (i.e., they meet the criteria of being poor or needy).

Yes, as long as the organization distributes Zakat funds only to eligible recipients as defined by the Quran. Make sure to verify that the organization has a separate Zakat fund and that it reaches those who qualify. Many reputable organizations in Pakistan accept Zakat, including Edhi Foundation, Shaukat Khanum, and others.