Frequently asked questions about Zakat

Question 1

What is Zakat?

Accepted Answer

Zakat is the third pillar of Islam: an obligatory annual almsgiving taken from net wealth that reaches the Nisab threshold.

Question 2

What is the Zakat rate?

Accepted Answer

The rate applied to cash, gold, silver, investments and trade goods is 2.5% of net zakatable wealth.

Question 3

What is the Nisab?

Accepted Answer

The Nisab is the minimum wealth threshold at which Zakat becomes due: 87.48g of gold or 612.36g of silver, valued at the market price on your due date.

Question 4

Should I use the gold or silver Nisab?

Accepted Answer

Both are valid. The silver Nisab is lower, so more people qualify; many scholars recommend it to maximise benefit for the poor. You choose the basis in Settings.

Question 5

What is the Hawl?

Accepted Answer

The Hawl is a full lunar year (354 days) during which your wealth stays above the Nisab. Zakat becomes due at the end of that period.

Question 6

Which assets are zakatable?

Accepted Answer

Cash, bank and savings accounts, gold and silver, shares and investments, trade stock and recoverable receivables, plus property held for resale.

Question 7

Which debts can I deduct?

Accepted Answer

Debts that are due or immediately payable: outstanding bills, instalments currently owed, wages and business payables. Future instalments of a long-term loan are not deducted in full.

Question 8

Are my home and car zakatable?

Accepted Answer

No. Personal-use assets (home, vehicle, furniture, clothing) are exempt unless they were acquired for resale.

Question 9

Who can receive Zakat?

Accepted Answer

The eight categories named in the Quran (9:60): the poor, the needy, Zakat administrators, those whose hearts are to be reconciled, freeing captives, the debt-ridden, the cause of Allah, and the stranded traveller.

Question 10

Can I give Zakat to my family?

Accepted Answer

Yes to needy relatives such as a brother, sister, uncle or nephew; no to direct ascendants and descendants (parents, grandparents, children) or between spouses, whose maintenance is already obligatory.

Question 11

Can Zakat be paid in instalments?

Accepted Answer

Yes, it may be paid in advance or spread across the year as long as the full amount due is settled. The app tracks the amount given and what remains.

Question 12

What is the difference between Zakat and Sadaqah?

Accepted Answer

Zakat is obligatory, calculated and reserved for specific recipients. Sadaqah is a voluntary gift, free in amount and recipient.

Question 13

Nisab: the wealth threshold

Accepted Answer

Nisab is the minimum wealth at which zakat becomes obligatory: 87.48 g of gold or 612.36 g of silver, valued at the market price on your due date. The silver nisab is lower, so zakat becomes due sooner and benefits more poor people; many scholars recommend it. The gold nisab remains valid and widely used. You choose the basis in the app settings. Nisab is compared to your net zakatable wealth: zakatable assets minus deductible short-term debts.

Question 14

Hawl: the lunar year

Accepted Answer

Hawl is the lunar year (about 354 days) during which your wealth stays above nisab. Zakat falls due at the end of that period. Pick an annual due date (for example 1 Ramadan) and keep it year after year. Fluctuations during the year do not cancel the obligation as long as wealth is above nisab at the start and end of the hawl.

Question 15

The 2.5% rate

Accepted Answer

Zakat on cash, gold, silver, investments, trade stock and recoverable loans is 2.5% (1/40) of net zakatable wealth. Other rates apply outside this scope: 5% or 10% on crops depending on irrigation, 20% on extracted treasure (rikaz). The calculator applies 2.5% to monetary wealth.

Question 16

What is zakatable and what is deductible

Accepted Answer

Zakatable: cash, bank and savings accounts, gold and silver, shares and investments, trade inventory, property held for resale, loans you expect to recover. Not zakatable: your home, personal vehicle, furniture, and tools used in your work rather than resold. Deductible: debts already due and immediate liabilities (rent, bills, this month's instalments) — not the full balance of a long-term loan.

Question 17

The 8 categories of zakat recipients (Quran 9:60)

Accepted Answer

The poor (al-fuqara) — Those with almost no means of living. The needy (al-masakin) — Those whose income does not cover essential needs. Zakat administrators — Those appointed to collect and distribute zakat. Those whose hearts are to be reconciled — New Muslims and those to be supported. Freeing captives — Freeing slaves, captives and people in bondage. Those in debt (al-gharimin) — People unable to repay lawful debts. In the cause of Allah (fi sabilillah) — Causes serving the defence and welfare of the community. The stranded traveller (ibn as-sabil) — A traveller cut off from means far from home.