Zakat on Gold: Nisab, 2.5% Rate and How to Calculate It
How much zakat you owe on gold jewellery, coins and bullion, the 85 g gold nisab, the karat purity table and a worked example.
Is gold zakatable?
Yes. Gold and silver are zakatable in every form: bars, coins, bullion, ETFs backed by physical metal and, according to the majority position, jewellery held beyond ordinary personal use.
Scholars differ on jewellery worn regularly by a woman: the Hanafi school treats it as zakatable in all cases, while other schools exempt jewellery in genuine everyday use. Many contemporary bodies advise paying on all gold as the safer position.
The gold nisab: 85 grams
The gold nisab is 85 g of pure gold (20 mithqal, roughly 7.5 tola). Multiply 85 by the current price per gram in your currency to get the threshold in money.
If your net zakatable wealth — gold plus cash, savings, investments and trade goods, minus short-term debts — stays at or above that threshold for a full lunar year (hawl), zakat is due.
The silver nisab (595 g) is far lower and makes zakat payable sooner, which benefits recipients. You choose the basis in the calculator settings.
How to calculate zakat on gold
1. Weigh your gold in grams and note the karat of each item.
2. Convert each weight to pure gold: grams x (karat / 24). A 40 g 18K piece equals 40 x 0.75 = 30 g of pure gold.
3. Multiply the total pure grams by today's gold price per gram to get the market value.
4. Add that value to your other zakatable assets, subtract deductible debts, and compare with the nisab.
5. If you are above the nisab, pay 2.5% of the net total.
Worked example
You own 100 g of 22K jewellery. Pure gold = 100 x (22/24) = 91.67 g. At a gold price of 70 per gram, the value is 6,417.
The gold nisab at the same price is 85 x 70 = 5,950. Your wealth is above it, so zakat is due.
Zakat = 6,417 x 2.5% = 160.4 payable at your annual zakat date.
Which gold price should you use?
Use the market price on your zakat due date, not the price you paid. Resale (scrap) value is the reference for jewellery, since making charges and retail margins are not part of the metal's worth.
The calculator fetches live gold and silver quotes automatically and stores the price used for each year so past calculations stay reproducible.
Karat purity table
Multiply the weight of each item by its purity to get the pure gold content.
| 24K | 100% (1.000) |
|---|---|
| 22K | 91.7% (0.917) |
| 21K | 87.5% (0.875) |
| 18K | 75.0% (0.750) |
| 14K | 58.3% (0.583) |
| 9K | 37.5% (0.375) |
Frequently asked questions about zakat on gold
Nisab and the 2.5% rate
How much zakat do I pay on gold?
2.5% of the market value of your gold on your annual zakat date, provided your net zakatable wealth reaches the nisab.
How many grams of gold is nisab?
85 grams of pure gold. In silver terms the threshold is 595 grams.
Do I compare only my gold to the nisab?
No. Add gold to your cash, savings, investments and trade goods, subtract short-term debts, then compare that net total with the nisab.
Do I pay zakat on gold every year?
Yes, every lunar year that your wealth stays at or above the nisab. Gold held long term is assessed again at each annual date.
What if I am just below the nisab?
No zakat is due for that year, but recheck at your next date. Voluntary charity (sadaqah) remains encouraged.
Gold nisab vs silver nisab
Should I use the gold or the silver nisab?
Both are valid. The silver nisab is much lower in money terms, so zakat becomes due sooner and more recipients benefit; many contemporary scholars recommend it. The gold nisab is the classical choice for those whose wealth is mostly gold.
Why do the two thresholds give different results?
The gold-to-silver price ratio today is far wider than in the prophetic era, so 85 g of gold is worth several times 595 g of silver. Your basis therefore changes whether you cross the threshold.
Can I switch basis from one year to the next?
You can, but keeping one basis makes your history comparable. The calculator records the basis used for each year so past figures stay traceable.
I own both gold and silver — how do I combine them?
Value both at market, add them to your other assets and compare the single net total against your chosen nisab. You do not run two separate calculations.
Weights, prices and rounding
How do I convert karats to pure gold?
Multiply the weight by karat / 24. For example 60 g of 21K equals 60 x 0.875 = 52.5 g of pure gold.
Should I round the weight or the zakat amount?
Keep weights and prices exact and round only the final payment, always upward. Rounding up a few units is a safeguard; rounding down risks paying less than due.
Which gold price applies — buying, retail or scrap?
The resale value of the metal on your due date. Making charges, branding and retail margins are not part of the gold's zakatable worth.
Do I deduct stones and settings?
Yes. Diamonds, gemstones and non-gold components are excluded unless they are held as trade stock. Weigh only the gold content.
Edge cases
Is there zakat on gold ETFs or digital gold?
Yes, if the holding is backed by allocated physical gold you can claim, its market value is zakatable at 2.5%.
What about gold I bought on instalments or with a loan?
The gold is zakatable at market value; deduct only the instalments currently due, not the whole outstanding loan.
Is gold held for my daughter's wedding zakatable?
Yes. Gold set aside for a future purpose is still owned wealth and is assessed each year until it is given away.
What about gold-plated or gold-coloured items?
Plating and imitation gold carry negligible metal content and are not zakatable. Only the actual gold content counts.
I bought gold mid-year — when is it zakatable?
It joins your existing zakat pool and is assessed at your usual annual date; you do not start a separate lunar year for each purchase.
Can I pay zakat in gold instead of money?
Yes, you may give 2.5% of the gold itself, but most people pay the cash equivalent because it is easier for recipients to use.
Enter your gold weight and value in the calculator to get your zakat amount instantly.