Zakat

Zakat is donating a portion of your Wealth to those in need. 

“True Piety is this: To believe in God and the Last Day, the Angels, the Book and the Prophets,

 - To give Charity out of one’s cherished Wealth, to Relatives and orphans, the needy, the traveler, beggars, and to ransom the Slave, to perform the Prayer, to Pay the Zakat.” [Quran-2:177]

- Zakat is 3rd Pillar of Islam. 

- The word Zakat appears in the Holy Quran a total of 32 times. 

MEANING & PURPOSE OF ZAKAT

The literal meaning of Zakat is 'To Cleanse' or 'Purification'. In the Islamic Faith, Zakat means Purifying your wealth for the will of Allah; to acknowledge that everything we Own belongs to Allah and to work towards the betterment of the Muslim Ummah.

- According to Islamic regulations, Zakat is 2.5% of 1 Year’s total Cumulative Wealth.

Prophet Muhammad (Peace be upon Him) said: “Whoever pays the Zakat on his wealth will have its Evil removed from him” [at-Tabarani]

ZAKAT AS A MEANS OF SPIRITUAL PURIFICATION

Zakat is not only a means to Purify one’s Wealth but it is also a Spiritual Purification which serves as a means to draw an individual closer to the Creator [Allah (swt)].

- Ibn Taymiah said that, "The Soul of one who gives Zakat is Blessed and so is his Wealth".

'In their Wealth there is a Known Share for the Beggars and the Destitute' [Quran-70:24-25]

- Zakat provides a connection between the Giver and the Recipient. The entire concept of donating a fraction of one’s wealth to the poor is a highly honourable act; which comes with blessings, allowing the giver to free themselves from the Love of Possessions and Greed.

WHO SHOULD PAY ZAKAT?

Zakat is one of the 5 Pillars of Islam. As such, it is compulsory on Muslims, provided they meet certain conditions and criteria.

- Any Muslim who possesses the Required Nisaab (the minimum amount of Wealth that one must have before Zakat is payable) for one whole year is bound to pay Zakat on that wealth.

NISAAB:

- Gold: The Nisaab by the Gold standard is 87.48 grams of Gold or its equivalent in Cash. You can calculate this by multiplying the number of grams by the current market value of Gold.

- Silver: The Nisaab by the silver standard is 612.36 grams of Silver or its equivalent in Cash. You can calculate this by multiplying the number of grams by the current market value of Silver.

- A lot of people choose Ramadan as the month in which they pay their Zakat. Ramadan is the month of blessings and the rewards for all good deeds is far greater in this blessed month.

RECIPIENTS OF ZAKAT

1) (Al-Fuqara) - The Poor

2) (Al-Masakin) - The Needy

3) (Al-Amiliyn) - The Zakat Collectors

4) (Al-Muallafatu Qulubuhum) - Recent converts to Islam

5) (Fir-Riqab) - To free from Slavery

6) (Al-Gharimin) - Debtors

7) (Fi Sabilillah) - Cause of Allah

8) (Ibnu Al-Sabil) - Traveller

“Alms are for the poor and the needy, and those employed to administer the (funds); for those whose hearts have been (recently) reconciled (to Truth); for those in bondage and in debt; in the cause of Allah; and for the wayfarer: (thus is it) ordained by Allah, and Allah is full of knowledge and wisdom.” [Quran-9:60]

Note: Zakat should not be given to one's own parents, grandparents, children, grandchildren, spouses or the descendants of the Prophet Muhammad.

ZAKAT CANNOT BE USED FOR

- Building Mosques

- To bury the deceased

- To clear the debt of the deceased

ZAKAT IS ON ITEMS

- Jewellery and Precious Metal (Gold & Silver) - Both come under Zakat even if they are used merely for decorative purposes. The reason behind it is simple; they contribute towards Cumulative Wealth and as such their worth must be tabulated (according to Current day) when calculating Zakat.

- Bank Accounts (Cash, Bonds, Stock) - The amount should be in the bank for 1 year.

- Cattle and Crops - Cattle and crops that are in excess of one’s need.

‘Take Alms from their Property that You may Purify and Sanctify them and Pray for them. Verily Your Prayers are a Comfort for them’ [Quran-9:103]

Note: Zakat is usually payable on Assets Continuously Owned over 1 Lunar Year that are in excess of the Nisaab.

- Nisaab on Capital asset (Gold, Silver, Cash, Stocks, Bonds etc.,) = 2.5%

- Nisaab on Agricultural goods & Livestock = between 2.5% and 20%, depending on the type of Goods.

IDEOLOGY BEHIND ZAKAT

- Lending a helping hand to those who need it:

The above sentence perfectly outlines the ideology behind Zakat in a nutshell. Zakat is one of the 5 pillars of Islam and is an act ordained by Allah (swt).

- However, by following Allah’s commandments and showing obedience to His will, Muslims also enjoy the benefits of Zakat in the process.

- The benefits are both for the giver and those brothers and sisters around the world who receive the Zakat.

The concept of Zakat dates back over a 1400 years, back to the time of the Prophet Muhammad (Peace be upon him). It just goes to show how important looking after the Muslim community was back then; a prospect that is infinitely more important today.

- With millions of Muslims today donating 2.5% of their net yearly savings towards Zakat and charity, the Muslim Ummah continues to provide and care for those who are unable to support themselves and their families.

OUTCOME OF ZAKAT

- By sharing out wealth with the poor, society as a whole prospers. Those who have savings are able to share a portion of their wealth with the poor, thus giving them the opportunity to fulfil their basic needs and prosper.

- Paying Zakat is also about spiritual blessing. Zakat is purification of the soul and of an individual’s wealth.

- Through Zakat, Muslims help other Muslims like a single body or family, as Zakat donations go towards the betterment of Muslim Ummah.

ZAKAT FACTS

The concept of Zakat entails donating a portion of your Wealth to those in need. In a very basic sense, it is essentially one Muslim looking out for another.

- Zakat is 3rd Pillar of Islam.

The literal meaning of Zakat is Purification. Here, to give Zakat implies purifying your wealth and soul by giving a portion of your wealth to those in need.

- The word Zakat appears in the Holy Quran a total of 32 times.

Allah (swt) has made Zakat compulsory on all able Muslims instructing them to perform Salat and pay Zakat many times in the Holy Quran.

- People who are in debt but cannot pay it back are eligible for taking Zakat.

_“And establish regular prayers and give regular charity; and loan to God a beautiful loan. And whatever good you send forth for your souls, you shall find it in God's presence, better and greater in reward and seek the grace of God: for God is most forgiving, Most Merciful.”_

- Being a fundamental pillar of Islam, Zakat is compulsory on every sane Muslim adult man or woman whose net yearly savings meet or exceed the Nisaab values.

- Zakat amounts to 2.5% of all net Savings. This includes cash in hand, bank savings, bonds, and other objects (gold, silver etc.,) of monetary value.

- Items for personal use are exempt from Zakat. This includes house, cars, clothing etc.,

- The Zakat amount can be broken down into different quantities and be given to multiple charities.

- Paying Zakat is also a means of creating a spiritual connection with Allah (swt) which is absolutely integral and important to being a good Muslim.

- It also provides Muslims with the opportunity to get involved in the community and play their part for its betterment and well-being. 

https://sites.google.com/site/activeislamicinfo/zakat