Islam has 5 pillars that are Shahadah (Declaration of Faith), Salah (prayers), Zakat (Charity), Fasting, and Hajj (Holy Pilgrimage ). Zakat is the third pillar of Islam. It is an annual charity that every financially eligible Muslim must do. As a percentage of one’s wealth, zakat is distributed to the poor, needy, debtors, travelers, and those involved in spreading Islam. The practice of Zakat aims to purify one’s wealth and serve as a means of social welfare, fostering economic equality and compassion within the Muslim community.

WHO IS ELIGIBLE TO PAY ZAKAT?

Zakat can be paid by every Muslim who is financially able. Any Muslim with savings or wealth of more than a particular level called “ Nisaab” is eligible to pay Zakat. This comprises, among other things, cash, gold, silver, and company profits.

So if you have wealth and savings exceeding the level of Nissab then you are obliged to pay Zakat. If you don’t pay Zakat then it will be considered as a big sin and you will be held accountable for this on the day of Judgement. 

The Holy Prophet (PBUH) described the punishment of those who don’t pay Zakat as:

 “Whoever is made wealthy by Allah and does not pay the Zakat of his wealth, then on the Day of Resurrection his wealth will be made like a bald poisonous male snake with two black spots over the eyes. The snake will encircle his neck and bite his cheeks and say, ‘I am your wealth, I am your treasure.’ (Sahih Bukhari Book 24)

 

HOW TO CALCULATE ZAKAT?

Zakat is the 2.5% money of the total savings you possess. In simple terms, it can be explained that if you have possessions worth Rs 5,00,000 then Zakat will be 12,500 which is exactly 2.5% of the total savings. 

Below is the detailed instructions on how to calculate the Zakat correctly:

• Firstly you have to determine your assets and savings eligible for paying Zakat. This includes gold, silver, shares, money in your bank account, etc. One thing that must be kept in mind is that any asset that you have had for more than a year is eligible for Zakat 
• Add up the values of all your assets and savings.
• If you are in debt or have to pay a loan, deduct the amount of your payable from the total amount. You can only pay Zakat after deducting the debt amount.
• After deducting the debt amount, check if the remaining amount is equal to or greater than the Nissab amount. The minimum amount required for Zakat to be obligatory is Nisaab. If your remaining amount is less than the Nisaab amount, then you cannot pay Zakat.
• However, if your remaining amount is greater or equal to Nissab then you will pay 2.5 percent of the total amount as your Zakat.
• After doing so, pay the Zakat amounts to charitable organizations, the needy, and the poor of society. 

Paying your annual Zakat according to Islamic principles will be done this way.

WHO IS ELIGIBLE TO RECEIVE ZAKAT?

You cannot give Zakat to any person. Some categories in Islam are eligible for Zakat only which are :

 

• The Poor: Those who are extremely poor and are unable to meet their daily needs and requirements are eligible for Zakat money. 
• The Needy: This includes those people who have some source of income but are still unable to fulfill their needs. 
• Zakat organizations: Authentic and credible organizations that send Zakat to deserving people. Zakat money can be paid to such organizations.
• New Muslims or Converts: You can give Zakat money to help new converts to Islam and bring them closer to the faith.
• Slaves or Captives: Zakat can be given to slaves or captives so that they can free themselves.
• People in Debt: People who are in debt and are unable to repay are also eligible for getting Zakat.
• People in the cause of ALLAH: This category includes those individuals who are involved in spreading Islam, helping the Muslim community, or supporting Islamic causes.

ZAKAT IN QURAN AND HADITH

Zakat is an important element of Islam. This can be understood that the term Zakat has been used in the Holy Quran many times. The Holy Prophet (PBUH) has also explained the importance of Zakat to his followers at many events. Below are some verses and Hadiths which indicate the significance of Zakat

“Take, [O, Muhammad], from their wealth a charity by which you purify them and cause them to increase, and invoke [ Allah‘s blessings] upon them. Indeed, your invocations are reassurance for them. And Allah is Hearing and Knowing.”

(9:103, Qur’an)

“And establish prayer and give zakah, and whatever good you put forward for yourselves – you will find it with Allah. Indeed, Allah of what you do, is Seeing.”(2:110)

“Indeed, your effort is diverse. As for he who gives and fears Allah. And believes in the best [reward]. We will ease him toward ease.”(73:20)

 

• “The best charity is to pay Zakat on one’s wealth” (Sahih Muslim)

• “Zakat is a right that the poor have upon the rich” (Sahih Bukhari)

“Giving Zakat is more beloved to Allah than giving in charity during the entire year” (Sahih Bukhari)

BENEFITS OF PAYING ZAKAT

Zakat has a tremendous amount of benefits for its payers. It is not only a source of attaining blessings and rewards from ALLAH (SWT) but it also helps in developing a sense of gratitude.

Here are some of the benefits of paying Zakat 

 

• Zakat purifies wealth
• It ensures the flow of wealth and minimizes inflation.
• It develops a bond between the rich and the poor
• Zakat helps the needy people of society fulfill their needs and desires.
• It is a source of achieving Divine pleasure
• Zakat helps increase the ranks of the payers on the  day of judgment. 

FINAL WORDS

To sum up, Zakat is the fundamental principle of Islam which develops a sense of compassion, solidarity, and social justice. With the help of Zakat Muslims fulfil their duty of helping the needy people of the society.

 

FAQs

Q1. Can Zakat be given to the parents?

A1. Children can’t give zakat to their parents and similarly, parents can’t give zakat to children.

Q2. Can Zakat be given to siblings

A2. Yes, Zakat can be given to siblings if they fall in the category of Zakat receivers.

Q3. Can Zakat be given to relatives 

A3. Zakat can be given to relatives except parents children, husbands, and wives.

Q4. Can Zakat be given to Syeds?

A4. No, Syeds are not eligible for getting Zakat according to Islamic principles