Millions of Muslims fulfill the pillar of Zakat every year. You might be a student, a professional, or a business owner. Paying your Zakat is a sacred duty that goes beyond simple worship. It purifies your earnings and provides a lifeline to those in need. This act of faith helps build stronger communities and supports the vulnerable.
Our ulama-approved Zakat guide will answer any questions that you may have about the charitable obligation, which makes up one of the five pillars of Islam. In essence, you will develop an understanding on what is Zakat, how to donate Zakat and the timeframe it is due.
Your Impact Foundation offers a reliable way to manage your donations online. By using our Zakat Calculator, you can ensure to count your Zakat perfectly and if you want you can donate them too to ensure that they are in the right hand to reach to right people.
Zakat stands as one of the five pillars of Islam. It is a mandatory duty for every adult Muslim of sound mind. This obligation sits alongside prayer, fasting, the pilgrimage, and the declaration of faith. You must pay Zakat if your total wealth meets a specific threshold called the nisab. The standard rate is 2.5 percent of your qualifying assets.
This payment is due once every lunar year. The timing starts as soon as your wealth reaches the nisab level. Once a full Islamic year passes, you calculate and distribute your share. This money serves those who qualify for help under Quranic law. It provides a safety net for the poor and the hungry.
Giving Zakat serves a deep spiritual purpose beyond just moving money. It purifies your earnings by removing any doubtful or unintentional gains. This act cleanses your soul from selfishness and connects you to your faith. Allah designed this system to strengthen the bonds between people. It creates a community where every person looks out for their neighbor.
Zakat acts as a powerful tool against poverty and lack of work. It provides direct financial support to those who struggle the most. This ethical redistribution of wealth ensures that money does not just sit in bank accounts. Instead, it reaches vulnerable groups like orphans and widows. By participating, you help establish a society built on security and mutual care.
The Prophet Muhammad (peace be upon him) taught that charity brings blessings and wards off calamities. Paying your share is a way to seek the pleasure of Allah and earn a lasting reward.
Your Impact Foundation uses these funds to build long-term support systems for the needy. You can transform your wealth into a source of hope for someone else today.
Zakat is a compulsory duty that you must fulfill once a year if you meet the financial criteria. Sadaqah is entirely voluntary. While Zakat is an obligation, Sadaqah is a way to earn extra blessings and draw closer to Allah through spontaneous acts of charity
Zakat has a fixed rate of 2.5 percent and specific rules on who can receive it. Think of it as a debt you owe to the poor. Neglecting this duty means missing a core pillar of your faith.
For Sadaqah, there is no minimum threshold or timing required for Sadaqah. It is an act of extra kindness that reflects your personal generosity.
Both forms of giving are vital for a healthy community. Zakat provides a stable foundation for social support, while Sadaqah addresses immediate and varied needs.
Your Impact Foundation accepts both Zakat and Sadaqah to fund their life-saving work. You can choose to fulfill your mandatory duty or give a voluntary gift to support families in crisis.
Zakat is a duty only when you meet certain requirements. These rules ensure that the obligation is fair and falls on those with the means to help others. You must verify these points before you calculate your payment.
The Hawl is the one-year period required for Zakat. You do not pay as soon as you receive money. Instead, you must hold wealth above the Nisab for one full lunar year. This twelve-month cycle confirms that your wealth is a surplus and not just temporary income.
The clock starts the day your wealth hits the Nisab. If your savings stay above that line for the whole year, Zakat becomes due on the anniversary. If your wealth falls below the threshold before the year ends, the count resets. This system protects people whose financial situation changes quickly.
Nisab is the minimum amount of wealth a Muslim must own before Zakat becomes a duty. If your total assets fall below this line, you are not required to pay.
This threshold ensures that charity is only taken from those who have a surplus beyond their basic needs. Once your wealth reaches this level and stays there for a lunar year, the obligation begins. It acts as a safeguard to protect those with limited means.
The Nisab is calculated using two different metals. You can use either the gold or the silver standard to determine your eligibility.
For gold, the threshold is 87.48 grams. For silver, it is 612.36 grams. Most scholars recommend using the silver standard in modern times. This lower threshold allows more people to contribute and helps a greater number of needy individuals.
In 2026, currency values change daily based on market prices. You should check the current value of these metals in your local currency before calculating.
For example, if gold is trading at £99.92 per gram, the Nisab would be roughly £8,740.
If you follow the silver standard at £1.23 per gram, the threshold is about £752. Your Impact Foundation provides up-to-date figures to help you stay accurate with your 2026 payments.
Not everyone is required to pay Zakat, and not all assets are counted. Certain groups of people and specific types of property are exempt from this duty to prevent financial hardship.
Gold and silver are among the most common assets subject to Zakat. You must count any gold or silver coins, bars, or investment pieces you own. A frequent question arises regarding jewelry worn for personal use.
The majority of scholars state that Zakat is due on all gold jewelry if it reaches the Nisab. Some opinions suggest that personal ornaments are exempt, but the safest approach is to include them. This ensures you fulfill your duty without doubt.
When calculating the value, use the current market price of the raw metal. Do not include the cost of craftsmanship or labor. If you own white gold, it is treated the same as yellow gold. Your Impact Foundation can guide you on how to value these items using 2026 market rates.
All cash you possess is zakatable. This includes money in your checking and savings accounts, physical cash at home, and funds in digital wallets. You should also include “rainy-day” funds and money set aside for future goals like a wedding or Hajj. Even if you do not plan to spend the money soon, it is considered productive wealth.
If you save a set amount every month, you can choose between two methods for your calculation. The simplest way is to look at your total balance on your Zakat anniversary and pay 2.5 percent on that final amount. Alternatively, you can track each deposit separately for its own lunar year, but this is much harder to manage. Most people prefer the first method for its clarity and ease.
Zakat is not due on your salary the moment you receive it. You only pay on the portion of your wages that you actually save. If you spend your entire paycheck on rent, food, and bills, that money is not zakatable. Only the money that remains in your possession until your Zakat anniversary is counted.
For example, if you earn £3,000 a month but only have £500 left at the end of the year, you only factor that £500 into your total assets. If you already have savings that meet the Nisab, any new savings from your salary are simply added to that total. This ensures you only pay on wealth that has truly accumulated over time.
If you own a business, you must pay Zakat on items intended for sale. This includes your current inventory and raw materials used for manufacturing. To calculate the value, use the current wholesale market price of your stock. Do not use the price you originally paid or the future retail price.
Tax rules can be confusing when calculating your Zakat. Generally, personal taxes like income tax or road tax are not exempt. You must pay Zakat on the money before those taxes are taken out.
However, if you have an overdue tax bill that you must pay immediately, that amount is considered a debt. You can deduct that specific debt from your total assets before applying the 2.5 percent rate.
Money you have specifically set aside to pay an upcoming tax bill is also deductible. This is because that money is already committed to a liability and is no longer part of your surplus wealth.
Zakat rates can vary depending on the type of wealth you own. While the standard rate is 2.5 percent, other assets follow different rules.
Your Impact Foundation ensures these specific categories are handled correctly. By donating your Zakat to a trusted UK charity, you help provide stability to those who lack even the most basic necessities.
Calculating your Zakat ensures you fulfill this pillar with precision. You can break the process down into four clear steps. This method helps you account for all your assets while deducting what you owe to others.
To understand how the math works, let us look at a simple scenario. Imagine you are calculating your Zakat in early 2026. You will first total your assets and then subtract your immediate bills.
List all the wealth you have held for the past lunar year.
Deduct the money you owe for the current month only.
Subtract your total liabilities from your total assets to find your final figure.
Since your net wealth of £16,793 is well above the 2026 Silver Nisab (approx. £752), Zakat is mandatory.
In this example, your total Zakat for the year is £419.83. This amount can provide a month of food and clean water for several families. Your Impact Foundation ensures that every penny of this reaches the eight categories of people mentioned in the Quran.
Seeing the numbers on paper helps you realize how a small percentage of your wealth can create a massive change in the world.
You can also put these numbers in our Zakat Calculator and let us do the math for you.
Determining who can receive Zakat is not a matter of personal choice. The Holy Quran explicitly defines the eligible groups to ensure the wealth reaches those who truly need it. Allah says:
“As-Sadaqat (Zakat) are only for the Fuqara’ (poor), and Al-Masakin (the needy) and those employed to collect (Zakat funds); and for to attract the hearts of those who have been inclined (towards Islam); and to free the captives; and for those in debt; and for Allah’s Cause; and for the wayfarer; a duty imposed by Allah. And Allah is All-Knowing, All-Wise.” (Surah at-Tawbah, 60)
Islamic law divides the recipients into eight specific groups. Understanding these categories helps you appreciate the social depth of this pillar.
Many donors prefer to help their own families first. This is permissible and even encouraged, as it combines the reward of charity with the reward of strengthening kinship. However, there are strict rules.
You cannot give Zakat to those you are already legally responsible for, such as your parents, grandparents, children, or grandchildren.
A husband cannot give Zakat to his wife because he is responsible for her maintenance. Interestingly, a wife is permitted to give Zakat to her husband if he is poor or in debt.
She must ensure that she does not benefit from the money herself, such as the husband using it to buy her a gift or pay for their shared household expenses.
Should you give Zakat in your local town or send it abroad? Traditionally, scholars emphasized supporting the needy in your own community first. However, in our modern world, the need in crisis zones like Gaza, Yemen, or Syria is often far greater than in the UK.
Most contemporary scholars agree that you should prioritize the areas of greatest urgency. Your Impact Foundation bridges this gap by identifying the most vulnerable communities worldwide to ensure your funds provide the maximum relief.
In the past, Zakat was often handed over in cash. Today, using online platforms and charities is perfectly permissible and highly efficient. Organizations like Your Impact Foundation act as your “Amil” (Zakat collectors). We have the expertise to verify recipients and deliver aid to dangerous or remote areas that you could not reach alone.
Paying electronically is fast, secure, and allows you to keep an accurate record of your worship. Your Impact Foundation ensures that your Zakat is distributed with full transparency, reaching the specific categories mentioned in the Quran. You can fulfill your duty from your phone and immediately start making a difference.
Zakat al-Fitr is a special charity given at the end of Ramadan. Its primary purpose is to purify the fasting person from any minor mistakes or indecent speech made during the holy month.
It also serves a communal purpose by ensuring the poor have enough food to celebrate Eid with dignity. Prophet Muhammad (peace be upon him) said it is “a food for the needy” (Abu Dawood).
In 2026, the recommended minimum amount for Zakat al-Fitr in the UK is £5 per person. This value is based on the price of one Sa’ (approximately 2.5kg to 3kg) of staple food like flour, rice, or dates.
The deadline is strict. You must pay it before the Eid al-Fitr prayer on Friday, 20 March 2026. Paying after the prayer means it is treated as regular charity and does not fulfill the specific obligation.
While both are obligatory, Zakat al-Fitr differs from Zakat al-Mal in several key ways. Every Muslim must pay Zakat al-Fitr regardless of age, including newborn babies and children. The head of the household is responsible for paying on behalf of all dependents.
| Feature | Zakat al-Mal | Zakat al-Fitr |
| Who pays? | Only those above the Nisab | Every Muslim with basic food |
| Amount | 2.5% of annual savings | Fixed (e.g., £5 per person) |
| Due Date | Once a lunar year passes | Before Eid prayer in Ramadan |
| Primary Goal | Purify wealth and support society | Purify the fast and feed the hungry |
Zakat al-Fitr is not based on your annual savings, but on your existence. Even if you do not reach the Nisab for Zakat al-Mal, you must pay Zakat al-Fitr if you have enough food for the day and night of Eid. Your Impact Foundation makes it easy to pay for your entire family online before the deadline.
Even with the best intentions, it is easy to make errors when calculating your Zakat. These mistakes can lead to underpaying your obligation or feeling unnecessary financial stress. By identifying these pitfalls early, you can ensure your worship is accurate and complete.
Many people only think of the cash in their main bank account. However, Zakat applies to all liquid wealth and productive assets.
One common mistake is overlooking foreign currency or digital savings held in apps. You must also include any money held in secondary accounts, such as an ISA or a child’s savings fund.
Investments are another area where assets are often missed. If you own shares, stocks, or a pension fund, these have a zakatable value.
For business owners, “dead stock” or slow-moving inventory must still be counted at its current wholesale value. Even a small amount of gold tucked away in a drawer must be weighed and added to your total.
A frequent error is subtracting too much debt from your total assets. While Islam allows you to deduct what you owe, this only applies to immediate liabilities.
You should only subtract the bills and loan installments due in the current month. Deducting the entire remaining balance of a long-term mortgage or a student loan is incorrect.
Doing so artificially lowers your wealth and might even drop you below the Nisab unfairly.
Many Muslims wait for a “convenient” time to pay rather than sticking to their specific lunar anniversary. This can lead to missed years or overlapping payments.
You must establish a fixed date on the Hijri calendar and stick to it every year. Using an online tool like the Your Impact Foundation calculator helps you stay consistent and avoid the guesswork.
Accurate calculation ensures that the poor receive exactly what Allah has decreed for them.
Zakat is a mandatory financial duty that purifies your wealth and builds social solidarity. Every Muslim pays 2.5 percent of their surplus assets annually. This act helps the poor and ensures that wealth circulates throughout the entire community fairly.
Zakat is obligatory for every Muslim who owns wealth meeting the Nisab threshold. You must have held this amount for one full lunar year. The wealth must be productive or have the potential to grow over that period.
The Nisab is the minimum threshold of wealth that makes Zakat mandatory. It is determined by the value of either 87.48 grams of gold or 612.36 grams of silver. You should check the current market rates for accuracy.
You pay Zakat on bank savings, gold, silver, shares, and business inventory. It also applies to money lent to others that you expect back. It is not due on your primary home, your car, or daily essentials.
Total your qualifying assets and subtract your immediate debts or monthly liabilities. If the remaining amount exceeds the Nisab, multiply that figure by 2.5 percent. Using a digital tool like the Your Impact Foundation calculator simplifies this whole process.
Zakat is not due on your wages the moment you receive them. It only applies to the portion of your salary that you save. This surplus must reach the Nisab and stay in your possession for one lunar year.
The majority of scholars state that you must pay Zakat on jewelry if it reaches the Nisab weight. While some exempt personal items, paying on all gold is the safer path. This ensures you fulfill your religious duty without doubt.
Add the wholesale value of your stock to your cash reserves and expected profits. Subtract any immediate trade-related debts you owe to suppliers. You then pay 2.5 percent on this net business total to satisfy the requirement.
Zakat goes to the eight categories defined in the Quran, including the poor, the needy, and those in debt. In modern times, this includes refugees, orphans, and families in crisis. Your Impact Foundation ensures your funds reach these specific groups.
Yes, you can give to poor relatives like siblings, uncles, or aunts. You cannot give to those you are legally responsible for, such as parents or children. Giving to eligible kin earns a double reward for charity and kinship.
Your Impact Foundation is a faith-driven international NGO based in the UK, committed to supporting individuals and communities affected by natural disasters, conflict, poverty, hunger, illness, homelessness, injustice, and lack of education or economic opportunity.
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