Zakah

Zakah is one of the five pillars of Islam, a duty upon every Muslim and the right of the poor and needy. Allah (swt) and His Messenger (saws) inform us that giving zakah not only fulfils this duty and helps those in need, but also purifies one's wealth so that it may continue to grow -- indeed, this is the Arabic meaning of the word 'zakah.'

One of the many benefits of zakah is that it helps provide a form of social justice: a way to redistribute wealth from the better off to those who are less fortunate. For this reason those that are eligible to receive zakah are precisely stipulated unlike the case of general sadaqah.

Almost all of Muslim Hands' work with the poor and needy, including orphans, widows and the disabled involves working directly with those zakah is intended to help.

Paying your zakah through Muslim Hands not only allows you to fulfil your obligations and rest assured your money is being given to those in need and in accordance with Islamic law but also allows you to support our work with some of the planet's poorest people.

How to Donate Your Zakah

You can give your zakah online, specifying zakah as the type of your donation. For all projects and funds listed on the website you have the option, whenever applicable, to specify your donation is zakah. You can also give your zakah over the phone or by cheque as you would any other donation to Muslim Hands.

Spread the Cost: Give Zakah Regularly
Did you know you can spread your zakah payments over the year? Many of our donors find it more convenient and easier to pay their zakah in monthly instalments. Doing so is simple: simply calculate your zakah payments, divide this by 12 and set up a regular gift, specifying zakah as the type of donation.

Remember that you can pay your zakah in monthly installments for the year ahead and not in arrears.

Calculating Your Zakah

Zakah is payable at a rate of 2.5% on most types of wealth, subject to two basic conditions: (i) the value of one's wealth exceeds the nisab (minimum value for zakah to be payable) and (ii) the wealth has been in one's possession for at least a year.

The nisab -- the minimum value of wealth one must hold for zakah to become applicable -- is defined as 87.5g of pure gold or its equivalent value in money and applies not only to gold but to all types of wealth on which zakah is payable. At current gold prices the value of the nisab is 3.516,70 €.

Some of the types of wealth on which zakah is due are: (i) gold and silver, (ii) cash held at home or in bank accounts, (iii) stocks and shares, (iv) money lent to others and (v) business stock in trade.

Zakah is paid on wealth net of certain liabilities such as money owed to others, but excludes long term debt that is paid in instalments, such as repayments on a house.

Once calculated zakah must be paid to one of the stipulated causes eligible for zakah, such as the truly poor and needy.

For more questions related to zakah please see the Frequently Asked Questions or contact us for further assistance in calculating your zakah.

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