Zakat is one of the 5 pillars in Islam. It is an obligatory act of worship that involves giving a portion of one’s wealth to those in need and eligible to receive zakat. It serves as a means of purifying one’s wealth and helping to reduce poverty in society.
Muslims are also encouraged to give voluntary charity, known as Sadaqah. Sadaqah is different from Zakat as it is not obligatory and can be given at to anyone.
There are two types of Zakat. Zakat Al-Mal which is what is commonly what is being referred to when discussing zakat. Zakat Al-Fitr. Which is paid during Ramadan prior to the Eid prayer. This post will focus on Zakat Al-Mal which can be more complicated than Zakat Al-Fitr.
WHO MUST PAY ZAKAT
Every Muslim who has reached the age of puberty and possesses the Nisab, which is the minimum amount of wealth to meet ones needs at the time Zakat is due, is required to pay Zakat. The Nisab, calculated in gold, is $5,529 as of April 23.
The rate of Zakat is 2.5% of one’s eligible wealth, which includes cash, savings, stock and other halal investment, equity in investment or business properties, appraised value of goods to be sold, accounts receivables for payments owed to you, gold, silver, and other income generating assets that have been held for at least one lunar year. This means that if you have eligible wealth that exceeds the Nisab, you are required to pay 2.5% of that wealth as Zakat. To calculate your Zakat, you can use our online Zakat calculator or speak to one of our knowledgeable volunteers.
When is Zakat due?
Zakat is due on the wealth of a Muslim individual after they have reached the nisab (minimum threshold) and have held that wealth for a full lunar year. Ramadan is a popular time for Muslims to pay their Zakat, as it is a month of increased blessings and rewards.
Who is eligible to receive Zakat?
Those eligible to receive Zakat include the following
- The poor: Those who do not have enough wealth to meet their basic needs.
- The needy: Those who have some wealth but still struggle to meet their basic needs.
- Zakat collectors: Those, such as Mosque Praise Allah, who are authorized to collect Zakat and distribute it to those in need.
- Those in debt: Individuals who have debt and are unable to pay it off.
- Those who are stranded: Travelers who have become stranded and are unable to return home.
- Those who are slaves: Individuals who are trying to buy their freedom or who have been set free but still require financial assistance.
- Those who are in the way of Allah: Those who are involved in Islamic projects, such as building mosques or Islamic schools.
- Those who are converts: New Muslims who require financial assistance.
Muslims can, and often do, provide sadaqhah/charity to non-Muslims, however, it is not permissible to give Zakat to non-Muslims. Additionally, Zakat should not be given to immediate family members, as it is the responsibility of the family to support one another.
How do I pay my Zakat through Mosque Praise Allah?
We have made it easy for our community members to pay their Zakat through our masjid.
- Click on the “Donate” button.
- Select “Zakat” from the drop-down menu.
- Enter the amount you wish to pay and complete the payment process.
Alternatively, you can also drop off your Zakat donation at our masjid during regular operating hours.
We assure you that all Zakat donations collected by Mosque Praise Allah will be distributed to those in need according to Islamic guidelines.
May Allah (SWT) accept our Zakat and reward us for our generosity.