What Is Zakat?
Zakat (زکوٰۃ) is the third of Islam's Five Pillars — an annual obligatory charity paid by eligible Muslims on their accumulated wealth. It is 2.5% of total Zakatable assets held above the Nisab threshold for one complete lunar year (Hawl). Zakat purifies wealth and redistributes it to those in need, serving as a cornerstone of Islamic social welfare.
Nisab Threshold 2025
| Nisab Standard | Quantity | Approx. Value (PKR) |
|---|---|---|
| Gold Nisab | 87.48 grams | ~PKR 1,50,000–2,00,000 |
| Silver Nisab | 612.36 grams | ~PKR 60,000–80,000 |
Most scholars recommend using the silver Nisab as it is lower, ensuring more people fulfill their Zakat obligation. Always confirm the current Nisab with your local scholar or Islamic authority.
What Assets Are Zakatable?
- ✅ Cash & bank savings (above daily needs)
- ✅ Gold & silver (jewelry intended for investment, not daily wear — scholars differ on jewelry)
- ✅ Business inventory (goods held for sale)
- ✅ Shares & investments (market value of liquid investments)
- ✅ Rental income saved after expenses
- ❌ Personal home, car, clothing (exempt — for personal use)
- ❌ Receivable debts (scholars differ — include only what you expect to receive)
How to Distribute Zakat
Quran (9:60) specifies 8 categories eligible for Zakat: the poor (Fuqara), the needy (Masakeen), Zakat administrators, new Muslims, freeing captives, debtors, in the cause of Allah (fi sabilillah), and stranded travelers (Ibn us-Sabil).