What Is the Zakat Calculator?
Zakat is one of the five pillars of Islam — an annual obligatory charity payable by Muslims whose wealth exceeds a minimum threshold called the Nisab. This calculator works out how much Zakat you owe by totalling your zakatable assets, subtracting your immediate debts, comparing the result to the Nisab, and applying the standard rate of 2.5% (one fortieth) on a full lunar year's wealth.
How to Use It
Enter the current market value of your cash and bank balances, gold and silver, investments and business assets, and any money owed to you. Then enter the debts or liabilities you must pay, and the Nisab threshold in your currency (commonly based on the value of 87.48g of gold or 612.36g of silver). The calculator instantly shows your total assets, net assets, and the Zakat due.
The Formula Explained
First we compute net assets: (Cash + Gold + Investments + Receivables) − Liabilities. If your net assets are at or above the Nisab, Zakat is due on the full net amount at 2.5%. If they fall below the Nisab, no Zakat is owed. Note that the 2.5% is levied on the whole net amount once Nisab is reached, not only on the portion above it.
$$\begin{gathered} \text{Zakat} = 0.025 \times N \quad \text{if } N \geq \text{Nisab}, \text{ else } 0 \\[1.5em] \text{where}\quad \left\{ \begin{aligned} N &= \text{Cash} + \text{Gold} + \text{Investments} + \text{Receivables} - \text{Liabilities} \end{aligned} \right. \end{gathered}$$
Worked Example
Suppose you have £5,000 cash, £2,000 in gold, £3,000 in investments and £1,000 owed to you — total £11,000. You owe £1,500 in debts, leaving net assets of £9,500. If the Nisab is £5,000, then \(9{,}500 \geq 5{,}000\), so $$\text{Zakat} = 9{,}500 \times 0.025 = \textbf{£237.50}$$
FAQ
What is the Zakat rate? The standard rate on monetary wealth is 2.5% per lunar (Hijri) year.
What is Nisab? The minimum amount of wealth a Muslim must hold before Zakat becomes obligatory, traditionally valued by gold (87.48g) or silver (612.36g). Check a current rate in your currency.
Does Zakat apply to all my assets? Generally to cash, gold, silver, trade goods, investments and receivables held for a full lunar year. Personal items like your home, car and everyday belongings are usually exempt — consult a qualified scholar for your situation.
