Your Zakat Will Make Them Happier
they are worse off than the poor and needy
Nisab
Nisab is the minimum amount of wealth a Muslim must possess before they are eligible to pay Zakat.
Gold and silver are the two values used to calculate Nisab. It is the value of 87.48 grams of gold or 612.36 grams of silver.
Nisab Value
Silver (612.36 grams) – approximately £361.29 (correct as of 08/03/21)
Gold (87.48 grams) – approximately £3,432.72 (correct as of 08/03/21)
The Nisab was set by the holy Prophet Muhammad (ﷺ) at a rate equal to 87.48 g of gold and 612.36g of silver.
Since silver and gold is no longer used as currency, we must use the equivalent monetary value of the rates set out by the holy Prophet Muhammad (ﷺ) in our local currency. We do this by checking the market rate for gold and silver.
In the Hanafi Madhab, the value of silver is used to work out the nisab value and eligibility to pay Zakat. In the remaining Madhahib the value of Gold is used.
We always advise donors to use the silver value because this allows for a larger amount to be eligible for Zakat, meaning we can help a greater number of needy individuals around the world.
In discussions surrounding Zakat, you may hear the term ‘hawl’ – which means one lunar year (354 days)
Zakat payment are due one hawl (lunar year) after you become eligible. However, only if your wealth on that date is still above the nisab threshold.
Nisab FAQs
Can I combine mine and partner’s wealth and pay Zakat for the both of us?
Zakat is an individual duty, so you must compare the Nisab with your own wealth and then his/her wealth separately to see if either of you owe Zakat. If you do owe Zakat, you can pay both amounts if you wish, as long as your partner consents.
If I only own Gold but have no wealth, must I pay Zakat?
As a general rule Global Rahmah Foundation uses silver to calculate the Nisab. However, if you only have gold and do not have any savings or other forms of wealth, you will need to use gold to calculate the Nisab.
If I have mixed assets of gold, silver and cash, do I have to pay Zakat?
If these amounts make up more than the value of the Nisab (currently 612.36 grams of silver), and you have also met all other requirements then you will need to pay zakat on this.
Why does Global Rahmah Foundation recommend the Nisab of silver over that of gold?
By using the silver value to calculate Nisab, more people are likely to be eligible to pay, which in turn means more money will be benefiting the neediest.
£50 - Where Most Needed