Zakat is one of the Five Pillars of Islam and a compulsory form of charity for Muslims who meet the Nisab threshold. It requires giving 2.5% of accumulated wealth (such as cash, gold, business assets, or investments) annually to the eligible poor and needy.
Its importance lies in purifying wealth, reducing inequality, and strengthening social bonds. The Qur’an (9:103) commands: “Take from their wealth a charity by which you purify them and cause them to increase.”

Zakat is calculated at 2.5% of all eligible wealth that has been held for one lunar year and exceeds the Nisab. Eligible wealth includes cash, savings, gold, silver, business assets, investments, agricultural produce, and trade property.
The simplest way is to use an online zakat calculator like ours, which automatically checks Nisab and gives you the exact payable amount in your preferred currency.

The Nisab is the minimum threshold of wealth before Zakat becomes obligatory. It is based on the value of 87.48 grams of gold or 612.36 grams of silver.
As market prices change daily, Nisab in PKR, USD, GBP, and EUR may differ. Many scholars recommend using the silver Nisab because it benefits more people in need.
Example (approx. 2025): If silver price is $1 per gram, Nisab ≈ $612.

• Salary: Zakat is not due on monthly salary itself, but if the money is saved and remains in your possession for one lunar year above Nisab, it becomes zakatable.

• Savings: All bank savings, cash, and investments are zakatable if above Nisab.

• Property: Zakat is due only on trade properties or rental income (not your personal residence).

Items eligible for Zakat include:

• Cash, savings, and bank deposits

• Gold and silver (jewelry or bullion)

• Business goods, trade stock, and merchandise

• Investments (shares, stocks, mutual funds, crypto)

• Agricultural produce (subject to Ushr/Zakat)

• Livestock (camels, cows, goats, sheep)

• Property held for resale or rental income

Items not eligible: your personal house, car, furniture, clothing, and daily essentials.