What is Zakat?

Zakat is a form of alms-giving treated in Islam as a religious obligation or tax, which, by Quranic ranking, is the next pillar after prayer in importance. As one of the Five Pillars of Islam, zakat is a religious obligation for all Muslims who meet the necessary criteria of wealth.

Zakat is usually given annually by a Muslim who meets the criteria’s of giving Zakat. Muslims believe the best time to give Zakat is in Ramadan due to the huge blessing Ramadan has and the extra reward received by doing it in the month.

How is Zakat calculated?

Calculate the nisab. Nisab is the threshold or cut-off amount. If your personal wealth, or what you own, is more than the nisab, you owe zakat. If your personal wealth is below the nisab, you don’t owe zakat. You use either the current market price of gold or silver to calculate nisab.

 

 

Example:

If your net worth is £4000, you’ll give £100 for zakat. (£4,000 X .025 = £100)

(£4,000 X .025 = £100)

However, give more if you’re financially able. As the more you give the more pleased Allah will be with you.

 

What categories fall under Zakat?

1

The poor (Faqir): Those without any means of livelihood and material possessions.

2

The needy (Miskeen): Those without enough means of livelihood to meet their basic necessities.

 

3

The sympathizers (Muallaf- at-Quloobuhum): Those whose hearts are inclined towards or have accepted Islam.

 

4

To free slaves (Riqab): Zakat can also be used to free slaves or captives.

 

5

Those who are stranded during a journey (Ibnus Sabil): Zakat can also be used to help a traveller facing difficulties in continuing his journey due to reasons such as loss of money or the breakdown of his vehicles, the repair of which he cannot afford.

 

6

For the cause of God (Fisabillillah): Zakat can be used to finance any form of struggle or work for the love of God. The following examples fall under this category, e.g. Dawah; building & developing society’s infrastructure; defending Muslims, who are being oppressed, and sponsoring a student’s educational expenses.

 

7

The administrators of Zakat (Amil): Those appointed to manage and administer zakat. This category is sub-divided into the following categories: Group of people who go out to the society and determine those who fall Fuqara and Miskeen categories, Those who collect the Zakat money, The accountant of the Zakat money. The administrator, manager, clerical worker or secretary who puts the files in order, Those who handle Zakat distributions, The auditor who audits overall Zakat management and administration.

 

8

Those who are in debt (Gharimin): Zakat can be used to pay off the debts of a person who has borrowed to pay for basic necessities so that he/she can lead a normal life. Zakat can also be distributed to those in financial difficulties e.g. bankruptcy due to the loss of employment and heavy debt.

 

What is Sadaqa?

Sadaqah describes a voluntary charitable act towards another being, whether through generosity, love, compassion or faith. These acts are not always physical or monetary; simple things like a good deed, a helping hand, a smile, guiding others towards the right path and preventing evil are all seen as acts of Sadaqah in the eyes of Allah.

 

What is Sadaqa Jariya?

Sadaqah Jariya describes charitable acts that are both voluntary and ongoing, to benefits others for today and for the future, too. These acts hold more benefit for the recipients, and, as such, can benefit the donor, too. When you provide a family with the seeds and tools to support their own vegetables to not only feed them but also provide an income, this is known as Sadaqah Jariyah.

Examples:

build or participate in building a mosque, building or donating to build an orphanage, raising full, or part sponsoring an orphan, teach someone to recite the Quran, all of these will result you in receiving lots of Hasnat after your death.

 

What is Fidiya?

Where a person is unable to fast due to their ill

health, a payment is given in exchange. Fidya is £5 per day for each individual.

Changes in daily amount?

Fidiya changes depending on where it is spent, for example if someone was to give Fidiya in Africa it will be more less compared to the UK where it is

around £5. Also, Fidiya can change during time of recession where prices on everything rise which would make it harder for the person to pay their Fidiya so during this time Fidiya can be paid in less.

Example:

So, for the month of Ramadan, the total cost would be £150
(£5 X 30 days of fasting)

What is Kaffarah?

If you deliberately miss a fast in Ramadan or break a fast without a legitimate reason, then you are obliged to make up for this by way of Kaffarah,
to fast for 60 continuous days per fast missed or broken.

If due to illness, old age or infirmity you are unable to fast for 60 consecutive days, then you may give a monetary amount as Kaffarah. For each fast missed or broken, you are obliged to pay the equivalent of 2 meals for 60 people.