What is zakat?
Zakat is one of the five pillars of Islam: an annual payment of 2.5% of qualifying wealth, given to those entitled to receive it, such as the poor and people in debt. It becomes due when a Muslim's zakatable wealth stays at or above a minimum threshold, the nisab, for one full lunar year (the hawl). Many people calculate their zakat on a fixed date each year, often in Ramadan.
Zakatable wealth generally includes cash, bank balances, gold, silver, business stock held for sale, money owed to you that you expect to receive, and investments. Personal items such as your home, car, furniture and clothes are not included.
How to use the zakat calculator
- Enter your cash and bank balances on your zakat date.
- Enter the weight of gold and silver you own, in tola or grams, and today's market price per tola.
- Add business stock at its sale value, money owed to you, and investments.
- Enter debts and bills due now, which are deducted.
- Choose whether the nisab is based on silver or gold, then read the zakat due.
How zakat is calculated
Zakatable wealth = Total zakatable assets − Debts due now
Zakat = Zakatable wealth × 2.5% (if wealth ≥ nisab)
The nisab is the value of 7.5 tola (87.48 g) of gold or 52.5 tola (612.36 g) of silver at current prices. Because silver is much cheaper, the silver nisab is far lower, so more people pay zakat under it; many scholars recommend it as more beneficial for those who receive zakat. Others use the gold nisab, especially when savings are held mainly in gold. Follow the guidance of a scholar you trust.
Gold and silver prices change every day, so the prices in the form are only a starting point. Replace them with the rates quoted by your local jeweller or bullion market on your zakat date.
Example
In Pakistani rupees: suppose you have Rs 50,000 in cash, Rs 400,000 in the bank and 2 tola of gold worth Rs 450,000 per tola, and you owe Rs 50,000 on bills due this month. Your assets are Rs 1,350,000; after debts, your zakatable wealth is Rs 1,300,000. This is well above the silver nisab, so zakat is 2.5% × Rs 1,300,000 = Rs 32,500.
In Pakistan, banks deduct zakat automatically from some savings accounts on the first day of Ramadan unless you have filed a declaration of exemption. If zakat has been deducted at source, subtract it from the amount you still need to pay.
More worked examples
In US dollars: $12,000 in savings plus 50 g of gold at $120 a gram ($6,000), minus $1,000 of bills due, leaves $17,000 of zakatable wealth. That is above the silver nisab (612.36 g × $1.40 ≈ $857), so zakat is 2.5% × $17,000 = $425.
Common mistakes to avoid
- Using an old gold or silver price. Metal prices change daily; update both prices on your zakat date.
- Deducting a whole long-term loan. Most scholars allow only the payments due now, not the full mortgage balance.
- Counting personal items. Your home, car and everyday belongings are not zakatable. To plan ahead for next year, use the savings goal calculator.
Sources and methodology
The calculations on this page follow these published standards and references. The code is covered by automated tests against known values.