CLEAN YOUR WEALTH BY PAYING YOUR ZAKAH
The Zakat that you owe is calculated on: 2.5% of personal wealth and annual savings.
The alms are meant only for the poor and the needy and those who are in charge thereof, those whose hearts are to be reconciled, and to free those in bondage, and to help those burdened with debt, and for expenditure in the Way of Allah and for the wayfarer. This is an obligation from Allah. Allah is All-Knowing, All-Wise.” (Quran 9:60)
The assets that are eligible to be considered for Zakat are:
- Cash at home, in a bank or savings accounts.
- Funds saved for a special occasion or reason (such as hajj, a deposit on a property, or a wedding.)
- The value of any gold and silver in your possession.
- Any stocks and shares that you own.
- The total value of any income generated from renting out an owned property (such as a second home.)
- The value of any debt you have acquired that you expect to be returned (such as lending money to a friend/relative.)
What not to consider when calculating Zakat:
- Any payments due to be paid in the month you pay your Zakat.
- Money that you owe such as mortgage or rent payments, card debts and personal loans.
- Items such as household appliances and clothing.
- Business expenditures including bills, salaries, rents, and rates.
- Business loans and overdrafts.