The obligatory annual charity (one of the Five Pillars of Islam), distributed as cash to eligible recipients.
Zakat is one of the Five Pillars of Islam and is obligatory for every Muslim whose total wealth exceeds the Nisab threshold for one full lunar year. The word "Zakat" comes from the Arabic root meaning "purification" and "growth" — paying Zakat purifies your wealth and causes it to grow through Allah's blessing.
How Much Is Zakat?
Zakat is calculated at 2.5% of total qualifying wealth held for one complete lunar year. Qualifying wealth includes:
- Cash savings (in bank accounts, at home, or in digital wallets)
- Gold and silver (including jewellery, according to the Hanafi school)
- Business stock and inventory
- Investment properties (rental income)
- Shares and investment portfolios
- Pensions (the accessible portion)
You subtract any outstanding debts from your total assets. If the remainder exceeds the Nisab, you pay 2.5% of the total.
The Eight Categories of Zakat Recipients
The Quran (9:60) specifies exactly who may receive Zakat:
- Al-Fuqara — The poor (those without sufficient means)
- Al-Masakin — The needy (those in difficulty)
- Al-Amilina Alayha — Zakat administrators
- Al-Mu'allafati Qulubuhum — Those whose hearts are to be reconciled
- Fir-Riqab — Those in bondage (freeing slaves/captives)
- Al-Gharimin — Those in debt
- Fi Sabilillah — In the cause of Allah
- Ibn as-Sabil — The wayfarer (stranded traveller)
Why Cash Distribution?
Our Zakat Distribution (Cash) project delivers Zakat as direct cash to verified eligible recipients. Cash distribution empowers recipients to spend on their most urgent needs — whether food, medicine, rent, or education — rather than receiving predetermined goods. Each distribution is documented with photographic evidence through our Hand2Hand delivery model.
When to Pay Zakat
Many Muslims choose to pay Zakat during Ramadan to benefit from the multiplied rewards of charity during this blessed month. However, Zakat can be paid at any time of year as long as it is calculated on wealth held for one full lunar year.
Put This Into Practice
Fulfil your Zakat obligation through verified cash distribution to eligible recipients.
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