ZAKAT of GOLD, SILVER & MONEY

The categories of Zakat Gold & Silver

  1. Metal or precious stones and Currency
  2. Deposit as: Savings, deposits, checks or other securities

 

The terms of Zakat Gold & Silver

  • It had reached nishab
  • It passed a year
  • Free of debt that causes less then nishab
  • Surplus of the needs

– If the jewelry is considered as savings or investment, it shall be issued zakat 2.5% provided nishab and haul.

– The jewelry which is not allowed to wear and made of gold & silver must be issued as zakat.

– If jewelry is being worn and within reasonable limits, is not subject to zakat, if it’s excessive, it includes to the first category.

– The determination of the nishab is equivalent to 85 grams of gold nishab.

Nishab and the Rate of Zakat Gold, Silver & Money

  • Nishab of Gold is 20 dinar, 1 dinar = 4,25 grams, so the nishab of gold is  20 X 4,25 grams = 85 grams.
  • Nishab of silver is 200 dirham, 1 dirham = 2,975 grams, so the nishab of silver is 200 X 2,975 grams = 595 grams.
  • The kinds of treasure that is saved and can be categorized as treasures in gold and silver, such as cash, savings, checks, stocks, bonds or other forms, has nishab and zakat is the same as the terms of gold and silver. This means that if someone has an assortment of forms of wealth and accumulation amount is greater than or equal to nishab (85 grams gold) then he has been exposed to the obligation of zakat (2.5%).