The minimum threshold (nisab), the lunar year (hawl) and the rate of 2.5%, with the difference between the gold and silver measures.
AI-generated English narration.
Three ideas decide whether zakat is due and how much: the nisab (threshold), the hawl (year) and the rate.
Nisab
Abu Sa‘id al-Khudri reported that the Prophet ﷺ said there is no zakat on less than five awaq of silver (Sahih al-Bukhari 1447). Five awaq are 200 dirhams. Abu Bakr’s letter about zakat, reported by Anas, says the same for silver: if it is less than two hundred dirhams, zakat is not required (Sahih al-Bukhari 1454). Scholars converted the 200 dirhams of silver and the 20 dinars of gold to modern weights: commonly about 595 grams of silver and about 85 grams of gold.
The rate
The letter of Abu Bakr states that for silver the zakat is one-fortieth, that is, 2.5% (Sahih al-Bukhari 1454). This is the rate on cash, gold, silver and trade goods.
Hawl
Zakat is due once the wealth has been held above the nisab for one lunar year. Choose a fixed date each year to review your wealth, for example a date in Ramadan, and calculate on that day.
A worked example
If, on your zakat date, your zakatable wealth is 10,000 (in your own currency) and this is above the nisab, your zakat is 10,000 × 0.025 = 250. To find the nisab in your currency, multiply the grams (595 for silver or 85 for gold) by the current price per gram.
Key points
- Nisab is the minimum amount of wealth on which zakat becomes due: about 85 grams of gold or 595 grams of silver.
- Hawl is one lunar year: zakat is due on wealth that has stayed at or above the nisab for a full year.
- The rate on money and trade goods is 2.5%, or one-fortieth.
- Scholars differ on whether to measure cash by the gold or the silver nisab, and on small differences in the classical weights.
Scholarly notes
Gold or silver: because silver is much cheaper, the silver nisab is lower. Many contemporary scholars and zakat bodies advise the silver measure for cash, since it benefits more of the poor and is the safer course; others use the gold measure. Follow the guidance of your local scholars. Exact weights: some classical sources give slightly different figures, for example about 87.48 g of gold and 612.36 g of silver in the Hanafi school. The year: the Hanafi school requires the nisab to be present at the start and the end of the year, while other schools are stricter about it staying above the nisab throughout. Debts: whether and how debts are deducted differs by school and by type of wealth.
FAQ
What if my wealth goes below the nisab during the year?
The schools differ. In the Hanafi school what matters is the start and end of the year; in others it must remain at or above the nisab throughout. Ask your local teacher.
Is there a tool to estimate my zakat?
The Worship page has a simple zakat estimate for money and trade goods. Confirm the result with a scholar if your situation is complex.
Report a correction. HikmahBridge is an educational resource, not a replacement for a qualified scholar or teacher.