What is Zakat?
Offering zakat is a religious obligation for Muslims, and is the third of the five pillars of Islam (right after prayer). In Arabic, zakat means purification, growth and blessing. Paying zakat is meant to remind Muslims to be appreciative of the blessings that Allah (Subhana Wa Ta’ala) has bestowed upon them, and to help empower those who have less. It is mandatory when two conditions are simultaneously satisfied which are Nisab and the Due Date.
What is Nisab and its current value?
Zakat is payable on 2.5 percent of the wealth one holds above the “nisab”. Nisab is the exemption limit for the payment of Zakat. In other words, it is the amount which savings or capital or product must exceed in order for the Muslim owner to be obliged to give zakat ” Nisab, which is equal to the value of three ounces of pure gold, is the amount of wealth one must have before being liable to pay zakat. The $ USD equivalent changes daily depending on fluctuations in the gold exchange rate. There are many sources available to check the realtime amount. We recommend http://irusa.org/zakat/
Zakat is owed on gold, silver, cash, savings, investments, rental income, business merchandise and profits, shares, securities, and bonds.
When is Zakat due date?
Zakat is due after one Lunar (Hijri) year starting from either the first day you acquired the amount of Nisab or the day you paid Zakat last year. The month of Ramadan is considered to be the best time to pay Zakat.
We urge you dear brother/sister to calculate your Zakat now and to pay it as soon as possible