Nisab of wealth zakat is the lowest measure or limit set by shar’i, as a guideline to determine whether or not a person is obliged to pay zakat based on the assets owned. Zakat on wealth itself has the purpose of purifying wealth. Every asset that we earn, there are rights of people in need in it. This right is cleaned through zakat. So that the wealth we enjoy becomes more blessed and does not bring danger.
About Zakat on Wealth that Purifies Wealth
Zakat can clean and purify our wealth from the rights of people in need as mentioned by Allah SWT in his words, namely:
“Take zakat from some of their wealth, with which you cleanse and purify them.” (QS. at-Taubah [9]: 103)
The reason why we are obliged to clean the treasure, because some of the wealth we have there are the rights of people in need, namely eight asnaf. These rights are what we are obliged to spend to help them, because if we do not spend some of the wealth then Allah SWT will be angry as in his words:
“And those who store up gold and silver and do not spend it in the cause of Allah, then tell them that they will receive a painful punishment” (QS. at-Taubah [9]: 34).
In this verse it is clear that Allah will inflict a painful punishment on those who do not spend some of their wealth in the cause of Allah.
Read also: How to Calculate Zakat on Gold, Terms, and Nisab
Nisab Zakat on Assets, Terms, and Conditions
It is important for us to understand the calculation of the nisab of wealth zakat or mal zakat, so that we can know whether or not it is obligatory to pay zakat, as well as how much wealth we have to zakat. But before that, let’s first understand what property zakat is.
Zakat on wealth or commonly called zakat mal, is zakat that we must pay on all types of assets that we have and have reached haul. Whether from gold and silver savings, money savings from salaries, proceeds from stocks, agricultural products, rental assets, and so on, which are then added together. If the amount of wealth has reached the nisab of wealth zakat, then it is obligatory for us to pay zakat.
Nisab of Zakat on Assets
The nisab of wealth zakat is equivalent to 85 grams of gold. The amount of zakat that must be issued is 2.5% of the total wealth or assets that we have for one year. The calculation method is:
Zakat Mal = 2.5% X Total assets stored for 1 year.
Read also: Zakat Fitrah 2024, Calculation and Complete Guide
Terms and Conditions
In addition to the nisab, here are some of the terms and conditions that we must fulfill before distributing mal zakat, namely:
- Requirements for someone who is obliged to pay zakat
1. Muslim or Muslim religion
2. Independent (not a slave)
3. Does not have to be an adult, meaning that if a child has assets that meet the requirements of assets that must be zakaah then he can pay his zakat, including crazy people.
2. The conditions of wealth that must be paid zakat
- The asset is fully owned and halal (not mixed with other people’s assets).
- An asset that is growing (its value is constantly moving such as leasing assets, stocks or bonds, etc.).
- Excess of wealth over basic needs.
- Assets that have reached haul (have been kept for one hijri year).
- Assets that have reached their nisab.
Read also: Zakat Fitrah 2024, Calculation and Complete Guide
Types of Assets that Must be Zakaahed and Their Nisab
There are several types of assets that we are obliged to pay zakat on if they meet the respective terms and conditions, namely:
1. Nisab of zakaah on gold and silver
If we have gold or silver deposits that have reached the haul and nisab, then it is obligatory for us to pay zakat at a rate of 2.5%. The nisab of gold zakat is 85 grams while the nisab of silver zakat is 595 grams.
2. Agricultural products
This type of zakat is zakat in the form of agricultural products such as grains (rice, wheat, corn, etc.), fruits, and edible ones. We must pay this zakat during the harvest season and the nisab is 652.8 kg.
There are two types of agricultural zakaah and each has its own rate of zakaah that must be paid. The first is agriculture whose growth process is irrigated with rainwater, so the rate of zakat that must be issued when the harvest comes is 10%. The second type is farming that is irrigated with equipment and human labor, so the rate of zakat that must be paid is 5%.
3. Livestock products
This type of zakat is in the form of livestock that are grazed in pastures or public grazing. As for animals that are raised in cages, they are included in commercial zakat. There are several types of animals and their respective nisab and zakat rates if they have reached haul (1 year), namely:
- Camels, the nisab is 5 heads and the zakaah rate is 1 year-old goat. Every time the number of camels increases by five, one year-old goat is also added.
- Cattle and buffaloes, the nisab is 30 heads and the rate of zakat is 1 calf aged 1 year, if you have 40 heads, you must pay zakat on 1 calf aged 2 years.
- Goats/Sheep, the nisab is 40-120 heads and the zakaah rate is 1 year old goat. 121-200 heads, the zakaah is 2 goats, and for every additional 100 heads, the zakaah is increased by 1 goat of one year of age.
4. Proceeds of trade
This type of zakat is paid on the proceeds of business conducted during one year. The nisab is equivalent to 85 grams of gold and the rate of zakat that must be paid is 2.5%.
Read also: Which Person is Obliged to Pay Income Zakat?
5. Salary/income
Zakat on this income is zakat that is paid on the total income earned during one year. If it has exceeded the nisab, which is equivalent to 85 grams of gold, then it is obligatory to give zakat at 2.5% of the total salary earned for one year.
6. Investment returns and asset leasing
Zakat that comes from investment and leasing of assets in the form of sale and purchase of shares, leasing of vehicles, land, buildings, and other assets. The rate of zakat is the same as agricultural zakat, which is 5-10% of the total net income for one year.
7. Savings or deposits
Savings and deposits are other than gold and silver, such as money or deposits. The nisab is equivalent to 85 grams of gold and the zakat rate is 2.5%.
8. Nisab of zakaah on found property or mined goods
This zakaah is derived from mining products from the earth, whether in the form of oil, precious metals, minerals, and so on that have a selling price. This zakat does not have a nisab and haul, so every time you get mining products you are immediately obliged to pay 20% zakat.
Read also: Must Know! How to Calculate Zakat Fitrah and Zakat Maal
Purify the Treasure with Zakat at Dompet Dhuafa
Living in blessings is certainly happier than being abundant in wealth, but the wealth is not blessed. Maybe in the process of obtaining wealth, there are hearts that are accidentally hurt, there are also processes whose laws are makruh without realizing it. Zakat is a way to purify wealth, by giving rights to mustahik from some of the wealth we have. Dompet Dhuafa has various community development programs in various fields and aspects, which aim to improve the standard of living of the mustahik. Purify your wealth by giving zakat at Dompet Dhuafa, click the following link.
