How this number is made
The usual rate is 2.5% of wealth that has been held, above a threshold called nisab. This page adds the assets you count, subtracts the debts you count, and applies 2.5% only if the result is over the nisab you type. Which assets belong in the sum is a question for the school you follow, not for a formula.
- Value gold and silver at a price you could sell them for, not at what you paid.
- Set nisab to the threshold you use. One common standard is the value of 85 grams of gold. Another is 595 grams of silver. They are not the same amount of money.
- Leave out what your school leaves out. A home you live in is often excluded. Personal jewelry is disputed. Do not type them just because the field is empty.
Formula
Wealth counted = cash + gold and silver + trade assets + debts owed to you − debts you owe. If that is above nisab, zakat = wealth counted × 0.025. Otherwise zero.
Worked example
Cash $10,000, gold and silver worth $5,000, trade assets $8,000, and $2,000 of debts you owe is $21,000. Above a $4,000 nisab, 2.5% is $525. Change the nisab or the asset list and the result moves.
Questions
Is 2.5% always the rate?
It is the rate used for cash, gold, silver, and trade goods in the mainstream calculation. Agricultural produce and livestock use other rates this page does not apply.
Do I need a lunar year?
The obligation is generally tied to wealth held over a lunar year. This page does not count days. It only prices the 2.5% once you have decided the wealth qualifies.