1. What is Zakat?

Zakat is one of the Five Pillars of Islam, an obligatory form of almsgiving for Muslims who meet the necessary criteria of wealth. It's a fixed percentage (2.5%) of a Muslim's savings and wealth that is paid annually to benefit those in need.

2. How is Zakat Calculated in UAE?

The standard Zakat calculation in UAE follows:

Where:

• Total Wealth — Includes cash, gold, silver, investments, business merchandise, and other assets
• Nisab Threshold — The minimum amount that makes Zakat obligatory (typically 20,000 AED or value of 85g gold)
• 2.5% — Fixed Zakat rate on wealth above the Nisab threshold

3. Importance of Zakat Calculation

Details: Accurate Zakat calculation ensures Muslims fulfill their religious obligation correctly, purify their wealth, and support those in need according to Islamic principles.

4. Using the Calculator

Tips: Enter your total wealth in AED and the Nisab threshold (default is 20,000 AED). The calculator will determine if you owe Zakat and how much.

5. Frequently Asked Questions (FAQ)

Q1: What is the current Nisab value in UAE?
A: The Nisab is typically 20,000 AED or the value of 85 grams of gold (whichever is higher at calculation time).

Q2: What assets should be included in total wealth?
A: Include cash, savings, gold, silver, investments, business inventory, and other liquid assets after deducting immediate debts.

Q3: When is Zakat due?
A: Zakat becomes due after one lunar year (Hawl) passes on the wealth that reaches the Nisab threshold.

Q4: Are there different rates for different assets?
A: The standard rate is 2.5% for most assets. Agricultural products and livestock have different rates.

Q5: Who is eligible to receive Zakat?
A: Zakat can be given to the poor, needy, those in debt, travelers, and other categories mentioned in the Quran (Surah At-Tawbah 9:60).