What Is Zakat?
Zakat is one of the Five Pillars of Islam — an obligatory annual charitable payment of 2.5% on the net wealth of every eligible adult Muslim, due once that wealth has remained above a minimum threshold (the nisab) for one full lunar year (hawl). Zakat is calculated on accumulated wealth, not income — meaning it applies to savings, gold, silver, business assets, and investments you hold, rather than what you earn in a month.
What Counts as Zakatable Wealth?
Zakatable assets typically include cash on hand and in bank accounts, gold and silver (including jewelry, depending on which school of thought you follow), stocks and investment holdings, and business inventory or trade goods. Assets used for daily living — your primary home, personal vehicle, clothing, and household items — are not zakatable.
The Nisab Threshold
You only owe Zakat if your net zakatable wealth equals or exceeds the nisab. There are two recognized standards: the gold nisab (87.48 grams of gold) and the silver nisab (612.36 grams of silver). Because the silver standard is a lower monetary threshold, more people qualify under it — most scholars recommend using the silver nisab as the more cautious, inclusive standard, though some prefer the gold standard. This calculator lets you choose either.
How Debts Are Treated
Short-term debts and bills due within the next 12 months can generally be deducted from your zakatable assets before calculating what you owe. Long-term debts like a multi-year mortgage are typically only partially deductible (the portion due soon), and interest itself is never deductible since riba is not part of a legitimate financial obligation in this context.
Zakat Calculation in Pakistan
In Pakistan, Zakat works a little differently for bank savings: under the Zakat and Ushr Ordinance 1980, banks automatically deduct 2.5% Zakat from eligible savings, PLS, and similar accounts on the first day of Ramadan each year — this is separate from any Zakat you calculate and pay yourself on gold, business assets, or investments, which this calculator covers in full. If you don't want the automatic bank deduction (for example, because you've already calculated and paid your own Zakat, or you follow a different fiqh on bank deductions), you can submit a Zakat exemption affidavit (CZ-50 declaration) at your bank before Sha'ban ends. For the gold and silver rates used in this calculator, the Karachi Sarafa Bazaar / All Pakistan Sarafa Jewellers Association publishes daily rates that most Pakistani users reference, and you can enter them directly in PKR using the currency selector at the top of the page.
An Important Note
This calculator provides a general estimate based on commonly accepted Zakat principles. Different schools of thought (madhabs) have specific variations — particularly around jewelry and debt deductions — so for significant or complex wealth, it's always best to confirm your calculation with a qualified Islamic scholar or trusted local Zakat institution. This tool does not collect or process any donation; it is purely a calculation aid.