How to Calculate Zakat with your gold
Zakat is one of the pillars of Islam – a foundation of our faith, offering us a guiding principle on how to live our life. Zakat is not just an obligation about giving charity to those in need, but it is a right that the poor have upon us, and that we are accountable for.
In the holy Qur’an, Allah (swt) tells us:
“Those in whose wealth there is a recognised right for the needy and the poor” (70:24-25).
It is important to calculate Zakat each year so we know exactly how much is expected of us to pay to those in need, and so we are able to reap the benefits and reward in this life and the next, insha’Allah.
Prophet Muhammad (saw) said:
The believer’s shade on the Day of Resurrection will be his charity.” (Al-Tirmidhi)
When it comes toeach year, it is important to take into account the gold you own, as it is considered an item of value and investment, rather than wealth used in everyday life. If you own gold, and your wealth exceeds that of the Nisab, Zakat must be paid on 2.5% of the current value of your gold.
Gold Zakat Calculator UK
At Al Mustafa Welfare Trust, we have our very own Zakat Calculator, which makes the process of you understanding your Zakat, infinitely simpler! You simply need to input the values of the wealth you own through cash or gold, and money you have borrowed. We will automatically calculate how much Zakat you need to pay on gold, making things much easier for you!
Steps to Calculate Zakat on Gold
You must pay Zakat at the rate of 2.5% of the value of the gold that you own. A single gram of gold costs£47.32 in 2024, which means that, on 1g of gold, £1.18 Zakat must be paid.
Follow these steps to calculate how much Zakat you must pay on the gold you own:
- Weigh any gold you own. You can use simple kitchen scales to find out the exact weight.
- Calculate the value of 2.5% of the gold you own, by using the value of £1.18 Zakat for each gram of gold. For example, if you own 50 grams of gold jewellery or bars, the Zakat you need to pay you would calculate 50 grams x £1.18, which equals £59.00.
- However, as our UK Zakat Calculator also works as a gold zakat calculator, you do not need to do the above calculation yourself. You can simply put in the current value of the gold you own, and our calculator will figure out the rest.
It is important to remember that there is no Zakat due on other precious metals such as platinum. Diamonds and gemstones such as rubies, emeralds or pearls are also exempt from Zakat obligations.
Once you have put all your information into our Zakat calculator, you will learn exactly how much Zakat you need to pay this year. Our calculator will also show you some of the great things you can achieve with your Zakat.
For decades, donors from all over the world have been trusting Al Mustafa Welfare Trust with their Zakat, and together we have made some huge transformations to some of the world’s most vulnerable communities. Your Zakat has the power to save lives, to feed the hungry, to support those fleeing war or dealing with conflict or disaster, and to help people break out of cycles of poverty.
Donate your Zakat now and help transform communities for the better.
You can provide nutritious food, clean water, healthcare, education, employment opportunities, care for children and orphans, shelter, protection during disaster, and so much more.
