Tag: How to calculate Zakat

Zakat Nisab 2024 in Pakistan

The Zakat Nisab 2024 in Pakistan (minimum amount to pay zakat) for the year 2024/1445 hijri is Rs. 135,179 which is fixed by State Bank of Pakistan and if you have more cash or assets than this amount, then you can calculate your Zakat and pay.

Zakat On Gold

Zakat is applicable if your annual saving is equal to or more than 7.5 tolas of gold or 52.5 tolas of silver. The benchmark or index is set with the lowest price compared to the price of the commodity, which is silver. The rate of Zakat is determined on the average annual value of the precious metal.

Mandi Bahauddin Ramadan Calendar 2024

How to calculate Zakat

To calculate Zakat you have to add the financial value of all liable assets. Only those assets that have been in your possession for at least one year should be included for Zakat. Dues are also calculated and deducted from the total and 2.5% of the final amount is given.

Example:

For example, you have 100 grams of gold, 5 lakhs in cash, lend someone PKR 1 lakh, and owe someone else PKR 50,000. You will calculate Zakat as follows:

• 1 gram of 22 carat gold = Rs.  9,869.51/
• 100 grams of 22 carat gold = Rs. 9,869,510/
• Cash = Rs. 500,000/
• Loans to others = Rs. 100,000/
• Total Assets = Rs. 10,469,510/
• Zakat = Total Assets – Liabilities
• 10,469,510 – 50,000 (the loan amount you owe) = 10,419,510
• 10,419,510 is the monetary value of the total asset that you have. Now the Zakat due is 2.5% of this amount and it will be 260,487.75 rupees.

Who is eligible for zakat

Individuals who own 3 ounces or 85.04 grams of gold or more are eligible to pay Zakat. Only assets that have been in your possession for at least one lunar year should be calculated for Zakat.

Zakat Deduction Date 2024

According to the rules, zakat is deducted from customers’ savings bank accounts, profit and loss sharing accounts and other similar account on 1st Ramadan every year. Current accounts in banks are exempt from this deduction.