Zakat

A Pillar of Compassion

Zakat mandates the redistribution of a portion of accumulated surplus wealth to individuals experiencing financial hardship. As a foundational and beautiful pillar of the Islamic faith, it cultivates a spirit of compassion that benefits the recipient and provides spiritual enrichment for the giver.

For Muslims, Zakat is understood not just as a handling of personal property, but as a divine duty—a confirmed right belonging to the world’s most vulnerable. Fulfilling this essential act of devotion provides critical assistance to those in need, simultaneously ensuring the spiritual purification of one’s own wealth and serving as a means to draw closer to the Most Merciful Creator. This contribution acts as a potent catalyst for genuine, positive change.

And those in whose wealth there is a recognised right, for the needy and deprived.

Qur’an | Surah Al-Ma’arij | 70:24-5

What is Zakat in Islam?

Zakat is recognized as a vital pillar specifically, one of the Five Pillars of Islam, making this act of charity mandatory for all followers. A Muslim must give Zakat if they are a sane adult and their wealth has surpassed a minimum, defined threshold called the Nisab. The required payment is 2.5% of that qualifying wealth.

Eligible individuals must fulfill this obligation annually. The duty to pay Zakat is triggered after a full Islamic (lunar) year has passed since the wealth first reached or exceeded the Nisab. Following collection, every Muslim’s Zakat is directed to those groups and individuals defined in the Qur’an as rightful recipient

Our Zakat 100% Zakat Policy

At HRD, we are committed to our 100% Zakat Policy. This pledge ensures that every penny of your Zakat contribution is channelled directly to the most vulnerable recipients, 100% of the time. This gives you the peace of mind of receiving the full spiritual reward. Our primary objective is to guarantee that every pound of Zakat submitted by UK Muslims is distributed correctly, adhering fully to the principles set out in the Sunnah and the Holy Qur’an.

Zakat: Your Questions Answered

What is Zakat?

Zakat is recognized as one of the Five Pillars of Islam. It is a mandatory charitable obligation incumbent upon adult Muslims with sufficient wealth, serving to purify one's assets.

Who is eligible to receive Zakat funds?

The Qur'an specifies eight distinct categories of individuals who are rightful recipients of Zakat.

These categories are:

  • The Poor (Fuqara): Those whose assets, beyond basic necessities, fall below the Nisab threshold.
  • The Needy (Masakeen): Those in severe financial hardship.
  • The Administrators of Zakat (Al-Aamileen): Individuals appointed to collect and distribute Zakat.
  • Those whose Hearts have been recently reconciled (Al-Muallafatu Qulubuhum): New converts to Islam or friends of the Muslim community.
  • Those who are Enslaved (Ar-Riqaab): Funds used to free captives or slaves.
  • Those who are in Debt (Al-Ghaarimeen): Individuals burdened by overwhelming debt.
  • In the Cause of God (Fi Sabeelillah): Often interpreted as efforts to spread and defend Islam or other necessary charitable ventures.
  • Travellers (Ibnus-Sabeel): Includes stranded travelers or refugees who lack basic necessities.

Note: Zakat cannot be given to your immediate family members (spouse, children, parents, or grandparents). However, Zakat may be given to other relatives

Why should I entrust my Zakat donation to HRD?

By donating your Zakat to HRD, you can be assured that your contribution will be directed where the need is greatest, ensuring your compassion achieves maximum impact. We have established trust in delivering Zakat appropriately. All our current projects are Zakat-compliant, designed to be sustainable, and aim to provide long-term benefits to the community

How much wealth must I possess to qualify for Zakat?

You must pay Zakat if your eligible wealth meets or exceeds the Nisab (minimum threshold). The Nisab is a fluctuating value, traditionally determined by the price of gold or silver.

  • As of January 2026, Gold £8,849.10 This is equal to 87.48 grams at £101.16 per gram
  • Silver £858.51 This is equal to 612.36 grams at £1.40 per gram
On which possessions do I pay Zakat?

Your Nisab calculation should include various forms of assets, such as: gold and silver, jewelry, cash and savings, stocks and shares, cryptocurrency, money loaned to others (that is recoverable), business inventory, and eligible portions of pensions or property.

What is the Zakat payment rate?

In simple terms, you are required to pay 2.5 percent of your total qualifying wealth. To simplify this calculation, you can use our dedicated Zakat calculator, which provides an up-to-date Nisab value and helps determine your exact payment.

When is Zakat due for payment?

Once your Zakat-eligible wealth exceeds the Nisab threshold, and a full Islamic (lunar) year has passed since it first reached that level, Zakat becomes immediately due. It is then due annually thereafter, provided your wealth remains above the Nisab.

How much of my saving should I apply zakat to?

Zakat applies to any savings that you have held for a full year. Usually this means that you input the minimum that you have had in your account since you last calculated your Zakat one year ago. Include all your bank accounts, cryptocurrency, PayPal balance, and any money at home or in hand. Any interest you have received at the bank is haram and must not be included.

what does one do about missed zakat payments

If one has missed Zakat payments over the years, then one must make a calculated estimate of the Zakat missed for each year and discharge it accordingly. These payments are still binding on him even if many years have passed by and whether or not he knew they were obligatory

Do you have a zakat policy?

We have 100% zakat policy.  Our Zakat policy and projects are reviewed annually by a panel of four scholars.