Do I have to pay Zakāah?

In the Name of Allah, the Most Gracious, the Most Merciful.

As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

In principle, discharging zakāh is compulsory on a sane and mature Muslim when his wealth exceeds the niṣāb amount, over and above his basic needs, and after fulfilling his short-term debts, provided one maintains this amount of wealth for one lunar year, without it depleting to $0. If one's wealth ultimately diminishes at any point (to $0.), a new cycle will begin once he reaches niṣāb again. If the total of the remainder of the wealth exceeds the niṣāb rate after the deduction of short-term debts, it will be farḍ on the individual to pay zakāh.

Accordingly, if your wealth exceeds the niṣāb amount, over and above your basic needs, after subtracting your short-term debts, you will have to discharge 2.5% of this wealth as zakāh.

And Allah Ta’āla Knows Best

Abrar Habib

Student - Darul Iftaa

New York City, New York, USA

Checked and Approved by,

Mufti Ebrahim Desai.