Definition of Zakat Mal, Its Requirements, and How to Calculate It Properly

Zakat Mal is an obligatory form of zakat for Muslims who possess wealth that has reached a specific amount, known as nisab. This type of zakat follows specific calculation rules based on Islamic law.

As one of the pillars of Islam, zakat plays a crucial role in maintaining social and economic balance within society. However, many Muslims are more familiar with Zakat Fitrah than Zakat Mal.

In reality, Zakat Mal is also a mandatory obligation for those whose wealth meets certain conditions. To gain a deeper understanding, here is a complete explanation of its definition, legal rulings, requirements, and calculation methods.

Definition and Legal Ruling of Zakat Mal

The word "mal" comes from Arabic, meaning wealth or assets. Literally, Zakat Mal refers to zakat imposed on wealth owned by individuals or businesses. In Islam, various types of wealth are subject to zakat, including gold, silver, cash, agricultural produce, livestock, and trade assets.

The primary purpose of Zakat Mal is to purify wealth and assist those in need, ensuring economic balance within society. Allah SWT has made zakat obligatory in the Qur'an and Hadith, emphasizing that a portion of one's wealth must be given to those eligible to receive it.

Fulfilling Zakat Mal is not only a religious duty but also a form of social responsibility. It helps reduce economic inequality and strengthen the bond among Muslims. By paying zakat, a Muslim expresses gratitude for the blessings and sustenance granted by Allah SWT.

Also Read: Zakat Fitrah – Definition and Payment Guidelines

Requirements for Zakat Mal

After understanding the definition of Zakat Mal, it is essential to know the conditions that must be met to ensure that the zakat paid is valid and in accordance with Islamic law. Below are the main requirements for Zakat Mal:

1. Full Ownership

The wealth subject to zakat must be fully owned by an individual or business entity. This means the wealth should not be in dispute, borrowed, or under the management of another party that restricts its use.

2. Growth Potential

The wealth subject to zakat must have the potential to grow or increase in value. Examples include trade assets, investments, and savings that continue to appreciate over time.

3. Reaching Nisab (Minimum Threshold)

Nisab refers to the minimum amount of wealth that qualifies for zakat. For Zakat Mal, the nisab is typically equivalent to 85 grams of gold over the course of one year. If the wealth does not reach this threshold, zakat is not obligatory.

4. Exceeding Basic Needs

Zakat is only required on wealth that exceeds the basic needs of the owner and their family. Basic needs include food, housing, and education for the owner and their dependents.

5. Free from Debt

If a person has an outstanding debt that must be repaid immediately, the amount of debt can be deducted from their total wealth when calculating zakat. However, if the remaining wealth still meets the nisab, zakat remains obligatory.

6. One-Year Ownership (Haul)

The wealth must have been in the owner's possession for a full lunar year (Hijri calendar) to be eligible for zakat. However, certain types of wealth, such as agricultural produce and livestock, have different haul requirements and must be zakated immediately upon reaching the specified amount.

Also Read: Facing Business Cash Flow Issues During Eid? Solve It with Same-Day Settlement and 0% MDR Features on the Labamu App!

How to Calculate Zakat Mal

To ensure that zakat is paid in accordance with Islamic guidelines, follow these steps to correctly calculate Zakat Mal:

1. Calculate Total Wealth

Determine the total value of all assets you own, including cash, savings, gold, silver, trade assets, and investments. Any wealth that has the potential to grow must be included in the calculation.

2. Deduct Debts and Basic Needs

After determining the total wealth, subtract any immediate debts that must be repaid and essential daily expenses (such as food, housing, and basic living costs). The remaining amount serves as the basis for zakat calculation.

3. Ensure the Wealth Meets Nisab

Compare the remaining wealth with the nisab, which is equivalent to 85 grams of gold over a one-year period. If the wealth meets or exceeds this threshold, zakat becomes obligatory.

4. Calculate Zakat

If the wealth has reached the nisab and has been owned for a full lunar year, then zakat must be paid at a rate of 2.5% of the remaining wealth after deducting debts and essential needs.

By following these steps, you can ensure that your Zakat Mal is accurately calculated and properly fulfilled.

If a person has a total wealth of Rp100,000,000 after deducting debts and essential needs, the zakat to be paid is:

2.5% × Rp100,000,000 = Rp2,500,000

Understanding Zakat Mal, its rules, and the correct calculation method is essential for every Muslim, especially those whose wealth has reached nisab. By paying Zakat Mal, a person not only fulfills a religious obligation but also contributes to social and economic balance within the community.

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