Understanding Zakat on Gold
Zakat is one of the Five Pillars of Islam — a mandatory annual act of worship in which eligible wealth is purified by giving a fixed portion to those entitled to receive it. Gold and silver are among the most common assets Muslims need to calculate Zakat on, since they're widely held as jewelry and savings.
What Is Nisab?
Nisab is the minimum threshold of wealth a person must own before Zakat becomes obligatory. For gold, Nisab is defined as a fixed weight of gold — commonly cited as 87.48 grams (equivalent to 20 mithqal, or 7.5 tola). Because Nisab is a weight, not a fixed dollar figure, its value in your local currency changes daily along with the gold price. Some sources cite 85 grams instead, reflecting a slightly different historical conversion — the calculator above lets you enter whichever figure your local scholar or organization specifies.
What Is Hawl?
Hawl refers to one full lunar year (roughly 354 days, based on the Hijri calendar) during which your wealth must remain at or above the Nisab threshold continuously. If your total zakatable wealth drops below Nisab at any point during the year, the Hawl is interrupted — the clock doesn't pause, it resets, and only starts counting again once your wealth reaches Nisab again.
💡 The Formula
Pure Gold Equivalent = Gold Grams × (Karat ÷ 24)
Total Zakatable Value = (Pure Gold × Price/gram) + (Silver × Price/gram) + Cash/Other
If Total ≥ Nisab Value AND held 1 lunar year → Zakat = Total × 2.5%
Why Purity (Karat) Matters
Zakat is calculated on the pure gold content, not the total weight of an alloyed piece of jewelry. A 50g necklace in 22k gold (91.67% pure) contains 45.84g of pure gold-equivalent — that's the figure used against Nisab and for valuation, not the raw 50g. This calculator applies that adjustment automatically based on the karat you select.
Worked Example
Suppose you own 60 grams of 22k gold jewelry, no silver, and $200 in savings. At a gold price of $160/gram (24k basis):
- Pure gold equivalent: 60g × (22/24) = 55g
- Gold value: 55g × $160 = $8,800
- Total zakatable wealth: $8,800 + $200 = $9,000
- Nisab value (87.48g × $160): $13,997 — in this example, total wealth is below Nisab, so no Zakat is due this year.
If instead you owned 100g of 22k gold, the pure gold value alone (91.67g × $160 ≈ $14,667) would exceed Nisab, making Zakat due: $14,667 × 2.5% ≈ $367.
Frequently Asked Questions
Do I pay Zakat on gold I wear every day?
Scholars differ on this. Many in the Hanafi school hold that Zakat is due on all gold you own above the Nisab, including jewelry worn daily. Other scholars (notably some in the Shafi'i school) hold that gold used as permissible personal adornment, worn regularly and not held as savings, is exempt. Because this genuinely varies by school of thought, this calculator includes all gold you enter — use the Nisab and asset fields to match your own scholarly guidance, and consult a qualified scholar if you're unsure which view to follow.
Does the lunar year (Hawl) reset if my gold value drops below Nisab?
Yes. The Hawl (one full lunar year of continuous ownership above Nisab) is interrupted if your total zakatable wealth falls below the Nisab threshold at any point during the year. The count only restarts once your wealth reaches Nisab again — it doesn't simply pause and resume.
Why does the Nisab value in this calculator change day to day?
Nisab is defined as a fixed weight of gold (commonly 87.48 grams, equivalent to 20 mithqal or 7.5 tola), not a fixed dollar amount. As the market price of gold moves, the dollar value of that fixed weight moves with it — so the Nisab threshold in currency terms changes daily along with the gold price.
Why do some sources cite 85 grams instead of 87.48 grams for gold Nisab?
Both figures come from converting the same historical unit (20 mithqal, roughly the weight standard used in early Islamic jurisprudence) into modern grams, and different scholarly bodies and organizations have published slightly different conversions over time — 87.48g (7.5 tola) is the most commonly cited figure by major Islamic finance bodies, while 85g appears in some other references. The difference is small enough that it rarely changes whether you're above or below Nisab; this calculator lets you edit the Nisab value directly if your local scholar or organization specifies a different figure.
Ready to calculate your Zakat?
Scroll back up and enter your gold, silver, and other assets.