Many of us have gold at home, whether jewelry or savings, but don’t realize that there is an obligatory Zakat upon it. The matter is much more important than that because the Prophet, peace be upon him, warned strongly against not paying the Zakat on gold.

First, we must understand that Zakat is not just a financial obligation; it is a complete spiritual act of worship. Allah said in the Quran: "Establish prayer and give Zakat and obey the Messenger," meaning Zakat is nearly as important as prayer. The Prophet warned with a very severe hadith: whoever has gold or silver and does not pay their Zakat, on the Day of Resurrection, plates of fire will be brought out for him.

So, what is the Nisab (threshold) for gold? The Nisab is 85 grams of pure gold. If you have less than that, there is no Zakat. But if it reaches the Nisab and a full lunar year passes, you are obliged to pay 2.5% of its value.

A very important point is that the Nisab varies depending on the purity of the gold. 24-karat gold is 100% pure, but 21-karat gold contains only 87.5% pure gold. So, if you have 100 grams of 21-karat gold, the actual amount of pure gold is only 87.5 grams. The Nisab for 21-karat gold is approximately 97 grams.

How do we calculate it? Very easy. If you have 100 grams of 21-karat gold and the price per gram of pure gold is 400 SAR, you calculate as follows: first, find the pure gold amount (100 × 0.875 = 87.5 grams), then calculate its value (87.5 × 400 = 35,000 SAR), and Zakat is 35,000 × 2.5% = 875 SAR. Very simple.

But there is an important point: not all gold is subject to Zakat. Gold used by women for daily adornment, like rings, bracelets, and necklaces, most scholars say there is no Zakat on it. But if the gold is stored away, for investment, or trade, then Zakat is 100% obligatory.

Another important point: Zakat is not given to anyone. Allah specified only 8 categories who deserve Zakat: the poor, the needy, those employed to collect Zakat, those whose hearts are to be reconciled, freeing slaves, those in debt, in the cause of Allah, and the wayfarer. It is not given to the Prophet’s family, nor to the wealthy, nor to disbelievers, nor to those whose maintenance you are responsible for, like parents, spouses, and children.

The final point is that Zakat purifies wealth and increases barakah in it. It is not just a financial obligation; it is a spiritual investment. When you pay Zakat with sincere intention, you feel peace of mind about your sustenance and contribute to reducing social inequalities. The important thing is to pay it on time and not delay it without a valid reason, and it is best to pay it immediately after the lunar year is complete.