Zakatable wealth includes cash savings, gold and silver (85+ grams), stocks, mutual funds, rental income, crypto assets, business inventory, and investment profits that have been in your possession for one lunar year and exceed the Nisab threshold of approximately $1,029 (silver) or $12,038 (gold) in 2026.
Quick Facts About Zakat for 2026
Cash and Savings: All cash, bank accounts, and savings accounts are fully Zakatable at 2.5% regardless of the amount above Nisab
Gold Threshold: Saved gold becomes Zakatable when you own 85 grams or more (approximately 87.48 grams for jewellery, depending on purity)
Investment Types: Stocks, mutual funds, ETFs, sukuk, and crypto assets all have different Zakat calculations based on holding intent
Rental Properties: Only the rental income (after expenses) is Zakatable, not the property value itself, unless bought for resale
Locked Funds: Pension funds and retirement accounts have special rulings. Accessible funds are immediately Zakatable, while locked funds may be deferred
Complete Zakatable Wealth List for 2026
Understanding what counts as Zakatable wealth is essential for calculating your Zakat correctly. The Zakatable wealth list encompasses various asset categories that many Muslims hold in modern financial portfolios.
Your Zakatable assets include all forms of currency and cash holdings, regardless of where they’re stored, whether in your wallet, at home, or in checking accounts. Gold and silver that meet the Nisab threshold fall under Zakatable wealth, particularly gold purchased for saving or investment purposes. Business inventory and trade goods are Zakatable at their current market value, as are livestock kept for trade.
Investment assets form a significant portion of modern Zakatable wealth. This includes stocks and shares in companies, mutual funds and exchange-traded funds, sukuk and other Shariah-compliant investment vehicles, cryptocurrency holdings like Bitcoin and Ethereum, and profits from halal investments. Money owed to you by others (receivables) is also considered Zakatable wealth once you have the ability to collect it.
Agricultural produce has its own Zakat rules separate from Zakat al-mal. Personal-use items are not Zakatable; this means your primary residence, personal vehicle, household furniture and appliances, clothes and personal effects, and tools or equipment needed for your profession are all exempt.
The key principle is that Zakatable wealth must have been in your possession for one complete lunar year (hawl) and must equal or exceed the Nisab threshold. Using the MATW Zakat calculator helps you determine which of your assets fall into Zakatable categories and calculates the exact amount you owe.
Zakat on Gold and Savings: Understanding Your Obligation
Calculating Zakat on gold and savings requires understanding the different types of gold ownership and how each is treated in Islamic law. Saved gold intended for hoarding or wealth preservation is Zakatable by consensus of Muslim scholars. Imam Nawawi stated that gold purchased with the intention to hoard and own, rather than wear, is subject to Zakat according to the predominant opinion. This applies to gold bars, gold coins, and jewellery kept specifically as an investment or store of value.
For gold to be Zakatable, four conditions must be met. First, the primary intention behind its purchase must be saving, investment, or hoarding rather than personal adornment. Second, it must reach the Nisab of 85 grams of pure gold. Third, it must be owned by you individually. Fourth, a complete lunar year must have passed since you took possession of it.
The calculation for Zakat on saved gold is straight forward 2.5% of the total value. You have two payment options. You can pay Zakat from the gold itself by calculating 2.5% of the total gold weight, or you can pay in cash by determining the current market price per gram, multiplying it by your total gold weight, and paying 2.5% of that monetary value.
There is a scholarly difference regarding worn gold jewellery. The Hanafi school considers all gold and silver Zakatable regardless of use. However, according to the Maliki, Shafi’i, and Hanbali schools, gold jewellery regularly worn for personal adornment is exempt from Zakat. Gold kept as backup jewellery or worn only occasionally falls into a grey area where many scholars recommend paying Zakat to be on the safe side.
Savings accounts and cash holdings are always fully Zakatable. Whether your money sits in a checking account, savings account, fixed deposit, or under your mattress, if it exceeds the Nisab and you’ve held it for a lunar year, you owe 2.5% in Zakat. The simplicity of Zakat on savings makes it one of the easiest calculations, simply add up all your cash holdings and multiply by 0.025.
Zakat on Investments: Stocks, Funds, and Modern Assets
The modern investment landscape has created new questions about Zakat obligations. Understanding Zakat on investments helps you fulfil your duty while building wealth through Shariah-compliant means. Stock investments fall into two categories based on your holding intent. For short-term trading where you buy and sell frequently, treat the entire investment value as cash. Calculate 2.5% of your total portfolio value on your Zakat due date. This straightforward approach applies to active traders and day traders.
Long-term stock holdings require a different calculation method. You pay Zakat only on the liquid assets the company holds, not the entire market value of your shares. Check the company’s balance sheet and add up all liquid assets, including cash, accounts receivable, and inventory. Divide this by the company’s total market capitalisation to get a percentage. Apply this percentage to your investment value, then pay 2.5% of that amount.
Mutual funds and ETFs use a simplified calculation. Take 25% of your total investment value in the fund and pay 2.5% Zakat on that amount. This method accounts for the mixed nature of fund holdings without requiring you to analyse each underlying asset. Cryptocurrency assets like Bitcoin and Ethereum are Zakatable at 100% of their current market value regardless of your intention, as they function as digital currencies. Security tokens follow stock rules. If bought for resale, they’re 100% Zakatable; if held long-term, Zakat depends on the underlying company assets. Asset-backed tokens and governance tokens have similar varying rules based on intent and underlying assets.
Your Zakat has the power to transform lives. When you calculate and pay your Zakat through MATW, you’re not just fulfilling an obligation, you’re directly uplifting vulnerable communities across the world. Your contribution provides essential support like food, clean water, and shelter to those who need it most.
Calculate your Zakat on all your investments today and make a lasting impact.
Special Investment Categories: Real Estate, Sukuk, and Rental Income
Real estate investment requires careful consideration of your intention and usage. Properties bought specifically for resale (flipping) are Zakatable on their full market value at 2.5%. This is treated like business inventory. You pay Zakat on what the property is worth, not what you paid for it. Rental properties follow different rules. The property itself is not Zakatable if you intend to hold it long-term for rental income. Instead, you pay Zakat only on the net rental income after deducting legitimate expenses like mortgage payments, maintenance, property management fees, and taxes. If your property generates $1,000 monthly but costs $500 to maintain and finance, you pay Zakat on the remaining $500 of profit.
Sukuk instruments are Shariah-compliant alternatives to conventional bonds. Zakat on sukuk depends on the underlying structure. For Sukuk al-Ijarah (lease-based sukuk), Zakat applies to rental income received. For Sukuk al-Musharakah (partnership-based sukuk), Zakat applies only to your portion of ownership in the underlying asset. Always verify the sukuk structure before calculating Zakat.
Dividend income from halal investments is fully Zakatable. You can calculate Zakat on dividends separately as they’re received by taking 2.5% of each dividend payment, or you can include them with your annual Zakat calculation along with other Zakatable assets.
Retirement Funds and Pension Plans: Accessible vs Locked Wealth
Pension funds and retirement accounts present unique Zakat considerations because of access restrictions and employer contributions. Government or employer-sponsored pension plans, where both you and your employer contribute, require special calculation. If you cannot access the funds until retirement, some scholars say Zakat is deferred until you receive distributions. However, if the pension is accessible or you have vested rights, apply the 25% method. Take 25% of the pension value and pay 2.5% Zakat on it. This simplified approach accounts for the mixed nature of pension investments without requiring complex analysis.
Private retirement funds like 401(k)s or IRAs that you fully control are generally Zakatable based on the underlying investments. If your retirement account invests in equity funds, use the 25% method. If you hold individual stocks, calculate based on the liquid assets method described earlier. The key factor is whether you have control and access to the funds.
The general Islamic principle is that accessible funds are immediately Zakatable if they exceed the Nisab. This includes savings accounts you can withdraw from at any time, investment accounts with no withdrawal penalties, and money market accounts. Locked funds that you cannot access without severe penalty or legal restriction may be deferred until they become accessible, at which point you would pay Zakat for all previous years owed to avoid mistakes.
Fixed deposits and certificates of deposit are Zakatable even though you may face early withdrawal penalties. The underlying asset (your cash) is accessible and growing, making it Zakatable wealth. Calculate 2.5% of the full deposit value on your Zakat anniversary date.
How to Calculate Zakat on Your Complete Wealth Portfolio
Bringing together all your Zakatable assets requires a systematic approach. The MATW Zakat calculator simplifies this process, but understanding the methodology helps you gather the right information. Start by listing all cash and cash equivalents, including checking accounts, savings accounts, cash at home, money market accounts, and fixed deposits. Add your precious metals by calculating the current value of gold (if 85+ grams) and silver (if 612.36+ grams) you own for investment purposes. Include business assets such as inventory value, accounts receivable, and business cash reserves.
Next, calculate your investment portfolio values. For stocks held short-term, use the full market value. For long-term holdings, apply the liquid assets method. Add mutual funds and ETFs using the 25% method. Include the full value of cryptocurrency holdings and any sukuk or Islamic bonds based on their structure. Add any rental income you’ve received and kept for one lunar year, minus allowable expenses. Include dividends and investment profits that meet the one-year holding requirement. Remember that the money people owe you is Zakatable once you have a reasonable certainty of collection.
Subtract your immediate liabilities, including debts you must repay, outstanding bills and utilities, and active loan installments due. Personal mortgages on your primary residence are debated among scholars, but many do not count them as deductible since the home itself isn’t Zakatable.
The final calculation is straightforward. If your net Zakatable wealth equals or exceeds the Nisab 2026 threshold, multiply the total by 2.5%. This is your Zakat obligation for the year.
FAQs
Do I pay Zakat on the gold jewellery I sometimes wear?
This depends on the Islamic school of thought you follow. The Hanafi school requires Zakat on all gold, regardless of use. The Maliki, Shafi’i, and Hanbali schools exempt regularly worn jewellery from Zakat. Gold jewellery kept in storage, worn only occasionally, or held as an investment, is Zakatable according to all schools. If you’re unsure about specific pieces, many scholars recommend paying Zakat to fulfil your obligation completely. The Nisab for gold is 85 grams of pure gold, and you calculate 2.5% of its current market value.
Are my retirement savings Zakatable if I cannot access them?
Retirement funds have two considerations: accessibility and control. If you have full control over a retirement account (like a self-directed IRA) but choose not to withdraw to avoid taxes or penalties, most scholars say it’s still Zakatable because the restriction is optional. Use the 25% method. Take 25% of the account value and pay 2.5% Zakat on it. However, if the account is genuinely locked by law or contract until retirement age with no access option, some scholars allow deferring Zakat until you receive distributions. The MATW approach follows consultation with the Australian National Imams Council to ensure Shariah compliance.
How do I pay Zakat on cryptocurrency like Bitcoin?
Cryptocurrency holdings are Zakatable at 100% of their current market value on your Zakat anniversary date. Bitcoin, Ethereum, and similar coins function as digital currencies, making them similar to cash holdings. Unlike stocks, where you might use the liquid assets method, crypto is fully Zakatable regardless of holding intent. Calculate your Zakat by checking the current market price of each cryptocurrency you own, multiplying by the quantity you hold, and paying 2.5% of the total value. Include all crypto in accessible wallets and exchanges. Only crypto in permanently lost wallets would be exempt.
Is Zakat due on rental property or just the rental income?
Zakat treatment depends on your purchase intention. If you bought the property specifically to resell for profit (flipping), then the full property value is Zakatable at 2.5% like business inventory. However, if you bought the property as a long-term investment to generate rental income, the property itself is not Zakatable. Instead, you pay Zakat only on the net rental income after deducting legitimate expenses like mortgage payments, maintenance, insurance, and property management fees. Calculate your annual rental receipts, subtract all allowable expenses, and pay 2.5% on the remaining profit if it’s been in your possession for a lunar year.
Trust MATW With Your Zakat in 2026
Understanding the complete Zakatable wealth list empowers you to fulfil your Zakat obligation accurately. From Zakat on gold and savings to modern investments, each asset category has clear Islamic guidelines. MATW makes paying your Zakat simple and trustworthy. Our 100% Zakat Policy ensures every cent goes directly to eligible recipients. Our processes are fully Shariah-compliant, developed in consultation with scholars recognised by the Australian National Imams Council.
When you give your Zakat through MATW, you’re changing lives in desperate communities worldwide. Your Zakat provides food, water, shelter, and hope to those who need it most. Calculate your Zakatable wealth now and make an immediate impact. Your wealth has been blessed. Purify it through Zakat and transform lives.