Zakāt and Debt

27th May 2024

السلام عليكم و رحمة الله و بركاته

Question:  Is Zakāt Fardh on me since I’m in debt to family and friends. I borrowed for house improvements. I have almost 30k on my head. Is Zakāt still Fardh on me?

الجواب حامداً و مصلياً

In the name of Allāh, the Most Gracious, the Most Merciful

In reference to your query, it depends on whether or not you have any remaining wealth after paying off your debt. As a general rule, if an individual Muslim after paying off his debt has sufficient wealth beyond their essentials equivalent to the nisāb level after paying off personal debt then Zakāt must be calculated on the remaining wealth. Zakāt will not be required if the loan amount consumes the entire wealth and the remaining wealth is less than the nisāb level.[1]

Another factor to consider is the short-term and long-term debt rule. If your debt is short-term as in the whole amount will be paid within a year then the above ruling applies. If the loan is long-term and exceeds a year in duration of payment, as in paid in small instalments for instance over a few years, then the ruling will be different in which case, only the amount paid in one year will be deducted from Zakāt calculation and payable on the remaining amount if it reaches the nisāb level. Otherwise, if the remaining wealth is less than the nisāb level then Zakāt won’t be applicable. [2]

Allāh Knows Best


Written by:  Apa Sumayya Qazi          Reviewed by: Mufti Abdul Waheed

Attested by: Shaykh Mufti Saiful Islam


JKN Fatawa Department


[1] Jawharatun Niyarah, Kitāb Zakāt, vol 1, p. 115

شُرُوطُ وُجُوبِ الزَّكَاةِ

وَقَوْلُهُ يُحِيطُ بِمَالِهِ الْإِحَاطَةُ لَيْسَتْ بِشَرْطٍ حَتَّى لَوْ كَانَ لَا يُحِيطُ بِهِ لَا تَجِبُ أَيْضًا وَإِنَّمَا مَعْنَاهُ يَمْنَعُهُ أَنْ يَبْلُغَ صَابًا حَتَّى لَوْ كَانَ الدَّيْنُ دِرْهَمًا وَاحِدًا فِي الْمِائَتَيْنِ مَنَعَ الْوُجُوبَ وَلَوْ كَانَ لَهُ أَرْبَعُونَ مِثْقَالًا وَعَلَيْهِ أَحَدٌ وَعِشْرُونَ مِثْقَالًا لَا تَجِبُ عَلَيْهِ الزَّكَاةُ إنْ لَمْ يَكُنْ مُحِيطًا لَكِنْ لَمَّا لَمْ يَبْقَ الْبَاقِي نِصَابًا جُعِلَ كَأَنَّهُ مَعْدُومٌ وَلِأَنَّ الْمَدْيُونَ مِلْكُهُ فِي النِّصَابِ نَاقِصٌ لَا يُفِيدُهُ مِلْكُهُ لَهُ فَإِنَّ لِصَاحِبِ الدَّيْنِ أَنْ يَأْخُذَهُ مِنْ غَيْرِ قَضَاءٍ وَلَا رِضًا وَذَلِكَ آيَةُ عَدَمِ الْمِلْكِ كَمَا فِي الْوَدِيعَةِ وَالْمَغْصُوبِ

Hidayah sharhu Bidayatul Mubtadi, Kitāb Zakāt, vol 1, p. 95

” وإن كان ماله أكثر من دينه زكى الفاضل إذا بلغ نصابا ” لفراغه عن الحاجة


[2] See detailed fatwa Zakāt on short-term and Long-term  Loan