Charity Archives - SIMA Impact Foundation https://simafoundation.org/category/charity/ Mon, 17 Aug 2026 09:49:54 +0000 en-US hourly 1 https://wordpress.org/?v=7.0.4 https://simafoundation.org/wp-content/uploads/2023/09/SIMA-Vertical-Logo-100x100.png Charity Archives - SIMA Impact Foundation https://simafoundation.org/category/charity/ 32 32 How to Calculate Your Zakat in 2026 — A Simple Guide https://simafoundation.org/how-to-calculate-your-zakat-in-2026-a-simple-guide/ https://simafoundation.org/how-to-calculate-your-zakat-in-2026-a-simple-guide/#respond Mon, 17 Aug 2026 09:49:54 +0000 https://simafoundation.org/?p=33346 Every year, millions of Muslims around the world fulfill one of Islam’s five pillars — paying Zakat. But for many...

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]]> Every year, millions of Muslims around the world fulfill one of Islam’s five pillars — paying Zakat. But for many of us, especially those living in the West, the calculation can feel confusing.
This guide breaks it down simply. No complicated tools needed — just the basics.
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What is Zakat?
Zakat is an obligatory annual charity of 2.5% on the wealth you have held for one full Islamic year (known as the Hawl), provided that wealth exceeds the minimum threshold — called the Nisab.
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Step 1 — Check the Nisab Threshold
The Nisab is based on the value of 85 grams of gold or 595 grams of silver.
As of August 2026, approximate values:
Standard Weight Approx. USD Value*
Gold Nisab 85g of gold ~$7,900
Silver Nisab 595g of silver ~$550
Prices change daily — verify current gold/silver spot price before calculating.
Which standard should you use? Most scholars recommend using the silver standard if it helps more people qualify and give Zakat — as it results in a lower threshold and wider benefit.
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Step 2 — Calculate Your Zakatable Wealth
Add up everything you own that has been in your possession for one full year:
Asset Type Include?
Cash in bank accounts ✅ Yes
Gold and silver jewelry ✅ Yes
Stocks and investments ✅ Yes (market value)
Business inventory ✅ Yes
Money owed to you (likely to be repaid) ✅ Yes
Your home (that you live in) ❌ No
Car (for personal use) ❌ No
Furniture and personal belongings ❌ No
Debts you owe ❌ Deduct these
Formula:
Zakatable Wealth = (Total Assets) − (Debts)
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Step 3 — Apply the 2.5% Rate
If your Zakatable Wealth is above the Nisab:
Zakat Due = Zakatable Wealth × 2.5%
Example:
• Total assets: $20,000
• Debts: $3,000
• Zakatable Wealth: $17,000
• Zakat Due: $17,000 × 2.5% = $425
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Step 4 — Give to an Eligible Cause
Zakat must go to one of the eight categories defined in the Quran (Surah 9:60). One of the most impactful categories is helping families in need — those who lack the means to meet basic necessities.
At SIMA Impact Foundation, 100% of your Zakat goes directly to a family working toward owning a permanent, dignified home through zero-interest financing. No fees. No middlemen.
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Is SIMA Zakat-Eligible?
Yes. SIMA Impact Foundation serves families who are genuinely in need — the fuqara and masakeen categories recognized in Islamic scholarship. Your Zakat helps a real family in Karachi own a home they could never otherwise afford.
We are working on obtaining a formal Zakat compliance certificate from Islamic scholars. We will share it here as soon as it is available.
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Ready to Give Your Zakat?
Danish’s family of 9 has been renting for over 15 years. Gulzar’s family dreams of a place their children can call their own.
Your 2.5% can change their lives.
👉 Donate Your Zakat Now — simafoundation.org/donation
SIMA Impact Foundation is a US-registered 501(c)(3) nonprofit. EIN: 87-3148557. All donations are tax-deductible.
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Have questions about Zakat? Email us at info@simafoundation.org

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