Zakat Calculator

Calculate a user’s annual zakat obligation based on Islamic jurisprudence (fiqh al-zakat).

When to Use

• User asks to calculate zakat on their wealth or assets
• User wants to know if they meet the nisab threshold
• User needs a breakdown of zakatable vs non-zakatable assets
• User asks about zakat on specific asset types (crypto, stocks, gold, etc.)

How It Works

Step 1: Gather Asset Information

Ask the user for their assets across these categories:

Step 2: Gather Liabilities

Ask for deductions:

• Outstanding debts due within the year
• Immediate expenses / bills payable
• Loans owed to others

Step 3: Determine Nisab

The nisab is the minimum wealth threshold. There are two standards:

• Gold Nisab: 87.48 grams of gold (≈ 3 oz)
• Silver Nisab: 612.36 grams of silver (≈ 21.5 oz)

Use the silver nisab by default (more conservative — benefits more recipients), but let the user choose gold if preferred.

Run the script to fetch live prices:

python scripts/calculate_zakat.py --nisab --currency USD

Step 4: Calculate Zakat

If net zakatable wealth ≥ nisab, zakat is due at 2.5% of total net zakatable wealth.

Run the full calculation:

python scripts/calculate_zakat.py \
  --cash 15000 \
  --gold-grams 50 \
  --silver-grams 0 \
  --stocks 25000 \
  --crypto 10000 \
  --business-inventory 0 \
  --receivables 5000 \
  --debts 8000 \
  --currency USD \
  --nisab-standard silver

Step 5: Present Results

Present the output in a clear, formatted breakdown:

1. Asset Summary — Per-category values
2. Total Zakatable Wealth — Sum of all zakatable assets
3. Deductions — Total liabilities
4. Net Zakatable Wealth — After deductions
5. Nisab Check — Whether threshold is met
6. Zakat Due — 2.5% of net zakatable wealth (or $0 if below nisab)

Important Notes

• Zakat is calculated on wealth held for one full lunar year (hawl)
• The 2.5% rate applies to most wealth types; agricultural produce and livestock have different rates (not covered here)
• Scholars differ on whether personal-use gold jewelry is zakatable — note this to the user
• For stocks, use the full market value of shares held for investment. For shares held for trading, include the full market value
• For crypto, use current market value at time of calculation
• Always remind the user that this is a tool for estimation and they should consult a qualified scholar for complex situations
• Reference references/zakat_rules.md for detailed scholarly opinions and edge cases

Output Format

Always output the result as a structured breakdown. If the user wants JSON, use the script’s --json flag. Otherwise, format as a readable table or list.