Zakat guides

Zakat on gold and silver: how to calculate it

Gold and silver are zakatable whatever form they take: jewellery, coins, bars or scrap. You pay 2.5 per cent of their current market value, not what you paid for them.

Step one: weigh it

Weigh your gold in grams and note the carat of each piece. Jewellers will weigh items free of charge. Keep 24ct, 22ct, 18ct and 9ct pieces separate, because purity changes the value.

Step two: value it

Use the current market price per gram for the relevant purity. Scrap or resale value is normally used rather than retail replacement price, since you are valuing the metal you own.

Step three: apply 2.5 per cent

Example: 40 grams of 22ct gold at 60 pounds per gram is 2,400 pounds. Zakat due is 60 pounds.

Add this to your other zakatable assets before checking against nisab.

Worn jewellery

The Hanafi position is that all gold and silver is zakatable, including jewellery in regular use. Some other schools exempt jewellery worn routinely. Follow the position you normally follow; if in doubt, paying is the safer course.

Frequently asked questions

Is zakat due on diamonds and gemstones?

No, precious stones are not zakatable unless they are held as trading stock. Only the gold or silver in a piece is counted.

What about gold ETFs or digital gold?

Yes, these are zakatable at their market value on your zakat date.

Work out your zakat

Our calculator applies nisab and the 2.5 per cent rate for you, including gold, savings and shares.

Open the zakat calculator

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