Quora Answer: Why is Debt Not Taken into Account When Calculating Zakat?

بِسۡمِ ٱللهِ ٱلرَّحۡمَـٰنِ ٱلرَّحِيمِ

The following is my answer to a Quora question: “Why is debt not taken into account when calculating zakat?” 

Zakat is calculated on your excess wealth, meaning funds and assets set aside, with no immediate use, not absolute net worth.  As such, it does not factor in debt in isolation. 

When a person has wealth in excess of the nisab, it means that his debts are manageable.  Whatever he provisions to service debt is not “excess”, but an expenditure.  That amount is not factored in when calculating zakat.  If his debts are in excess of his assets, he is effectively insolvent, and does not need to pay zakat.



Comments

Post a Comment

Thank you for taking the time to share our thoughts. Once approved, your comments will be posted.

Popular posts from this blog

The Du’a of the Blind Man

Image
بِسۡمِ ٱللهِ ٱلرَّحۡمَـٰنِ ٱلرَّحِيمِ It is narrated, from a hadits , that a blind man approached the Prophet ( s.a.w. ), and asked for a cure from his blindness.   This hadits is recorded in Jami’ at-Tirmidzi ; Sunan ibn Majah ; Musnad ibn Hanbal ; Mu’jam al-Kabir , by Imam Abu Ja‘far Muhammad ibn Jarir ath-Thabari ( r.a. ); and Mustadarak ‘ala Swahihayn , by Imam Abu ‘Abdullah Muhammad ibn ‘Abdullah al-Hakim an-Nishaburi ( r.a. ).   The version from Sunan ath-Thabari has slightly different words but has the same general meaning. This du’a is a du’a for hajat , when there is a need.   It is also a du’a asking for spiritual sight in this world, for those who are blind to Allah ( s.w.t. ) in this world may be blind to Him in the next.   How can we see His Majesty and be in the Divine Presence when we are blind to His Presence in this world.   One cannot look at the shadow and still see the light.   One cannot look at the world and expect to find Him. The blind man came
Read more

The Benefits of the Verse of 1,000 Dananir

Image
بِسۡمِ ٱللهِ ٱلرَّحۡمَـٰنِ ٱلرَّحِيمِ We consider this verse:   سُوۡرَةُ الطّلاَق ... وَمَن يَتَّقِ ٱللَّهَ يَجۡعَل لَّهُ ۥ مَخۡرَجً۬ا (٢) وَيَرۡزُقۡهُ مِنۡ حَيۡثُ لَا يَحۡتَسِبُ‌ۚ وَمَن يَتَوَكَّلۡ عَلَى ٱللَّهِ فَهُوَ حَسۡبُهُ ۥۤ‌ۚ إِنَّ ٱللَّهَ بَـٰلِغُ أَمۡرِهِۦ‌ۚ قَدۡ جَعَلَ ٱللَّهُ لِكُلِّ شَىۡءٍ۬ قَدۡرً۬ا (٣)   … And for those who recognise Allah, He (Ever) Prepares a way out.   And He Provides for him from (sources) he never could imagine.   And if anyone puts his trust in Allah, sufficient is (Allah) for him.   For Allah Will surely Accomplish His Purpose: verily, for all things has Allah Appointed a due proportion. (Surah ath-Thalaq:2-3)   This verse is the affirmation that the one who recites finds sufficiency in Allah ( s.w.t. ) only.   The story behind the verse, is that there was once a poor man working on a ship who received this verse from Khidhr ( a.s. ).   By the constant recitation of it, he became wealthy enough to be a king.   There is no independent veri
Read more

A Brief Biography of Shaykh Ibrahim ibn ‘Abdullah Niyas al-Kawlakhi (q.s.)

Image
بِسۡمِ ٱللهِ ٱلرَّحۡمَـٰنِ ٱلرَّحِيمِ   The following was compiled from various sources from amongst the muridun of Shaykh Ibrahim ibn ‘Abdullah Niyas al-Kawlakhi ( q.s. ).   Shaykh Ibrahim Niyas ( q.s. ), as the name is transliterated here from the Arabic, is more commonly known “Ibrahim Niass”.   It also written as “Ibrahima Niasse” in French, and “Ibrayima Nas” in Wolof.   Formally, he is Shaykh al-Islam al-Haj Ibrahim ibn al-Haj ‘Abdullah at-Tijani al-Kawlakhi Niyas ( q.s. ) in Arabic.   He was a major leader of the Tijani Sufi order in West Africa.   His followers in the Senegambia region affectionately refer to him in Wolof as “ Baye ”, or “Father”.   He is the founder of the Ibrahimiyyah branch of the Tijaniyyah .   In Arabic, we designate ourselves as the people of al-Faydhah at-Tijaniyyah , “The Divine Flood of the Tijani”.   In Wolof, the Tijani of Senegal call themselves Talibe Baye , meaning “Disciples of Baye ”.   Outsiders often refer to his disciples as Naseen , w
Read more