بِسۡمِ ٱللهِ ٱلرَّحۡمَـٰنِ ٱلرَّحِيمِ The following is my answer to a Quora question: “ How will my family give zakat if we have no income, and we live by the money in fixed deposits in the bank? ” Zakat is paid out of excess, earnings above the nisab , for that period, the hawl . If there is no excess, and that money is spoken for, even if it is above the nisab , you do not need to pay the zakat . Another of the conditions of zakat is the fund be fully in your control. Money, in a fixed deposit, is not liquid for the duration of that fixed deposit. For example, if the nisab is $5,000 for the year, and you have $6,000 which you have in savings, untouched, you would normally have to pay zakat on that. However, if you are saving the funds for a specific purpose, such as for education, or a wedding, it would not make sense to pay zakat on that since it would continuously diminish the amount set aside, particularly if the 2.5% zakat is more than ...