Every Muslim who has attained the age of puberty and owns enough assets (see below) is required to pay zakat.
- A Muslim will only be required to pay zakat if he or she has full and legal ownership of an asset.
- Zakat is payable only on those assets that are acquired for the purpose of creating or generating wealth. Some examples of this type of assets are cash savings, inventory of goods used for trade or sale, investments such as gold or securities that have potential for appreciation in value, and livestock or crops that are traded or sold.
- Zakat need only be paid on those assets that exceed a minimum value. This minimum value is calculated based on the market price of 3 oz. of gold. This minimum value is termed nisab. See Zakat Calculator
- Haul is defined as the completion period for a zakah asset. The length of time for haul is one Hijrah (islamic) year when zakat is required on an asset.
Once these conditions are met the payment of zakat becomes an obligation for a Muslim.