Zakat on Gold and Silver: Complete 2026 Calculation Guide

Why Are Gold and Silver Singled Out?

Gold and silver were the foundational currencies of the Prophet Muhammad ﷺ's era, so Islamic law treats them as a special category of wealth. Even today — when most transactions happen in fiat currency — gold and silver retain their Sharia status as monetary metals. They are zakatable whether held as bullion, coins, jewelry, or scrap.

This rule holds even if you bought the gold for sentimental reasons (a wedding ring, an heirloom) and never plan to sell it. Ownership is what triggers Zakat, not intent to liquidate.

What Is the Nisab for Gold and Silver?

Nisab is the minimum threshold of wealth before Zakat becomes obligatory. The Prophet ﷺ specified two forms:

| Metal | Weight | Equivalent | 2026 USD Value (Approximate) | |-------|--------|------------|------------------------------| | Gold | 87.48 grams | 20 mithqal / 7.5 tola | ~$7,000 | | Silver | 612.36 grams | 200 dirhams | ~$674 |

The weights are fixed by Islamic law and never change. Only the dollar value fluctuates with daily spot prices. To check today's Nisab in USD, multiply current spot price per gram by the weight above.

How Do You Calculate Zakat on Gold?

The calculation is straightforward:

1. Weigh all your gold in grams (jewelry, coins, bars, scrap)
2. Multiply by the current gold spot price per gram
3. If the total is at or above the gold Nisab (and has been for one lunar year), you owe 2.5%

Worked example: You own 200 grams of 24-karat gold jewelry. Current spot is ~$80/gram.

• Total value: 200g × $80 = $16,000
• Above Nisab? Yes ($16,000 > $7,000 gold Nisab)
• Zakat owed: $16,000 × 2.5% = $400

What About Karat?

Pure gold is 24 karat (24K). Lower karats are alloys:

| Karat | Purity | Adjustment | |-------|--------|------------| | 24K | 99.9% pure | Use full weight | | 22K | 91.7% pure | Multiply weight × 0.917 | | 18K | 75% pure | Multiply weight × 0.75 | | 14K | 58.3% pure | Multiply weight × 0.583 | | 10K | 41.7% pure | Multiply weight × 0.417 |

Zakat is owed only on the pure gold content, not the alloy weight. So 200 grams of 18K jewelry contains 150 grams of pure gold for Zakat purposes.

How Do You Calculate Zakat on Silver?

The same method applies:

1. Weigh all your silver in grams
2. Multiply by current silver spot price per gram
3. If at or above the silver Nisab and held for one lunar year, pay 2.5%

Worked example: You own 1,500 grams of sterling silver flatware. Current spot is ~$1.10/gram.

• Sterling silver is 92.5% pure → 1,500g × 0.925 = 1,387.5g pure silver
• Total value: 1,387.5g × $1.10 = $1,526
• Above Nisab? Yes ($1,526 > $674 silver Nisab)
• Zakat owed: $1,526 × 2.5% = $38.16

Is Zakat Owed on Jewelry Worn for Adornment?

This is the most contested question in this category. The two views:

The Majority View — Yes, Zakat Is Owed

The Hanafi school and many contemporary global Islamic finance bodies (including AAOIFI) hold that all gold and silver is zakatable, including jewelry worn daily. Their reasoning:

• The Prophet ﷺ's wording about gold and silver wealth made no exception for personal use
• Several authentic hadith reference women paying Zakat on bracelets and ornaments
• Treating jewelry as exempt creates a loophole — wealthy people could store wealth in gold jewelry to avoid Zakat

The Minority View — Personal-Use Jewelry Is Exempt

The Maliki, Shafi'i, and some Hanbali scholars hold that gold and silver jewelry regularly worn is exempt, treating it like other personal-use items (clothing, household goods). Bullion, coins, and stored jewelry remain zakatable.

Practical guidance: Most contemporary Zakat institutions follow the majority (Hanafi) view, applying Zakat to all gold and silver. Following this view is more cautious and aligns with global standards. If you follow a different madhab, consult a qualified scholar in your tradition.

Which Nisab Applies to Mixed Wealth?

If you have a mix of cash, gold, silver, and investments, scholars debate which Nisab to use:

| View | Approach | Used By | |------|----------|---------| | Silver Nisab (lower) | Apply ~$674 threshold to all combined wealth | Hanafi, Maliki, most contemporary scholars, AAOIFI | | Gold Nisab (higher) | Apply ~$7,000 threshold to monetary wealth | Some modern scholars | | Each metal separately | Calculate gold and silver as separate pools | Some Shafi'i positions |

The dominant view in modern Islamic finance is to use the silver Nisab for combined zakatable wealth, because it's lower and ensures more wealth flows to those eligible to receive Zakat.

Bullion vs Jewelry — Are They Treated Differently?

In terms of Zakat obligation, no — both are zakatable on the majority view. But there are practical differences:

• Bullion (bars, coins, rounds) — clean weight, easy to value at spot price
• Jewelry — must adjust for karat purity; market resale value is below spot due to artisan markup
• Coins (numismatic) — value Zakat on metal content, not collectible premium
• Scrap and broken pieces — value at spot price for the actual gold/silver content

For Zakat, you always use the metal value at current spot, not the retail or resale price.

Common Mistakes to Avoid

• Using purchase price instead of current value. Zakat is based on today's spot, not what you paid years ago.
• Forgetting the Hawl. You must own the gold/silver at or above Nisab for one full Islamic lunar year before Zakat is due.
• Excluding "everyday" jewelry. Most scholarship treats it as zakatable. Check your madhab.
• Mixing karat weights. Adjust each piece for purity before totaling.
• Ignoring silver entirely. Many people forget about silverware, antique coins, or inherited pieces.

FAQs

Q: Do I owe Zakat on a gold wedding ring? A: According to the majority (Hanafi) view, yes — and it is usually still well below Nisab on its own. According to Maliki and Shafi'i scholarship, regularly-worn jewelry is exempt. Choose a position consistent with your madhab.

Q: How do I find today's gold and silver spot prices? A: Use any major financial site (Kitco, BullionVault, Goldprice.org). Most Zakat calculators auto-pull live prices.

Q: My gold is in a bank deposit box. Does it still count? A: Yes. Ownership matters, not location.

Q: Do gemstones in jewelry count toward Zakat? A: No. Diamonds, rubies, sapphires, and other gemstones are not zakatable themselves. Only the gold or silver setting is.

Q: What if I bought gold as an investment via an ETF? A: ETFs that hold physical gold are treated similarly to bullion — Zakat applies on the value of your share. See our guide on Zakat for investments.

Sources

• AAOIFI Sharia Standard No. 35 — Zakat
• IslamQA.info — Rulings on Zakat for gold, silver, and jewelry
• Zakat Foundation of America — Asset-by-asset Zakat guides
• Islamic Relief USA — Zakat on gold and silver resources
• Reliance of the Traveller (Shafi'i) — gold/silver Zakat rules

Use our free Zakat Calculator →

Read more: Zakat Nisab Explained | What is Zakat?

Author: Editorial Team. This article is for educational purposes only. Please consult a qualified Islamic scholar (alim) for guidance specific to your situation.