Zakat on money saved for fees

Zakat on money saved for fees

In the name of Allah, the most Beneficent, the most Merciful.

Answer

Zakat is compulsory upon a person who possesses the quantum of nisab (i.e. 612.35 grams of silver or 87.47 grams of gold or currency, wealth equivalent to that amount) for a complete lunar year; which is over and above his basic needs and also free from debts. (Raddul Muhtar p.171 v.3)

Zakat is obligatory on wealth, which remains in a person’s possession for a lunar year regardless of why they were held onto, even if one held onto the money for the purpose of financial support.   (Raddul Muhtar p.179 v.3)

Keeping the aforementioned point in mind, we can derive that zakat is obligatory on wealth with the passing of one lunar year even if one was saving for university fees.  However, if the money were to be spent before the passing of one year, zakat will not have to be paid.

Only Allah Knows Best

Mohammed Tosir Miah

Darul Ifta Birmingham

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