Zakat — the obligatory annual almsgiving — is one of the five pillars of Islam, and for many Muslim households in Bangladesh it is one of the largest single financial obligations of the year. Yet a surprising number of people calculate it incorrectly, either by including assets that are not zakatable, excluding liabilities they are entitled to deduct, or using the wrong Nisab value. This guide covers the full calculation method based on mainstream Hanafi scholarly consensus, which is what most Bangladeshi Muslims follow.
What Is Nisab and Why It Matters
Nisab is the minimum wealth threshold above which Zakat becomes obligatory. If your net zakatable wealth on the anniversary of your lunar year does not reach Nisab, no Zakat is due. There are two Nisab standards — gold (87.48 grams) and silver (612.36 grams) — and scholars differ on which to use. The silver standard has traditionally been used in Bangladesh because it is lower and therefore includes more people within the obligation, which aligns with the spirit of ensuring broader giving.
Approximate Nisab Values — Bangladesh, 2026
| Standard | Weight | Approximate BDT Value |
|---|---|---|
| Gold Nisab (87.48g of 24k gold) | 87.48 grams | Check current 22k/24k gold price — approximately ৳9–11 lakh at mid-2026 rates |
| Silver Nisab (612.36g of silver) | 612.36 grams | Approximately ৳60,000–90,000 at mid-2026 silver prices |
Note
Gold and silver prices change daily. Always use the current market price on the day you are calculating your Zakat — not an estimate from a few months ago.
Which Assets Are Zakatable?
Not everything you own is subject to Zakat. The general principle is that Zakat applies to productive or growing wealth that has been held for a full lunar year above Nisab.
- Cash (BDT or foreign currency held physically or in bank accounts)
- Gold and silver jewellery (yes, including jewellery worn regularly — this is the mainstream Hanafi position)
- Business inventory and trade goods (valued at current market price, not cost price)
- Receivables: money owed to you that you expect to receive
- Investments: shares, mutual funds, and similar instruments — zakatable on the zakatable portion of the underlying assets
- National savings certificates and FDR (the principal amount is zakatable if held for a full year)
What Is NOT Zakatable
Several categories of assets are explicitly excluded from Zakat calculation.
- Your personal home (the house you live in)
- Household furniture, appliances, and personal-use items
- Vehicles used for personal transportation
- Business tools and equipment used for production (not for sale)
- Debts you owe: deduct genuine short-term liabilities from your zakatable assets
The Calculation Method
Once you have identified all zakatable assets and subtracted genuine liabilities due within the lunar year, if the remaining net amount equals or exceeds Nisab and has been above Nisab for a full lunar year (Hawl), Zakat is due at 2.5% of the net amount.
Zakat = (Total Zakatable Assets − Short-term Liabilities) × 2.5% Example: Cash ৳5,00,000 + Gold jewellery ৳3,00,000 + Business stock ৳2,00,000 − Debt due this year ৳1,50,000 = Net ৳8,50,000 Zakat due = ৳8,50,000 × 2.5% = ৳21,250
When to Pay Zakat
Zakat is calculated on the lunar anniversary of the date your wealth first exceeded Nisab. Many Bangladeshi Muslims choose Ramadan for payment because of the additional spiritual reward, but this is a preferred practice, not a requirement. What matters is that a full lunar year has passed with your wealth consistently above Nisab.
Tip
Keep a simple record each year: note the date you calculate your Zakat, the total zakatable wealth, any liabilities deducted, and the amount paid. This makes the following year's calculation straightforward and also serves as documentation if anyone questions the Zakat you have distributed.