How to Calculate Zakat on Gold in 2026: A Step-by-Step Guide
Gold is one of the most common forms of wealth families hold, and it's also one of the most misunderstood when it comes to zakat. This guide walks through exactly how to work out the zakat due on your gold, with worked examples you can follow along with.
The short answer
Zakat on gold is 2.5% of its current market value, payable once a lunar year has passed, provided your total zakatable wealth is above the nisab threshold. If you own 5 tola of gold worth 350,000 per tola, that's 1,750,000 in value, and the zakat due would be 43,750. But there are important details around nisab, mixed assets and timing that change the picture, so let's go through them properly.
Step 1: Work out how much gold you have
Gather all the gold you own — jewellery, coins, bars — and total the weight. In Pakistan and much of South Asia, gold is measured in tola, where one tola equals 11.664 grams. Internationally it's measured in grams or troy ounces (one troy ounce is 31.103 grams). Don't worry about purity differences for a first estimate; jewellers price 22k and 24k differently, so use the rate that matches your gold's karat.
If you're unsure of the exact weight, the receipts from when you bought the jewellery usually list it, or any jeweller can weigh it for you in minutes.
Step 2: Find today's gold rate
Gold prices move every single day, so the value you use must be current. Local jewellers' association rates and financial news sites publish the daily per-tola rate. Multiply your total weight by today's rate to get the market value of your gold. This is the figure zakat is calculated on — not what you originally paid for it.
Step 3: Check the nisab threshold
Zakat only becomes obligatory when your wealth crosses the nisab — the minimum threshold. For gold, nisab is traditionally set at 87.48 grams (about 7.5 tola) of gold. If gold is the only zakatable asset you own and you have less than 7.5 tola, no zakat is due on it.
However — and this matters — if you also hold cash, silver, or business assets, these are added together and measured against the (lower) silver nisab of 612.36 grams. Most scholars recommend using the silver nisab when you hold mixed assets, because it benefits the poor by capturing more contributions. In practice, if you have a few tola of gold plus some savings, you're very likely above nisab.
Step 4: Apply 2.5%
Once you've confirmed you're above nisab and a lunar year has passed, the calculation is simply 2.5% of the gold's market value. Here's a worked example:
- Gold owned: 8 tola
- Today's rate: 350,000 per tola
- Market value: 8 × 350,000 = 2,800,000
- Zakat due: 2,800,000 × 2.5% = 70,000
You can pay this in cash, or by giving the equivalent value in gold.
Common questions
Do I pay zakat on jewellery I wear every day?
This is a genuine point of scholarly difference. The Hanafi school holds that all gold jewellery is zakatable regardless of use. Some other scholars exempt jewellery in regular personal use. If you follow the Hanafi position — common across Pakistan — your everyday jewellery counts. When in doubt, the more cautious (and more generous) approach is to include it.
What about the lunar year requirement?
Zakat is due on wealth you've held for one full lunar (Hijri) year. Many people simply pick a fixed date each year — Ramadan is popular — and calculate everything they own on that date. The lunar year is about 11 days shorter than the solar year, so a fixed Hijri date keeps you accurate.
Gold prices changed since I calculated — what rate do I use?
Use the rate on the day you actually pay or assess your zakat. Since you assess once a year on your chosen date, that day's rate is the one that counts.
Calculate it instantly
Rather than doing the arithmetic by hand, you can use our free Zakat Calculator to add your gold, silver, cash and business assets together, subtract any debts, and get the 2.5% figure automatically. For converting between tola, grams and ounces — and valuing your gold at today's rate — the Gold/Tola Converter does it in one step. Both run entirely in your browser, so your figures stay private.
This article is general information, not a religious ruling. Schools of thought differ on several details above. For your specific situation, please consult a qualified scholar.