Zakat is the mandatory third pillar of Islam, designed for charity and wealth purification. The rule dictates that individuals donate a specified portion, generally 2.5% of their total accumulated wealth, once it exceeds the Nisab threshold. This annual donation is essential for fostering social welfare and economic equilibrium.
Zakat is for the poor and for the needy and for those employed to collect [Zakat] and for bringing hearts together [for Islam] and for freeing captives [or slaves] and for those in debt and for the cause of Allah and for the [stranded] traveller – an obligation [imposed] by Allah. And Allah is Knowing and Wise.” (Quran 9:60). The above verse singles out eight types of people deemed eligible to receive Zakat. They have been identified as:
Al-Fuqara’ (The poor)
Al-Masakin (The needy)
Al-Amilina Alayha (Administrators of Zakat)
Al-Mu’allafah Qulubuhum (Reconciliation of Hearts)
Fir-Riqab (Those in Bondage)
Al-Gharimin (Those in Debt)
Fī-Sabilillah (In the Cause of Allah)
Ibn al-Sabil (The Wayfarer)
Sadaqah will distribute Zakat to the first two categories only (the poor and the needy). Additionally, we will only distribute to Muslim service users who have completed the Sadaqah Zakat Application and declared all income and expenses, assets, and debts. This is to demonstrate that the person's circumstances mean they currently cannot, or will soon not be able to, finance their basic necessities (food, clothing, and accommodation).