Charity in Ramadan is all about donating money to help the needy and to get rid of the impurities from our wealth. There are three main ways we give Zakat (a 2.5% annual alms on qualifying wealth), Zakat al-Fitr or Fitrana (a flat-rate donation required to eat Eid breakfast with others), and Sadaqah (unrestricted charity).
Because the reward for doing good in Ramadan is greatly increased compared to other times of the year, now is a great time to fund long-term projects that will provide a sustainable and positive impact, such as Ramadan food packs, clean water projects, and orphan care.
During the holy month of Ramadan, the focus of a Muslim is on fasting, prayer, and helping others. While many see the fasting as the central activity of the month, the true emphasis is on helping others and being empathetic. In Islam, there are no recommendations when it comes to giving to the poor, it is an expectation that all Muslims must follow. Not only does giving help the poor and needy, but it also helps to purify what remains of the giver’s wealth and raises their spiritual status.
There are many ways to give, how much to give, and where to give, which can be confusing. This comprehensive guide will break down everything you need to know to give efficiently and safely throughout the holy month.
To ensure that your gifts meet your religious obligations, it is helpful to understand the various forms of Islamic charitable giving. Each form of gift is used for a particular purpose and has its own rules.
Zakat al-Mal is also known as Zakat. All adult Muslims who have more than the minimum amount of money, known as the nisab, are required to give 2.5% of their excess wealth each year. The nisab is currently set at $1,760.00 USD and is adjusted annually according to the price of gold and silver. This payment must be made to eight specified groups of people including widows, orphans, the very poor, and the indebted. You can fulfill this obligation through our Zakat donation portal.
Zakat al-Fitr is also known as Fitrana and is a flat-rate payment made by all adults in a household prior to the Eid prayers. Each household pays a flat rate for themselves and any dependent family members. This payment serves two purposes: to spiritually cleanse yourself of any mistakes or shortcomings you may have committed during the month of fasting, and to ensure that the poor can join in the celebration of Eid al-Fitr along with the rest of the community.
Unlike Zakat, which is subject to strict regulations, Sadaqah is a purely voluntary act of charity that is free from restriction. You can give any amount, at any time, and to any person or group you feel deserves assistance. Sadaqah is based solely on compassion and the desire to please Allah (God).
A very effective way to perform Sadaqah is through Sadaqah Jariyah. This means making a donation to create a lasting source of good for generations to come. Examples of Sadaqah Jariyah would be funding a school, planting a fruit tree, or creating a well that will supply clean water to a village.
Islam is a religion that seeks to accommodate its followers. Therefore, if someone is unable to fast, then they are allowed to compensate for it through financial means.
For Muslims who are prevented from fasting because of an ongoing legitimate reason (e.g., chronic illness, old age, medical conditions etc.), they are required to compensate for the missed days of fasting. They are obligated to provide enough money to buy two meals per day for each day they missed for the duration of Ramadan. This is to feed another person in need, thus maintaining the spirit of fasting.
For Muslims who intentionally break a fast without a valid reason, they are required to pay a penalty in addition to feeding another person for each broken fast. If a Muslim is unable to fast for 60 consecutive days, then they are required to feed 60 people instead.
As the world continues to face rising inflation and economic challenges, the need for charitable contributions has never been greater. To maximize the impact of your donations, strategic giving is essential.
The last ten nights of Ramadan are considered the most sacred and contain the Night of Decree (Laylat al-Qadr). Any good deed or worship done during this night is counted as equivalent to performing that same action for over 1,000 months. By spreading out your donations evenly during the last ten nights, you will be sure to make the most of the multiplied blessings that occur during this time.
In addition to providing immediate food and aid, using some or all of your donations to fund long-term infrastructure development will create a lasting and sustainable impact. Examples of successful causes are supporting an orphan sponsorship program, which will provide the child with stable housing, quality education, and medical care, ultimately breaking the cycle of poverty.
Finding the right organization to send your donations to is just as important as sending your donations. Be certain that the organization is transparent and follows the guidelines of Islamic finance.
When choosing an organization, look for the organization’s registered status with the government. For example, donors in the United Kingdom can verify an organization’s charitable status through the Charity Commission for England and Wales. In addition, prioritize organizations that follow a 100% donation policy for Zakat and Sadaqah.
Organizations like the Kashmir Orphan Relief Trust (KORT) follow this model. KORT uses 100% of your Zakat/Sadaqah donation towards the needs of orphans, widows and disaster survivors in Pakistan and Azad Kashmir. KORT covers administrative and operational expenses separately so that your generosity keeps 100% of its purchasing power on the ground.
Is there a minimum amount of money for Zakat? The minimum threshold for Zakat, also known as the Nisab, changes daily depending on the global market value of gold and silver. If your total net worth equals or exceeds the weight of 87.48 grams of gold or 612.36 grams of silver, you are required to give 2.5% of that amount as Zakat.
Can I make my Zakat Al-Fitr online? Yes, you can easily pay your Fitrana online through recognized charitable organizations like KORT. It is recommended to make your Fitrana payment a few days before the end of Ramadan.
Who receives charitable funds? You can give your voluntary Sadaqah to anyone in need. However, Zakat must be specifically distributed to the eight categories identified in Islamic law, including the poor, the indebted, and orphans.
Does sponsoring an orphan qualify as Zakat? Yes, provided the sponsored orphan qualifies as being poor or needy. When you utilize your Zakat to sponsor a child via KORT, the funds cover their basic daily living needs.
What is the difference between Sadaqah and Lillah? Sadaqah refers to general voluntary giving. Lillah is a specific type of Sadaqah given solely for the purpose of pleasing God, often for the construction of mosques or hospitals.
