01What is Nisab?
Nisab is the minimum amount of wealth a Muslim must possess before Zakat becomes obligatory. Think of it as a financial floor: if your total zakatable assets are below this threshold, you owe nothing. If they meet or exceed it, you pay 2.5% on the entire zakatable amount, not just the portion above the line.
This is an important distinction. Nisab is a gateway, not a deductible. Either you cross it and owe Zakat on everything, or you do not cross it and owe nothing. There is no partial obligation.
Why Nisab Exists
Nisab prevents those who are themselves in need from being obligated to give. It ensures that only people with genuine surplus wealth contribute, and helps the genuinely poor qualify as recipients rather than donors.
02The Two Standards
The Prophet Muhammad (peace be upon him) established the Nisab at two specific amounts from the currencies of his time: 20 gold dinars or 200 silver dirhams.
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Gold Nisab
20 Gold Dinars
All Schools 85 grams
Al-Azhar standard — recognised by all four schools
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Silver Nisab
200 Silver Dirhams
All Schools 595 grams
The difference in gram weights between schools stems from different scholarly interpretations of the exact weight of the gold dinar and silver dirham. Scholars have not disagreed on the number of coins — 20 and 200 respectively — but on how much each coin weighed, and these interpretations have produced slightly different gram figures across traditions.
Contemporary scholars have given fatwas permitting the use of either the gold or the silver standard. Depending on which you apply, your Nisab threshold will be significantly higher (gold) or lower (silver). Both are valid positions with scholarly backing.
03Gold or Silver: Which Standard?
Because gold and silver prices have diverged dramatically since the Prophet's time (in his era, the two Nisab values were roughly equivalent in purchasing power), using gold or silver today produces very different thresholds. As of early 2026, the gold Nisab is approximately $14,000+ while the silver Nisab is approximately $1,500-1,800.
This means the choice of standard significantly affects who is obligated to pay:
| School | Preferred Standard | Reasoning |
|---|---|---|
| Hanafi | Silver (lower threshold) | More people pay Zakat, more funds reach the poor. Uses the lower of the two values to maximize benefit. |
| Maliki | Gold (higher threshold) | Gold better reflects modern purchasing power and stable wealth. |
| Shafi'i | Allows both | Individual choice, though many Shafi'i scholars lean toward gold. |
| Hanbali | Gold (higher threshold) | Similar reasoning to Maliki: practical relevance in modern contexts. |
Practical rule (Hanafi): If you only own gold, use the gold Nisab. If you have a mixture of assets (cash, gold, silver, investments), use the silver Nisab as the baseline, since it is the lower and more inclusive threshold.
04How Nisab is Calculated
The calculation is straightforward:
Gold Nisab = 85g × current gold price per gram
Silver Nisab = 595g × current silver price per gram
For example, if gold is trading at $166 per gram: 85 × $166 = $14,110 (gold Nisab). If silver is at $2.80 per gram: 595 × $2.80 = $1,666 (silver Nisab).
These values fluctuate daily with precious metals markets, which is why our Nisab dashboard provides live, auto-updating values across 37 currencies — including the GCC, major Muslim-majority economies, and MENA & Central Asian currencies. See also: why your local Nisab can move faster than global gold prices.
05The Seed Date
The first day your wealth reaches or exceeds the Nisab is called your seed date. This is the starting point of your personal Zakat year (Hawl). From this date, one full lunar year (354 days) must pass before Zakat becomes due.
If you cannot remember the exact date your wealth first reached Nisab, make your best estimate. If no estimate is possible, simply fix a date (many choose the start of Ramadan) and calculate consistently on that date every year.
The concept of the Hawl (lunar year) is explored in detail on our Understanding the Hawl page.
06Nisab for Other Types of Wealth
Agricultural Produce
Agricultural produce has its own Nisab, separate from gold and silver. The majority of scholars (following Imams Abu Yusuf, Muhammad, Malik, Shafi'i, and Ahmad) set this at 5 Wasaq, approximately 653 kg of grain or dates. However, Imam Abu Hanifa held that there is no minimum Nisab for agricultural Zakat (Ushr); it is payable on every amount of produce, regardless of quantity.
Livestock
Livestock has specific Nisab thresholds: camels become zakatable starting at 5 head, cattle at 30 head, and sheep/goats at 40 head. Each has its own payment schedule detailed in classical manuals.
Mining and Treasure (Rikaz)
Treasure found underground has no Nisab requirement and no Hawl. Zakat (at 20% rather than 2.5%) is due immediately upon discovery.
Next: The Hawl (Lunar Year) — When does your Zakat year start and end?