What is Zakat in Islam?
Zakat is the third pillar of Islam: 2.5% of your savings, gold, silver, business stock and most investments, paid once a year if you've held wealth above the nisab for a full lunar year. The Qur'an names eight groups of people zakat can go to (Surah At-Tawbah 9:60) — the poor, the destitute, debtors, stranded travellers, those whose hearts are being reconciled to faith, those administering zakat, captives seeking freedom, and those striving in Allah's way. Most British Muslims pay theirs in Ramadan because the reward is multiplied — not because it's required to be paid then.