When is zakah compulsory?

This year is the first year I may have to pay zakah. When does it actually become due upon me? Am I allowed to pay it in installments?

بسم الله الرحمن الرحيم

الجواب حامدا ومصليا ومسلما

In principle, zakah is due upon those who possess zakatable assets (gold, silver, cash, or merchandise) equivalent to nisaab for a full lunar year. Nisaab is 612 grams of silver or it’s value. The year for zakah will start the day when the prescribed amount of wealth comes in one’s ownership. If the prescribed amount is in one’s ownership on the same day in the upcoming year, zakat will be due on all of the wealth he owns that day. Therefore, he will have to pay 2.5% of the entire value of his zakatable assets.

Regarding your second question, it is permissible to pay zakah in installments. However, it is better to pay it as soon as possible so that it does not happen that one passes away while zakah is still binding on him. 

والله اعلم

Allah Knows best.

Approved by: Mufti Husain Ahmad Madani