Should jewelry be sold to pay zakat in the absence of other wealth?

In a Nutshell: Muslims who possess jewelry that reaches the nisab value but lack other wealth can fulfill their zakat obligation by either paying zakat on its current market value or selling a portion to cover the due amount. Table of Contents Introduction Evidences Distinction between Use and Ownership of Jewelry The Option of Selling vs. Paying Zakat on Market Value Considerations for Spouses and Shared Wealth Impact of Debt on Zakat Calculations FAQs Misconceptions (Should Jewelry Be Sold To Pay Zakat In The Absence Of Other Wealth?) Conclusion Introduction Zakat, one of the Five Pillars of Islam, is a mandatory act of worship that involves giving a specific portion of one's wealth to the deserving categories outlined in the Quran [Quran 9:60]. Fulfilling this obligation purifies one's wealth, strengthens social solidarity and expresses gratitude to Allah (swt) for His (swt) provisions. This answer explores the Islamic ruling on zakat when a Muslim's wealth primarily consists of jewelry that meets the nisab requirement. Evidences Quranic Verses on Zakat and Wealth: The Quran emphasizes the importance of zakat, urging believers to give charity from their possessions: "And establish prayer and give zakat and obey those in authority among you." (Quran 4:55) These verses establish the general obligation of zakat on wealth, including precious metals like gold and silver, which can be held in the form of jewelry. Hadiths on Zakat on Gold and Silver Jewelry: Several hadiths from the Prophet (pbuh) specifically mention zakat on gold and silver possessions. Aisha (ra) narrated that the Messenger of Allah (pbuh) said: "There is no zakat on gold or silver jewelry until it reaches two hundred dirhams [of silver]" (Sahih al-Bukhari) This hadith establishes the nisab, the minimum threshold of wealth at which zakat becomes obligatory on gold and silver. It applies to jewelry made from these precious metals as well. Scholarly Opinions on Fulfilling Zakat with Jewelry: Prominent Islamic scholars throughout history have concurred that jewelry reaching the nisab value is subject to zakat. Imam Abu Hanifah (rahimahullah) stated, Zakat is wajib [obligatory] on all gold and silver jewelry that meets the nisab, regardless of whether it is worn or stored. (Ibn Abidin, Radd al-Muhtar) This demonstrates the consensus among scholars that the primary function of the jewelry (adornment) does not negate the zakat obligation if it meets the nisab criteria. Zakat and Jewelry Distinction between Use and Ownership of Jewelry: While jewelry is often worn for adornment, its underlying value as a precious metal asset cannot be ignored for zakat purposes. Owning jewelry that reaches the nisab threshold brings it under the purview of zakat, even if the primary purpose is beautification. The Option of Selling vs. Paying Zakat on Market Value: Those who must pay zakat on their jewelry but lack other wealth have two options: Sell a Portion:A portion of the jewelry can be sold to obtain cash to fulfill the zakat obligation. This approach might be preferable if the jewelry is not frequently worn or has sentimental value. Pay Zakat on Market Value:The zakat can be calculated based on the current market value of the entire jewelry holding. This option is suitable if the jewelry is cherished and selling a part is undesirable. Considerations for Spouses and Shared Wealth: Islamic jurisprudence considers the independent ownership of spouses. If a spouse owns wealth that covers zakat on the other's jewelry, it's permissible (and often preferable) to use the spouse's wealth to fulfill the zakat obligation. This approach strengthens family bonds and demonstrates cooperation in fulfilling religious duties. Impact of Debt on Zakat Calculations Existing debts must be considered when calculating zakat. If the debts are due for immediate payment, they are subtracted from the total assets before calculating the zakat amount. However, if the debts have longer repayment schedules, they may not impact zakat calculations according to a scholarly opinion. FAQs Can I pay zakat on inherited jewelry?Yes, zakat is obligatory on inherited jewelry, provided it meets the nisab threshold, even if the original owner did not pay zakat on it. What if my spouse has wealth that can cover the zakat on my jewelry?It's permissible and recommended for your spouse to fulfill your zakat obligation on the jewelry using their wealth if they have the ability. How do I determine the market value of my jewelry for zakat purposes?A reputable jeweler can assess the current market value, considering the precious metals used and their weight, any gemstones or intricate designs. Misconceptions (Should Jewelry Be Sold To Pay Zakat In The Absence Of Other Wealth?) Zakat is only on cash and liquid assets. Zakat is applicable to various forms of wealth, including gold and silver holdings held in the form of jewelry, livestock, produce and business inventory. Jewelry for adornment is exempt from zakat. Any gold and silver jewelry owned above the nisab value is subject to zakat obligations, regardless of whether it's primarily intended for adornment. Selling jewelry might cause financial hardship. If selling jewelry leads to undue financial hardship, it's preferred to calculate and pay zakat based on the current market value of the jewelry holdings. The value of jewelry fluctuates, making zakat calculation difficult. Zakat should be calculated each year based on the current market value on the day it becomes due. Fluctuations in value are addressed each zakat cycle. Conclusion In accordance with Islamic principles, those who possess jewelry exceeding the nisab value but lack other forms of wealth can fulfill their zakat obligations by either selling a portion of their jewelry or paying zakat on its current market value. Understanding this ruling underscores zakat as a fundamental act of worship that encompasses various forms of wealth. It further emphasizes Islam's commitment to social justice in purifying and redistributing wealth for the betterment of society. References Ibn Abidin. Radd al-Muhtar. Sahih al-Bukhari