Is zakat due on funds designated for workers' rights, such as for vacations and end-of-service benefits?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
If the funds belong to private entities (such as companies), is obligatory on the entity that owns the money. As for the employee responsible for safeguarding it, he is not obligated to pay Zakat on it, unless he is delegated to do so as an agent for the owning entity. In that case, he pays a quarter of a tenth (2.5%) upon the completion of the hawl (one lunar year). However, if the funds belong to public money, there is no Zakat on them.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/85639
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 85639
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy