Fatwa #2146616 July 2012Pakistan
1. Are pension schemes permissible? 2. How to give Zakaat on this money? 3. Question on Zakaat on investment.
Question
1. Are pension schemes/funds set by the company permissible?
2. How do you take out Zakaat on this money? You only get this money in your possession once you are over 63 years?
3. A person had an investment, and required the money to be released. He has already kept some money aside for Zakaat (including this investment). However he was told that he could not get this money as yet. Does he still have to pay Zakaat on this money which is not in his possession?
JazakAllah.
Answer
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
1/2) We cannot issue a ruling on pension schemes/funds without studying the contract of the pension fund/scheme in reference.
3) It is obligatory to pay Zakaat (alms) on the invested money in reference.[1]
And Allah Ta’āla Knows Best
Moulana Ismail Desai,
Student Darul Iftaa
Durban, South Africa
Checked and Approved by,
Mufti Ebrahim Desai.