Is Zakat due on money I lent someone?
A loan you gave a friend or family member is still your wealth if you expect it back — so it usually belongs in your Zakat.
Money you lent that you reasonably expect to be repaid is generally part of your Zakatable wealth and is included each year at 2.5%. Doubtful debts can be set aside and Zakat considered when they are recovered; genuinely bad debts are excluded. Classify each loan as strong, doubtful or bad.
Money owed to you is wealth.
When you lend money you reasonably expect to get back, it remains part of your wealth even though it is temporarily in someone else's hands. So a strong loan — one you are confident will be repaid — is generally included in your Zakat each year, at its value on your Zakat date.
Classify each debt owed to you.
- Strong.
Expected to be repaid — include it in your Zakat each year.
- Doubtful.
Uncertain — many set it aside and pay Zakat when it is actually recovered.
- Bad.
Effectively unrecoverable — excluded, unless and until it is unexpectedly repaid.
If a doubtful or bad debt is later repaid, ask how Zakat for the intervening years applies under the view you follow.
Age and note each loan.
List every loan you have given, with the amount, the date, and a brief note on how likely repayment is. That record keeps your yearly calculation consistent and defensible.
Questions people ask.
Do I pay Zakat on money I lent to a friend?+
If you reasonably expect it back, yes — a strong loan is part of your Zakatable wealth and is included each year at its value on your Zakat date.
What about a loan I might not get back?+
A doubtful debt can be set aside, with Zakat considered when it is actually recovered. A genuinely bad, unrecoverable debt is excluded unless it is later repaid.
Do I owe past Zakat if a bad debt is repaid?+
Possibly. If a doubtful or bad debt is unexpectedly recovered, ask a qualified scholar how Zakat for the intervening years applies under the view you follow.
Use the private calculator.
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