Inventory Zakat Calculator

Inventory zakat is a branch of trade zakat, computed at line-item granularity for warehouses or multi-SKU stores. This calculator lets you enter every item with its quantity and today's market value to roll up the zakatable base correctly.

Market value, not cost

Zakat in Islam is computed on the current market value of inventory, not its cost basis. The principle: zakat is owed on the actual money you hold today — i.e. what you would receive if you sold the stock now.

Formula

Zakat = (Σ (quantity × market price) − inventory liabilities) × 2.5%

Worked example

An online retailer holds three SKUs:

1. Phone A: 50 units × 2,000 SAR = 100,000 SAR
2. Watch B: 30 units × 800 SAR = 24,000 SAR
3. Headphone C: 200 units × 150 SAR = 30,000 SAR
4. Total inventory = 154,000 SAR
5. Inventory liabilities (supplier credit) = 20,000 SAR
6. Base = 154,000 − 20,000 = 134,000 SAR
7. Zakat = 134,000 × 2.5% = 3,350 SAR

Practical tips

• Do a full physical count on zakat day.
• Pull market prices from current sales listings, not purchase invoices.
• Exclude damaged or unsellable stock.
• Include goods in transit if title has already transferred.