Q. I have been informed that money and jewelry reserved for one’s children are not liable to zakat. Please confirm if this is true.
A. Ali
A. We cannot make such a blanket judgment. It depends on what money and how it is reserved. If the father is simply setting aside some of his money for the education or marriage of his children, then it is part of his money and he must continue to include it as part of his assets when he calculate his zakat liability every year. In other words, it is not exempt from zakat.
On the other hand, some people give their children such money or jewelry and keep them under his own control. Here we need to look at the father’s intention. If his intention is to give such items as a gift to his children, then they become the property of the child concerned. The father is responsible to pay the child’s zakat liability, out of the child’s own money, if the child owns more than the threshold of zakat. Women’s jewelry is normally exempt from zakat if it is kept for personal use.
From another point of view, why would anyone try to reduce his zakat liability? When we pay zakat, we are thanking God for what He has given us. He also says that when we are thankful, He will give us more. So paying zakat ensures the continuity of God’s favors. Everyone should be keen to obtain that.
