Answered by Shaykh Abu Usamah
I’m confused regarding a few things on Zakat. How does zakat work? Does one pay 2.5% of their monthly salary or is it 2.5% of the annual income? what about money that is spent on food and clothing etc. does that be taken into consideration for the payment of Zakat? and what is zakatul fitr, the one given in ramadan, is it a fard? where does the shafii madhab differ in zakat?
Zakahis paid once a year on the total zakatable assets possessed at the time. It is neither paid on the monthly salary nor the annual income.
The date that zakah has to be paid depends on when the person possessed the full nisab amount over which one year passes.
Hence on the day that you pay Zakah you evaluate all your zakatable assets ( i.e. gold, silver, trading stocks, money etc. ) that you have at that date and then pay zakah on the total at the rate of 2.5%.
Zakah al-Fitr or Sadaqa al-Fitr is wajib and must be given in addition to the annual zakah by those that possess nisab on the day of Id al-Fitr.
And Allah Ta`ala Knows Best