FatwaPerlisZakat
Hukum Zakat Kumpulan Wang Simpanan Pekerja (KWSP)
Is zakat payable on EPF (KWSP) savings and when does it become obligatory?
Short answer
The Perlis State Fatwa Committee ruled that all EPF schemes are subject to zakat provided the contributor's original employment is halal, but money still held in the fund is not subject to zakat for either the contributor or the fund manager because ownership is not yet complete.
A reference, not a fatwa. First sentence of the summary below — read the original fatwa and consult your state authority before acting.
- Authority
- Perlis State Mufti Department
- Status
- Fatwa committee decision
- Series
- Himpunan Fatwa Negeri Perlis
- Topic
- Zakat
No evidence of gazettement in the source — this is not a gazetted fatwa.
Summary
The Perlis State Fatwa Committee ruled that all EPF schemes are subject to zakat provided the contributor's original employment is halal, but money still held in the fund is not subject to zakat for either the contributor or the fund manager because ownership is not yet complete. This means the zakat obligation applies once the money is fully owned by the contributor. Dividends from the Shariah savings account are also subject to zakat, while dividends from the conventional account must first be purified and the remainder is then subject to zakat. Muslims should place their savings in the Shariah account, and anyone who chose a non-compliant account despite having the option must repent and purify the dividends.
Written in our own words from the original fatwa — check the source before acting on it.
1) Semua jenis skim KWSP wajib ditunaikan zakat dengan syarat pekerjaan asal pencarum adalah halal.
Read the full fatwa on the Perlis website (new tab)
How to cite
Cite the original fatwa and its authority. Rujuk Fatwa is only where you found it.
Perlis State Mufti Department. “Hukum Zakat Kumpulan Wang Simpanan Pekerja (KWSP)”, date not stated. https://muftiperlis.gov.my/index.php/himpunan-fatwa-negeri/129-hukum-zakat-kumpulan-wang-simpanan-pekerja-kwsp. Found via Rujuk Fatwa: https://rujukfatwa.com/en/fatwa/zakat-on-epf-kwsp-savings/