Purification of Wealth: Zakat
Wealth is viewed by Muslims as something entrusted to them by Allah. Muslims must manage this trust according to His directions as outlined in the Qur'an and the teachings of Prophet Muhammad (peace be upon him).
Islam instructs Muslims who have accumulated wealth and goods beyond a certain annual threshold of basic needs to give 2.5% of this excess income to the needy once a year.
Zakat is one aspect of Islamic social justice. Zakat stimulates the flow of money through the economy at all levels rather than allowing it to concentrate in the hands of the wealthy few.
Zakat is not a tax, but an obligatory act of worship, which will reap rewards in the Hereafter. It is also a social instrument that cleanses the wealthy from greed and reduces feelings of resentment among the poor.
Muslims are encouraged to give optional charity throughout the year. It may take many forms, such as money, food, clothing, or even a kind word or smile.