Friends, when paying zakat, do you distribute it yourself to the direct beneficiaries or through a trusted zakat institution? Actually, there are many benefits to paying zakat through an institution. However, let’s first discuss zakat in general.
Since the command to pay zakat was decreed by Allah to all Muslims, we can see its various benefits. This began during the time of the Prophet Muhammad SAW when he was preaching in Mecca. Zakat became one of the pillars of Islam that supported the Prophet’s entire mission of preaching, funding various Islamic development activities, saving Muslims from poverty, etc. It is not wrong to say that zakat is an obligation that must be fulfilled.
“Take zakat from their wealth, with which you purify and sanctify them” (QS: At-Taubah: 103).
Zakat, Social Issues, and Professional Management
Nowadays, zakat certainly plays a very important role, especially for community development and progress. The complexity of issues is growing and evolving, so that the management and processing of zakat is not as simple as it was in the early days of the Prophet Muhammad’s preaching or during the early days of Islamic rule.
The management of zakat today requires strategy, relevant knowledge, intelligence, and accuracy on the part of the amil and policy makers. Zakat is not just a charity event whose impact can only be felt for a day. Rather, zakat must be productive, eradicating poverty, helping the poor, and saving the community’s economy.
However, one thing we need to understand is that zakat management must always be adapted to current needs and issues. During the time of the Prophet Muhammad (PBUH), zakat was widely used to help widows, orphans, and to assist in the prophet’s migration and the development of Islamic preaching.
During the time of Umar Bin Abdul Azis, zakat also became a solution for poverty eradication. With zakat, within 2 years and 6 months, he succeeded in creating a system that was managed professionally, comprehensively, and universally. As a result, there were no poor people and the country became prosperous and prosperous.
If zakat is managed by people who are not trustworthy, unprofessional, unintelligent, uncreative, and careless, then zakat will not be a blessing for the universe. It will only become a form of worship that fulfills an obligation and has minimal benefits. For this reason, people with certain abilities are needed to organize zakat so that it can be more beneficial in the short and long term.
The Benefits of Giving Zakat Through Institutions
Although distributing zakat independently or directly to mustahik is not prohibited, there are many advantages to distributing it through institutions. In Indonesia alone, there are many zakat institutions that manage ZISWAF funds professionally and comprehensively. One of the most trustworthy, professional, and pioneering zakat movements in Indonesia is Dompet Dhuafa. There are many benefits that we can get if zakat is managed and distributed by an institution, rather than distributing it ourselves. Here are 11 benefits of having zakat funds professionally managed by an institution.
- In accordance with the Sunnah of the Prophet Muhammad SAW
During the Islamic era led directly by the Prophet Muhammad SAW, zakat was managed by a special baitul maal. There were amil who were tasked with going around and collecting zakat from Muslims at certain times. At that time, zakat was oriented towards the development of Islam in various regions, for people who had just converted to Islam, and also for the poor and needy. The baitul maal was directly supervised and managed by the Prophet Muhammad SAW and his companions and entrusted to trustworthy people. This zakat baitul maal did not operate carelessly. The Prophet Muhammad SAW was very strict in its implementation system. For this reason, the organized management of zakat through an institution has been practiced since the time of the Prophet Muhammad SAW. The aim is to ensure that the management is targeted appropriately, strictly supervised, and trustworthy in accordance with its function. - Zakat Institutions in Indonesia are Supervised by the Government and Many Other InstitutionsNot only taxes, in Indonesia, zakat institutions that operate are supervised by the Ministry of Religious Affairs. In addition, zakat institutions must generally have a license and provide transparent reports for public accountability. To pay zakat through an institution, make sure these legal requirements are met. We don’t need to worry when paying zakat through an institution as long as all these requirements are met.
- In accordance with Islamic law
In zakat institutions that are formally and legally established in Indonesia, there is usually a structure called the Sharia Supervisory Board. The Sharia Supervisory Board functions to oversee whether the operations, policies, and systems implemented in the institution are in accordance with Islamic law. As long as this exists in a zakat institution, we can be sure that the institution manages zakat in accordance with sharia. If we distribute and manage it ourselves, we cannot be sure of this. We must first consult with religious experts or scholars to decide. If we go through a zakat institution, it is certainly trustworthy and the sharia aspects are guaranteed to be correct. - Zakat on Target
A good and professional zakat institution usually has experts who are tasked with analyzing in advance what programs or assistance are appropriate for certain groups of zakat recipients. This is to ensure that the zakat is targeted and able to provide great benefits to them. For example, assistance for orphans can be in the form of school scholarships. School scholarships will enable them to pursue an education and, in the long term, equip them with the skills or abilities to earn money or find employment. This needs to be analyzed in advance, because not all orphans are entitled to receive zakat. Or, if the beneficiaries are poor people living in agricultural areas, assistance such as farming training, farming capital, agricultural land, fertilizer, and livestock will be more beneficial because it is appropriate to the context and the intended target. Assistance such as farming training, farming capital, agricultural land, fertilizers, and livestock will be more beneficial because it is in line with the context and objectives. - Short-Term and Long-Term Impact
Short-term assistance is usually referred to as charity or regular social assistance. It usually takes a specific and temporary form. For example, basic food assistance, food supplies, cash assistance, etc. However, zakat can also be more beneficial in the long term. This is usually analyzed in advance by zakat institutions regarding capital requirements and the impact that will be obtained. For example, Dompet Dhuafa provides capital assistance to livestock farmers in the foothills of Mount Merapi. The assistance is provided in the form of dairy cows that will be developed. In the short term, this assistance becomes capital for the beneficiaries to work with. In the long term, in about 5-6 years, the number of cows will increase, and their milk can be sold. Starting from this process, it will become a dairy farm and cooperative that brings prosperity to the surrounding community. - Honoring Mustahik or Beneficiaries
By delivering zakat through institutions, we can also honor mustahik or beneficiaries. They will become more empowered with productive programs and will have income in the future. They will not always be mustahik, but will become muzakki in the future. That is what zakat institutions want and aim for.Read also: Mustahik Are 8 People or Groups Entitled to Zakat - A More Massive Zakat Movement
There are many zakat institutions in Indonesia. The existence of these institutions certainly enlivens Islamic preaching and makes the zakat movement even more massive. By participating in zakat through institutions, we are at least contributing to the preaching and zakat movement. Zakat is something that not all Muslims understand. Therefore, education, understanding, and encouragement are needed so that zakat can be meaningful and more Muslims will practice it. In Indonesia alone, the potential for zakat is more than 2 trillion rupiah, but the amount collected is not as large as that. The rest is distributed individually and the results cannot be measured accurately. By distributing zakat together through institutions, this potential will certainly be further explored. - Zakat is More Integrated and Comprehensive in Productive ProgramsZakat managed by institutions will be more integrated with various other productive programs. Zakat institutions can also analyze which groups of beneficiaries or mustahik are eligible and should be prioritized for assistance. In addition, the productive zakat model can also be applied to build independence and have a high level of sustainability.
- Reducing Annual Taxes
This is explained in Law No. 23 of 2011 concerning zakat management. The legal basis is in articles 22 and 23 paragraphs 1-2. The rules in these articles are as follows: Article 22: Zakat paid by muzaki to BAZNAS or LAZ is deducted from taxable income. Article 23: Baznas or LAZ is required to provide proof of zakat payment to each muzaki (zakat giver), and this proof is used as a deduction from taxable income. Therefore, if you distribute your zakat through a national zakat institution, you will receive an additional annual tax deduction. Of course, this is subject to the condition that you have valid and legal proof from the institution concerned. The institution must also be a legitimate National Zakat Institution recognized by the state.Read also: List of Zakat Institutions in Indonesia - Easier and Simpler Through Online Zakat
Paying zakat through a zakat institution is now easier and faster. We no longer need to search for the office or visit the location directly, but can pay online or via bank transfer. Of course, this is still supported by regular reports, open campaigns on social media or online platforms, and communication that can be established through various media with the relevant zakat institution administrators. - Greater Meaning for Muzakki
There are many meaningful benefits we can get by channeling our zakat through zakat institutions. As muzakki, we can see that there are many beneficiaries who receive assistance. Even though the zakat we distribute may not be much, at least a little of our zakat becomes a brick in a solid building. The zakat that we distribute together with other muzakki to zakat institutions also benefits the mustahik. They can escape the trap of poverty, earn an income, and become more empowered.
Those are the 11 benefits of paying zakat through an institution, especially if you distribute zakat through various programs at Dompet Dhuafa. Hopefully, as Muslims, we can continue to practice zakat and help others to become more empowered and escape poverty. Don’t forget to pay your zakat so that you can live peacefully and be blessed.