Halal Wealth & Compounding Calculator
Calculate how your initial capital and monthly Halal savings grow over time when reinvested in Shariah-compliant avenues (Islamic Mutual Funds, Meezan/Al-Ameen Funds, REITs, or Business Mudarabah).
Investment Parameters
Maturity Summary
After full Shariah profit reinvestment
| Year | Total Contributed | Yearly Profit | Zakat Deducted | Closing Balance |
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Frequently Asked Shariah & Financial Questions
Is compounding of profits permissible in Islamic Finance? +
Yes, reinvesting realized Halal profits from Shariah-compliant mutual funds, Sukuk, physical gold/trade inventory, or rental REITs back into the principal capital is 100% Halal. What is prohibited in Islam is Riba (compounding interest on a loan or debt). Profit generated from risk-sharing asset growth can be compounded indefinitely.
Why does this calculator include an Auto 2.5% Zakat Deduction toggle? +
Conventional compound calculators ignore annual Zakat obligations. When investing in liquid Islamic equity or mutual funds over 10–20 years, 2.5% Zakat is due annually if the portfolio exceeds the Silver Nisab. Enabling our Zakat toggle shows both your exact net post-Zakat wealth and the total Sadaqah/Zakat you will contribute to society over your investment lifetime.