This chapter at the start of Islamic Wealth Management Report should be considered as a note of caution and advice from a renowned Shari’a scholar, Dr Muhammad Qaseem, who contributed it as a reminder for the wealthy and their wealth managers. The chapter makes little distinction between earning livelihood and wealth accumulation, as the principles of wealth accumulation and earning livelihood remain by and large the same. The readers will find this chapter useful before proceeding to the other chapters that discuss technical aspects of Islamic wealth management.
Shari’a is the name of the entire body of the knowledge based on and derived from the Holy Quran and the traditions of Prophet Muhammad (peace be upon him). Being the only complete code of life, it has clear instructions and teachings on every aspect of life. These teachings are different from man-made laws and philosophies because they are from the Creator of mankind who knows best what is good for the entire humanity, without any discrimination on the basis of race or colour, and loves to guide them to the path of prosperity and submission to His teachings, which are valid for all times to come.
It is noteworthy that in the backdrop of the recent financial crises in the West and the failure of the prevailing economic system to address the root causes of these catastrophic events, a lot of people including non-Muslims have shown keen interest in learning about Islamic economic and financial systems to see if they could provide the required solutions. In this context, this chapter explains the Shari’a perspective on wealth, its acquisition and management, comparing the same with the Western economic system’s concepts in certain areas, and attempts to address some of the misconceptions in this regard.
Shari’a Perspective on Wealth
People’s deeds and actions are, consciously or unconsciously, based on and inspired by their faith and world-view, which serve as the guiding principles for them in their lives. Muslims are no exceptions as all the teachings of their faith are rooted in the belief that Allah is the Creator of the entire universe; He has created everything with a purpose and He will hold mankind acountable on the Day of Judgment for their beliefs, sayings and actions and reward or punish them accordingly. This is Because in this grand scheme of Allah Almighty, man has been given a unique position as the vicegerent of Allah Almighty on the earth. Therefore, as Allah’s servant and agent, he is required to fully submit to Him and comply with all His orders. To enable man to accomplish this noble mission and get the desired reward, Allah Almighty has equipped him with some necessary faculties and skills as well as certain instincts.
One of those instincts is the ingrained love of wealth, which is absolutely necessary for man’s survival for
the purpose for which he has been created and as the driving force that pushes him to earn his livelihood
and thus, ensures continuity of the human race.
The following verses of the Holy Quran refer to this human love for wealth:
And they (people) love wealth greatly. (Suratul Al Fajr)
a. And verily he (man) is in great love of wealth.(Suratul Adiyat)
b. And they (people) love wealth greatly.
(Suratul al Fajr)
This instinct, like any other human instinct, cannot be left unbridled. Rather, to achieve its purpose- for which Allah has bestowed it on humanity- and to ensure that it does not lead to chaos and anarchy, nor does it lead mankind away from its real destiny, man’s love for wealth has to be properly nurtured, polished, controlled, and channelized in the right direction. To that end, Shari’a has laid down elaborate rules and given comprehensive teachings, whereby Muslims are required to subject this love to the love of Allah and His Messenger and use their wealth as a tool to achieve a greater cause, and not as something to be sought merely for itself. Islam has made zakat an obligation and spending in the way of Allah under various conditions a Shari’a requirement. It has also encouraged generosity and spending for the welfare of people as a great act that could attain Allah’s pleasure and open the doors of heavens for the doer. All these teachings undoubtedly polish this instinct and remove the ills that could arise from the unbridled love of wealth to the extent that it would lead one away from the path of Allah.
Knowledge of the reality of wealth and its status in man’s life will undoubtedly help him in his efforts to rein in his unlimited love for it. To that end, Islam has explained in very unambiguous terms the nature of wealth and its relationship with man, giving comprehensive guidance about what he should do and what he should refrain from with regard to his property. It has made it clear that man is not the absolute and real owner of whatever property he apparently owns; rather he has been given his share of the wealth in trust by Allah (as amana), which obviously carries with it certain responsibilities. Consequently, man should regard wealth as a tool to achieve Allah’s pleasure by using the same in line with His commands and for the purpose for which He has created it.
To that end, Islam has given its followers detailed instructions on how they should earn their wealth and how they should spend the same.
And verily he (man) is in great love of wealth. (Suratul Adiyat)
With the firm belief of responsibility about the wealth as a God-given trust and not a luxury to be enjoyed as per the wishes of its holder, no one would strive to acquire unlimited wealth beyond his capacity. To the contrary, they would confine themselves to only that much wealth which they believe they can handle (by discharging the related responsibilities to get the promised rewards in this world and the Hereafter,) as no sane person would like to burden himself with responsibilities that outweigh the corresponding benefits. Also, since the real objective is to lead a life of submission and obedience to Allah, if that objective is achieved with little wealth that is pure and blessed, one should consider himself triumphant and be grateful to his Lord. To the contrary, if someone has a big fortune but he is struggling with the miseries and worries that usually accompany enormous wealth and lead man away from his real destination, then he is definitely on the losing side. Islam has tried to drive home this meaning that too much wealth may create a class of arrogant snobs who take to the path of disobedience of Allah and rebellion against the moral values.
From this discussion, it becomes quite obvious that Shari’a regards that wealth which is gained lawfully and spent in line with the teachings of Allah for one’s own needs and for the welfare of the humanity at large as a divine blessing. The Prophet (peace be upon him) is reported to have said, “One shouldn’t envy another person for anything that he has been given except for two blessings: one is the blessing of the knowledge of Quran where the person recites it day and night, and the other is the blessing of wealth where the person spends it continuously in the way of Allah”. This hadith also refutes a very common misconception with regards to seeking wealth as an act incompatible with piety and virtuousness or something that Shari’a looks down upon. Had this been the case, Allah would have saved His pious servants from worldly wealth, but to the contrary, the Holy Quran tells us that the Prophet Sulaiman, one of the great messengers of Allah, was given immense wealth, which he used in the way of Allah. Similarly, it has been mentioned in the Holy Quran that the broken wall repaired by the Prophet Khidzer belonged to the orphans of a pious person who had hidden, before his death, a treasure for his children underneath it. It is also a well-known fact that some of the great companions of the Prophet Muhammad (peace be upon him), like Uthman Bin Affan and Abdul Rahman Bin Auf, were extremely wealthy; to the extent that the latter almost singlehandedly equipped half of the Muslim army for the battle of Tabuk. This reality has been summed up in a hadith which states that pure wealth in the hands of a pious servant of Allah is a great blessing.
Wealth may also be a necessary tool for protection of one’s faith, honour and values. The Prophet (peace be upon him) is reported to have said that there is hardly any gap between poverty and kufr (disbelief), which means that the abject poverty of the destitute and the down-trodden may be exploited to change their faith, as they may be tempted with worldly benefits by those who want them to renounce their religion. It is in such a context that the Prophet (peace be upon him) has said that a day would come where people would not benefit but from their wealth (as people would stop helping their brethren in need on humanitarian grounds).
On the other hand, if wealth is gained through Shari’a repugnant means, or spent in violation of Allah’s commands, in any avenues and ways that have been prohibited by Shari’a , then it is a curse whose owner shall be punished in this world and in the Hereafter. Allah told His Prophet (peace be upon him) that he should not be overawed by the vast fortunes and numerous children that the hypocrites were enjoying as He wanted to punish them with the same in this world; so this seemingly great blessing will turn into a source of punishment and misery. Moreover, in a hadith, the Prophet (peace be upon him) curses those who worship dirham and dinar, which means that they are not utilizing it as a resource should be used – for their own benefit and for the welfare of others – as commanded by their Lord, rather they treat it as their master. In another hadith, it has been reported that one’s property, for which zakat is not paid, would turn into a venomous viper on the day of judgment, biting its owner repeatedly, and telling him that I am your property and I am your treasure.
In the light of these teachings, one may conclude that blessed wealth would help its owner get closer to his Lord, while an ill-gotten fortune would be a headache and a source of misery and pain for its holder, leading him away from the remembrance of Allah and submission to His orders. In other words, when wealth acquisition becomes the prime objective of man’s life, turning it into the ultimate goal rather than a tool to discharge his God-given duty, it turns the holder into a cursed slave of his wealth, leading him away from the servitude to his Lord.
Shari’a Principles for Wealth Management
Shari’a teachings on acquisition and management of wealth are all-embracing and comprehensive. Islam guides its followers not only on how wealth should be acquired, but also on how it should be protected and managed, and how it should be spent and disposed off in a manner that would comply with the commands of Allah.
Shari’a Teachings on Wealth Generation and Acquisition
A Shari’a maxim states that if something is a prerequisite for an obligation it becomes an obligation itself. Accordingly, since it is an obligation to feed yourself and those who are dependent on you, and to protect their faith and honour, then it follows that striving to earn what is sufficient for a Shari’a-compliant and honourable life is also an obligation. Similarly, another Shari’a maxim states that what leads to an impermissible act becomes impermissible itself. Therefore, if someone has no source of income, it would be impermissible for him to sit idle and abstain from trying to earn his livelihood in a Shari’a-compliant way, as such inaction would most probably compel him and his dependents to resort to Shari’a repugnant acts such as begging, theft etc. in order to fulfil their basic needs of food, clothing, shelter etc. Based on these two maxims, it can be concluded that Shari’a makes it obligatory upon the Muslims to acquire at least that much wealth which is necessary for the fulfilment of their duties and responsibilities as servants of Allah, and which protects them from committing any haram (impermissible) act. This meaning has been highlighted in a famous hadith (although it has not attained the highest degree of authenticity, but it is acceptable) which states that ‘earning one’s livelihood through halal is an obligation after fulfilment of the obligatory acts of worship.’
We all know that certain Islamic acts of worship such as zakat, hajj and jihad cannot be carried out without adequate financial resources. Therefore, for a Muslim to be able to worship his Lord in a befitting manner, it is imperative to earn enough not only to fulfill his own needs but to also be able to serve the cause of Shari’a in those acts of worship that require spending.
This is why we find innumerous Shari’a teachings encouraging Muslims to engage in ways and means of creation and acquisition of wealth. The Prophet (peace be upon him) is reported to have stated that a truthful trader shall be raised with the prophets on the Day of Judgment, which signifies the status of their profession in the eyes of Islam when they comply with its teachings. Similarly, the Prophet (peace be upon him) has emphasized the significance of physical work undertaken to earn one’s livelihood, rather than being an end user and depending on others for his basic needs. He has stated, “Nobody has ever eaten a better food than what he earns through his own work, and the Prophet of Allah Dawood used to eat from what he gained with his own hands.” The Holy Quran tells us that the Prophet Musa worked for the Prophet Shoaib for ten years against an agreed compensation.
The Prophet (peace be upon him) has also encouraged his followers not to leave sources of production idle. He is reported to have said that whosoever can cultivate his land should do so, and those who cannot, would better give their land to their brethren for cultivation. This advice clearly shows Islam’s emphasis on proper utilization of the available resources, which should serve as a great lesson for any nation or community that aims to achieve economic self-reliance and a welfare society.
The merits of the Islamic financial model, which is asset-based and geared towards equity participation vis-a-vis debt financing could be appreciated in a better way after an in-depth analysis of the factors responsible for the 2008 global financial crisis and the recent fiasco of Greece’s debt restructuring.
Some of the important Shari’a rules and principles that define the perimeters of Shari’a-compliant wealth acquisition are as follows:
a. Trading is lawful, provided the minimum Shari’a compliance requirements such as consent of the parties, their knowledge of the counter-values, their capability to deliver the same, and payment of both or at least one of the counter-values on the spot etc. is ensured.
b. Shari’a has prohibited excessive levels of uncertainty which convert a transaction into an act of speculation and gambling instead of a genuine financial transaction; such as when both the counter-values are deferred or when someone sells an asset that he does not own and possess.
c. All financial contracts which do not fulfill one or more of the essential terms and conditions for Shari’a compliance, or stipulate any terms that are in conflict with the nature of those contracts, have been declared void. Shari’a also emphasizes that these contracts should be balanced in terms of stipulating the rights and obligations of the contracting parties.
d. Prohibition of riba, which is primarily the interest paid against loans in lieu of the time for deferred payment, is a cornerstone of Shari’a teachings to stop exploitation and profiting without taking the relevant risk, as the Prophet (peace be upon him) has prohibited earning profit from a transaction if its risks have not been borne.
e. According to Shari’a principles, extending a loan to a person in need is an act of charity, which should be done at no cost to the borrower; therefore any premium charged on a loan is prohibited as it is a form of riba. It is because of this charitable nature of loan and the impermissibility of charging any premiums over it that it cannot be used as tool of financing. Islam, on the other hand, has prescribed a myriad of contracts and products for financing purposes, with each contract having special features and unique characteristics suitable for a special area of commercial activity in line with the purpose for which the finances are raised. These financial products aim to direct capital towards real economy with more focus on equity financing rather than debt-financing, which is usually obtained for non-developmental expenditure. The merits of the Islamic financial model, which is asset-based and geared towards equity participation vis-a-vis debt financing could be appreciated in a better way after an in-depth analysis of the factors responsible for the 2008 global financial crisis and the recent fiasco of Greece’s debt restructuring. Implementation of the Islamic finance model will stop, to a great extent, the unnecessary disputes, grudges and the sense of deprivation that the borrowers start developing against the creditors after enjoying the debt. The example of Greece’s reaction against Europe and other creditors is an eye-opener.
f. Islam also emphasizes the right of people to equal opportunity and a level playing field when it comes to economic activities. The Holy Quran has made it clear that the wisdom behind some of its financial teachings is to ensure that the flow of capital should not be confined to the rich only. This is because in such a case, those rich or super-rich groups would try to strengthen their grip on the sources of capital by excluding others and erecting barriers to stop their entry, while Islamic teachings aim at financial inclusion. Therefore, it is the duty of the state to ensure that capital is made available to all those who contribute to the real economic activity. It should also make sure that no discrimination is allowed nor is any undue advantage provided to one party at the expense of others. All forms of monopoly, cartelization and any other acts that aim to eliminate healthy competition and force small players out of the market have to be eradicated. This is because all these unjust acts are not only detrimental to the interests of the aggrieved parties but are also damaging to the interest of the public at large, and Shari’a does not allow any act that is injurious and harmful to others.
g. Islam also encourages direct transactions between the producers and the consumers in
a bid to ensure provision of the basic needs at affordable prices. That is why it has prohibited the intervention of intermediaries (the Prophet
(peace be upon him) prohibited city inhabitants to sell the goods of the desert dwellers in the city) who do not add any value; rather they inflate the prices which have to be paid eventually either by the consumers or skimmed from the margins of the producers. In both cases, healthy economic activity is adversely affected because the prices skyrocket or producers who are working on thin margins in order to deliver cheaper goods to the consumers, are forced out of the market.
Compliance with these rules of Shari’a on acquisition of wealth could be ensured easily if the following basic concepts and moral values of Shari’a are kept in mind:
i. That wealth is an amana and trust from Allah, and hence must be acquired and spent as per His commands.
ii. That a Muslim should not be greedy in seeking wealth as he would be held responsible for any transgression or breach of the limits. Rather, he should be content with his share in the provisions of Allah and should make concerted efforts to discharge his responsibilities with regard to the same.
iii. That quality and purity of wealth matter more than its quantity. With baraka (blessing from Allah), meagre resources may enable one to achieve, due to piety in acquisition and spending of those funds, such great excellence and huge rewards that may not have been possible for him with huge resources that are not blessed in the eyes of Allah.
Shari’a has made acquisition of the necessary level of wealth an obligation, and allowed its followers to gain more through Shari’a-compliant means; however, this should not degenerate into a blind pursuit of money. Rather, it has to be carried out within the legal and moral boundaries of Shari’a to avoid chaos, anarchy, and even oppression that could result from unchecked pursuit of unlimited wealth. If all the rules are complied with and it is ensured that no form of exploitation has been committed, nor have any limits been crossed or rights usurped, only then, the acquired wealth shall serve its real objective.
Shari’a Teachings on Protection of Wealth
Wealth as a trust from Allah must be protected. To that end, Islam has made protection of Shari’a-compliant wealth one of the main five primary objectives that Shari’a teachings aim to achieve, namely: protection of faith, reason, life, honour and wealth. Shari’a has also prescribed tough punishments for thieves and those who usurp others’ properties. In the same context, fighting against burglary or highway robbery has been equated with jihad, where the Prophet has declared a person killed in protecting his property as a martyr. Shari’a has also declared the act of usurping anybody’s property or taking his money without his permission or an established right as haram. One can sell to or buy something from another party only through a fair bargain, or take his money against a delivered service, or enjoy a gift given by a person with his free will and discretion. Bribery, extortion, cheating, excessive profiteering above the market rate by duping the buyers, and such other ways of devouring others’ property without a rightful claim has been prohibited by Shari’a.
Wealth as a trust from Allah must be protected. To that end, Islam has made protection of Shari’a-compliant wealth one of the main five primary objectives that Shari’a teachings aim to achieve, namely: protection of faith, reason, life, honour and wealth.
Similarly, it is unlawful to waste one’s money by spending it excessively for no personal benefit or welfare of the society. The Holy Quran has called such spendthrifts brethren of Satan and Shari’a has given instructions about how to deal with people whose financial decisions are detrimental to their interests. In the light of these teachings, if it is established in a Shari’a court that someone is not fully mature to handle his financial affairs or he is foolishly extravagant and bent upon wasting and destroying his wealth, the judge will bar him from any kind of disposal of his property and appoint an administrator who would take care of his property on his behalf.
Shari’a also requires those who are taking financial decisions on behalf of others, such as guardians on behalf of minors or agents on behalf of their principals, to take only such decisions which are prime facie in the favour of the owners and in line with the fiduciary responsibility of the agents. Any decisions by such agents which are clearly detrimental to the interests of the principals; such as giving loans or gifts from the assets of the children by their parents, or sale of a principal’s asset by his agent at lower than market price by a customarily unacceptable margin, is regarded as a breach of trust and an act of misconduct, with the perpetrator being held responsible for the loss.
According to Islam, if a crime goes unpunished in this world for any reason such as non-detection by the law enforcing agency or due to rampant bribery in the system or malfunctioning of the judicial system for any other reason, the culprit shall not escape the wrath of Allah in this world and His punishment on the Day of Judgement. This serves as a strong deterrence against illegal money grabbing and an additional layer of protection for people’s property in an Islamic society.
Shari’a Teachings on Growth of Wealth by Trading and Investment
If someone has a big fortune, but does not engage in prudent investment or trading, his wealth will be wiped out one day. The need to spend from the same for one’s personal expenses and for Shari’a dictated financial obligations such as payment of zakat etc. will eat away that fortune if proper measures are not taken for its growth. Therefore, it is safe to say that by stipulating these financial obligations, Islam has indirectly encouraged its followers to deploy their wealth in prudent investments. The aim of such investments should be to contribute to creation of economic activity and to generate halal profit in order to protect the capital from being eroded by expenditure and devaluation in this age of fiat money.
We have already mentioned how Islam prompts its followers to work for acquisition of wealth within the Shari’a limits and for proper utilization of the resources to cater to the needs of mankind. The Prophet’s (peace be upon him) glad tidings for truthful traders and his praise for physical and manual work highlight Islam’s focus on the creation of wealth and services, ensuring that the Muslim community can produce the means of its livelihood, rather than depending on others for its basic needs. The Prophet (peace be upon him) has encouraged his followers to either cultivate their land, or lend it to someone else who can do that. Also, gold and silver, if not put to use has been taxed through zakat, which implies that they should be used for economic growth rather than for hoarding.
Islam condemns hoarding of money with no intention to use the same. In the Holy Quran, one attribute of a condemned character is that he amasses money and keeps counting it. The inference here is that he is a mean and tightfisted person, because he does not utilize his wealth for the purpose for which Allah has created it, which is to either spend it for his own benefit or the welfare of the society or invest it in order to generate healthy economic activity.
It is pertinent to note that all the rules and principles of Shari’a for financial contracts – as highlighted above under the heading of acquisition of wealth – are also applicable in case of trade and investment for growth of wealth.
Shari’a Principles on Consumption of Wealth
This is one of the most neglected areas of wealth management, as people generally tend to believe that the owner of an asset has the absolute right to use or abuse it, or even destroy it if he so desires. Man-made laws may have given man such a free rein, but to the contrary, Islam by stating that wealth is a trust in the hands of its holder has eradicated the root cause of such an attitude and, therefore, he has no right to abuse or destroy it. Rather, he is under obligation to act in accordance with the commands of his Lord who has bestowed this trust upon him. In a hadith, it has been stated that a person’s accountability process would not be finished on the day of judgment until he is questioned about how and wherefrom he has gained his wealth and how and in what ways he has spent the same. This must make anybody who desires to gain unlimited wealth think twice before making any efforts to attain such wealth that he does not need nor does he have the capability to utilize the same as per the commands of his Lord to save himself.
Further, Islam has made it clear that one’s real property is what he uses for himself, or spends in the way of Allah and gets its reward in the Hereafter because that is the wealth that he will benefit from. Anything that he leaves behind goes into the hands of others. The Prophet (peace be upon him) is reported to have said, “A person claims that this is his property and that is his asset, but the fact of the matter is that his property is what he has eaten and finished or the clothes that has worn till they have become torn and tattered, or what he has given in the way of Allah and retained its reward. The rest he will leave one day to other people”. In fact, by spending in the way of Allah the wealth is really protected as it secures the same from all usurpers and prying eyes, saving it for a day in which one would be in dire need of every single penny of it.
This hadith highlights the fact that money is a tool, and if it is not put to use for the purpose for which it has been created, it is useless. That is why Islam has condemned hoarding money, as it is nothing but greed and miserliness which is a characteristic not worthy of any sane person. It is like a person who hoards coal for the winter, but does not use the same during the biting cold of the winter, or someone who is always carrying a big load of books on his back without reading them to gain the wisdom that they may impart.
The Holy Quran has given explicit instructions on moderation in expending. This is the best wealth management policy as one will be able to manage their wealth only when they learn the art of managing their expenses.
With regard to consumption, Islam has instructed its followers to tread the middle way; hence, the golden rule is to avoid both the extremes of being tight-fisted as a niggard or wastefully extravagant. The Holy Quran has given explicit instructions on moderation in expending. This is the best wealth management policy as one will be able to manage their wealth only when they learn the art of managing their expenses. It becomes possible when one keeps their requirements limited and stops desiring more and more of the luxuries of life which will not only ruin them financially but will also turn them into a lazy and less productive person.
Consumerism – as is in vogue in the West today – cannot flourish without duping people through mass media that they need all those unnecessary luxury (and even harmful) goods and services that they are better off without in reality. This runs contrary to the teachings of Islam not only because it promotes extravagance but also because it is mostly deceitful. Reining in greed for more, sharing one’s extra resources with the have-nots (and not dumping or burning them as is the case today in the capitalist world) and the sense of responsibility to avoid wasting the precious resources created by Allah for the entire humanity, have to be inculcated in mankind if we seriously want to save humanity from financial crises and wars which are mostly staged and fought for commercial reasons. The journey to global peace shall become less bumpy if financial justice and equitable distribution of the resources are ensured.
Wasting one’s money by spending in unlawful activities is undoubtedly haram, but exceeding the required limits even in lawful matters is considered to be extravagance and as such impermissible. In the light of Shari’a principles, one should keep his expenses within the limits of what is required to lead a reasonably comfortable life, allowing him to concentrate
on Allah’s worship and His obedience. Any expenses beyond that would fall under the category of luxury which one should generally abstain from; however, he may allow himself to enjoy the same sometime provided he has Shari’a-compliant resources for it (not through borrowing as promoted through consumerism in the West), but should make sure that he does not get accustomed to a luxurious lifestyle. He must also ensure that while enjoying such luxuries, his intention is not to show off or indulge in any kind of snobbery, which are obviously prohibited in Shari’a.
As per Shari’a principles, even if someone wants to spend for a noble and charitable cause, one is not encouraged, rather not allowed to commit his entire fortune (the ruling differs from person to person based on the level of his training of self, and a few cases reported in the history of Islam such as the story of Abu Bakr Al-Siddique are exceptions for those who are fully prepared for the consequences and as such not applicable to everybody) as that may lead him later to seek financial help from others or even beg people, which is not permissible in Shari’a. Hence, any act that has a big probability of leading to such a situation would also not be permissible. It has been reported on authority that the companion Ka’b was advised by the Prophet (peace be upon him) to keep a part of his property when he offered to spend his entire fortune in the way of Allah.
With regard to spending, another golden rule is that one should comply with the spending priorities set by Shari’a, by spending first on himself, his immediate family and dependants within the permissible limits and in a moderate way, and then paying zakat and fulfilling his other financial obligations. Thereafter, he should spend a share of his wealth on his other relatives, as Shari’a gives them a right on his wealth.
A Muslim should also set aside a portion of his wealth for the poor, the destitute and the down-trodden as they also have a right to his wealth. Only after he is sure that he has carried out all his financial obligations, it is recommended that he should seek to spend in all other available avenues of charitable causes. This is because it would be sheer stupidity to ignore one’s financial obligations and pretend to spend for philanthropic reasons.
Islam has devised waqf (trust) as a model for durable and sustainable charitable institutions, which would ensure that the trust creator would get the reward for as long as the trust/waqf continues generating income and benefiting the society after he passes away. It is important to note that a large number of Islamic institutions for the welfare of society in the fields of education, health and general care for the down-trodden owe their existence, throughout Islamic history, to the institution of waqf.
It is also important that one should plan for his future when he would not be able to work and earn for any reason. Therefore, he should save a portion of his wealth as a precautionary measure for the rainy days so that he and/or his dependents are not forced to seek assistance from others. The story of the pious person who had hidden a treasure before his death for his children in the Holy Quran highlights the significance of such savings in the eyes of Shari’a .
To complement the Shari’a teachings on how to use wealth, the Holy Quran has given elaborate instructions about how to distribute the assets left behind by a deceased amongst his heirs. One of the apparent objectives behind those elaborate instructions is to ensure that the accumulated wealth over his life period is distributed amongst those who usually play a direct or indirect role in its acquisition. Although Shari’a gives the owner the right to gift his wealth to any person in a Shari’a-compliant manner during his life (but before he starts suffering from an illness that would prove to be his death warrant), it does not allow him to write a will in order to leave his assets after his death to unrelated people or even animals and deprive his own children and relatives from their due rights. With its explicit rules on distribution of the property of the deceased against his will, Shari’a reaffirms the concept of wealth as a trust from Allah Almighty and not the absolute asset of the holder.
Conclusion
In the light of the points discussed in this chapter, it is absolutely clear that Shari’a regards wealth as a trust from Allah to its holder who would be held accountable on how he earns and how he spends the same. As such, it is a tool that can be beneficial if it is in the hands of the pious servants of Allah who comply with His orders in using the same, but it would turn into a source of misery and a cause for rebellion against His commands if it is in the hands of the wicked and evil-doers. To know its reality and ensure its proper use, Islam has given detailed instructions on its acquisition, protection and consumption, leaving nothing to man’s own wishes and whims. Compliance with these rules shall not only guarantee his success, as well as peace and tranquillity in this world, but will also ensure that he gets the promised rewards in the Hereafter.
