The zakah on money that increases and decreases

Question:
The questioner says: Honorable Shaykh, I have a sum of money that increases and decreases, and my monthly salary is deposited into it. How is its zakah calculated?

Answer:
All employees are in this situation; they receive a monthly income and save from it. If they were to consider each amount as having its own lunar year of possession, that would be difficult for them. The best and easiest approach, and the one upon which the practice and fatwa are based now, is to set a specific time of the year, such as Ramadan, and pay the zakah on the total amount you have, whether its lunar year of possession has completed or not, carrying over the portion whose year has not completed to the next year. By doing this, your obligation is discharged, if Allah wills. There is no issue with the portion whose year has completed, and the portion whose year has not completed is paid early. It is permissible to pay zakah early out of need. Yes.