Money Mindset - How to Earn Halal Money?
By Myrah Abrar
Life is temporary, and Allah has given it to worship Him and stay away from doing wrongs. As stated in the Quran: "This worldly life is no more than play and amusement. But the hereafter is indeed the real life, if only they knew." [Al-Ankabut 29:64]
Muslims have a strong belief that Allah is Ar-Razzaq. Ar-Razzaq means the Provider. But of course, mankind has to struggle to earn that Rizq (Sustenance). It is impossible that our dining table would be filled with food automatically, or the utility bills would get paid themselves.
Who does not want to be rich, but a Muslim is more concerned about their way of earning money. For a Muslim, earning halal money should be more important than earning a lot of money. Islam asks us to be sure if our source of income is Halal or Haram.
What Is Halal Earning?
As per the teachings of Islam, Halal earning is free from Gharar, Maysir, and Riba. It is considered as an Ibadah for which a Muslim will be rewarded on the Day of Judgment. Halal earning is that which comes from good sources as allowed by the religion of Islam.
There is zero Barakah in earnings through Haram ways. For a Muslim, it is important to keep a balance between religion and the world when it comes to earning money. Allah commands us in the Quran: "O my people! Give full measure and weight with justice. Do not defraud people of their property, nor go about spreading corruption in the land." [Hud 11:85]
Islam guides us to not be a miser nor to spend extra. It says that wealth is a worldly asset that devalues with time, and a Muslim is advised not to get too attached to it. Make investments. Keep your extra income aside and use it in something productive. You can also invest your extra money or savings in Halal investment programs.
Sources of Halal Earning
Islam says that seeking halal earning is a mandatory obligation for every Muslim.Struggling for a halal earning is religion itself. Business is considered the best source of halal income for a Muslim. There are many types of halal business, for instance, agriculture, manufacturing, trade, etc.
Trading involves a mutual contract between the buying and selling parties and the transfer of goods. Another form of trading is Musyarakah. It is an agreement between two or more parties by introducing a mutual commercial enterprise and aiding the capital. The profits and losses are shared.
Murabahah is also a good option for halal earning. In this form of business, buyers agree on trading where a seller shows the real costs of the goods to the buyer, and both the seller and buyer agree to the exchange.
- Earnings from a Halal Profession
A Muslim can also earn a halal income from a halal profession. Being a true follower of Islam, first, make sure that you are not working for an organization that is involved in anything declared Haram by Islam.
For example, earning from the trade of alcoholic beverages is Haram for a Muslim. The same is true for financial companies that take or give interest (riba) and Casinos that deal with gambling, etc.
Several Islamic finance programs have been launched in many countries worldwide to provide guidance to Muslim Professionals worldwide. Many platforms are specifically designed for Muslims to know about Islamic jurisprudence regarding haram free investment plans. For example, Fintech has allowed many Muslim investors to contribute and participate without fear of haram.
- Crowdfunding is an Islamic investment option that is becoming popular rapidly. Property investment requires a large amount of savings, and Crowdfunding is helping investors to collaborate online to contribute their parts. Property Crowdfunding is in special consideration by many Muslims around the world.
- Ethis Crowd.com is another option for Muslim investors. It has helped Muslim investors from more than 65 countries to invest in property projects. It facilitated the investors to invest in housing projects in Indonesia.
- Yielder from Britain is also a good option for Halal investment. It involves buying rent-providing properties in the country. In previous years, such high investments were limited for the elites only, but now it is reachable to even low scale investors or first-time investors.
- Robo-advisor is another Halal investment option. It is also known as Wahid invest. It recognizes legal stocks and a Sharia Portfolio. A representative of the Robo-advisor will guide you on how to build a portfolio of investments. This portfolio would be categorized on time zone and tolerance for associated risks.
What Isn't A Source of Halal Earning?
Some interest-based banking products should be avoided for halal earning. These banking products include money market accounts, savings accounts, certificates of deposit, corporate, and Treasury bonds. The Islamic version of a bond is called "Sukuk."Sukuk is, according to Islamic sharia and is a less volatile investment, but the return on investment is not that high.
The use of credit cards is common these days. If you have been issued a credit with an interest rate from any financial institution. Giving or taking interest is haram. Another term is mortgages.Standard mortgages are based on making principal with interest payments; these are prohibited in Islam.
- Investment in Haram Products
Also, being a good Muslim never invests in bonds or stocks of businesses that sell haram products in the market. This takes off the Barakah from your earnings and living too. If by any chance you have invested in such businesses, dispose of it immediately as a sadaqah.
Islam guides its followers to recognize the difference between Halal and Haram's ways of earning. Halal earning comes from good sources, just as described by the Prophet of Allah. If a person wants to be successful in both deen and Duniya, he should make his earnings haram free.Also, never spend too much and don't become a miser even. Spend your halal earnings on yourselves, your families, and the poor to make Allah happy.
About the author:
Myrah Abrar is a computer science graduate with a passion for web development and digital marketing. She writes blog articles for Muslim & Quran.