Ruling on giving everything one owns in charity

The scholars of the four madhhabs are agreed that it is
mustahabb for charity to be composed of whatever is surplus to one’s needs
and the needs of those for whom one is responsible. If a person gives in
charity that which affects his needs or the needs of those for whom he is
responsible, that is a sin, because his spending on them is obligatory and
it is not permissible to give precedence to a naafil (supererogatory) action
over an obligatory one.  

But with regard to whatever is surplus to the needs of those
on whom a person is obliged to spend, the majority of scholars say that
holding on to whatever wealth he needs is preferable to giving it all away
in charity, unless he has an income or is sure that he will be able to put
his trust in Allaah and be patient and steadfast in bearing poverty and will
be able to refrain from begging. Some scholars regarded it as mustahabb to
give all his wealth in that case. The Shaafa’is regard this as being the
most correct view, and it is the apparent meaning of al-Muwaffaq’s words in
al-Mughni. What may be understood from the Maaliki and Hanafi
madhhabs is that they do not regard that as mustahabb, because after
mentioning the above conditions concerning the permissibility of giving all
one’s wealth in charity, they say, “There is noting wrong with that,” as if
the matter is permissible in their view. But some Maalikis add to that a
comment which may be understood as meaning that they regard it as mustahabb,
as they say, “The way of encouraging giving all one’s wealth in charity is
that the donor should feel good about it after giving all his wealth and
should not feel regret about being without wealth or hope to gain a similar
amount of wealth in the future. He should not have any need of it in the
future for himself or for those on whom he is obliged or encouraged to
spend. Otherwise it is not recommended for him (to give all his wealth in
charity), rather it is haraam for him to do so if those on whom he is
obliged to spend are in certain need, or it is makrooh for him to do so if
he is certain that those on whom it is recommended for him to spend are in
need, because it is better to give in charity that which is surplus to his
needs and the needs of those on whom he is obliged to spend.”

(al-Mawsoo’ah al-Fiqhiyyah, 26/339) 

From these comments it is
clear that the scholars did not limit charity to one third (of one’s
wealth). The evidence from the Qur’aan and Sunnah that these scholars based
their views on is as follows: 

1 – The aayah (interpretation of the meaning): 

“And let not your hand be tied (like a miser) to your
neck, nor stretch it forth to its utmost reach (like a spendthrift), so that
you become blameworthy and in severe poverty”

[al-Isra’ 17:29]

The mufassireen said, in
their commentaries on this aayah: Do not give all that you have when you and
your dependents are in need of it, so that you are left with no money to
spend, like an exhausted camel, i.e., one which has lost its strength and
has no energy. And it was said that it means, lest you be blamed and come to
regret it. But the one who is being addressed here is not the Prophet
(peace and blessings of Allaah be upon him), because he is not one of those
who would regret spending what they had in their hands for the sake of
Allaah. Rather Allaah forbade extravagance in spending and giving all the
money that one has in hand, less that end in regret on the part of the one
who spent all that he had.

(al-Mawsoo’ah 4/184) 

2 – It was narrated that Ka’b ibn Maalik (may Allaah be
pleased with him) said: “I said, ‘O Messenger of Allaah, as a sign of my
repentance I will give away some of my wealth in charity to Allaah and His
Messenger.’ The Messenger of Allaah (peace and blessings of Allaah be
upon him) said: ‘Keep some of your wealth for yourself, that will be better
for you.’” (al-Bukhaari, 2552; Muslim, 4973). 

The Prophet (peace and blessings of Allaah be upon him)
did not specify that he should give one-third in charity.

 Al-Shawkaani (may Allaah have mercy on him) said: “The
hadeeth of Ka’b indicates that it is prescribed for the one who wants to
give all his wealth in charity to keep some of it. That does not imply that
if he wanted to go ahead with it, he would not be able to do so. It was said
that giving all one’s wealth in charity varies according to one’s situation.
If a person is strong and knows that he will be able to bear the
consequences with patience, then there is no reason why he should not do
that.  Based on that we may interpret the action of Abu Bakr al-Sideeq and
the way in which the Ansaar preferred others to themselves even though they
were in need of that [cf. al-Hashr 59:9]. But if a person is not like that,
then he should not do that. This is how the words “There is no charity
except when one has the means” should be interpreted. According to another
report, “The best of charity is that which is given when one has the means.”

(al-Nayl 8/288)

 3 – It was narrated that Anas ibn Maalik (may Allaah be
pleased with him) said: Abu Talhah was the richest man among the Ansaar in
Madeenah in terms of date palm trees, and the most beloved of his wealth to
him was the garden of Bayruha’. It was opposite the Mosque and the Messenger
of Allaah (peace and blessings of Allaah be upon him) used to go there
and drink its water, which was good.”

 Anas added: “When the aayah (interpretation of the meaning)
–  

‘By no means shall you attain Al-Birr (piety,
righteousness — here it means Allaah’s reward, i.e. Paradise), unless you
spend (in Allaah’s Cause) of that which you love’

[Aal ‘Imraan 3:92] – 

was revealed, Abu Talhah stood up and went to the Messenger
of Allaah (peace and blessings of Allaah be upon him), and said: ‘O
Messenger of Allaah, Allaah says, “By no means
shall you attain Al-Birr (piety, righteousness — here it means Allaah’s
reward, i.e. Paradise), unless you spend (in Allaah’s Cause) of that which
you love…” The most beloved of my wealth to me is
the garden of Bayruha’, and I am giving it in charity to Allaah, hoping to
find reward for that with Allaah. So dispose of it, O Messenger of Allaah,
as Allaah shows you.’ The Messenger of Allaah (peace and blessings of
Allaah be upon him) said: ‘Bravo! That is a good deal, that is a good deal.
I have heard what you said and I think that you should give it to your
relatives.’ Abu Talhah said, ‘I will do that, O Messenger of Allaah.’ So Abu
Talhah shared it out among his relatives and cousins (sons of his paternal
uncles).”

(al-Bukhaari, 1368; Muslim, 1664)

 Al-Shawkaani (may Allaah have mercy on him) said (al-Nayl,
3/36):

 “This indicates that it is permissible to give more than one
third of one’s wealth in charity when one is alive and not suffering from
terminal illness, because the Prophet (peace and blessings of Allaah be
upon him) did not ask Abu Talhah how much he wanted to give in charity, but
he said to Sa’d ibn Abi Waqqaas when he was sick, “A third is a lot.”.