How to set up Islamic Finance

"and do not squander (the treasure) is wasteful. Verily spender-spenders it is brothers Satan and Satan it is very disobedient to Rabbnya. " (QS. Al-Isra ': 26-27)

As a muslim, we recommend all sorts of aspects of life that are run in accordance with the teachings and the Islamic jurisprudence, including how to manage finances. Islam has set the teachings of how someone arrange financial matters in the quran and Hadith.

The purpose of this assignment is for Muslims is not wrong in doing the calculations would be adverse financial life and make life prosperous. Then how do I set up Islamic finance? Check out his review here.

First, set the 1-1-1

1-1-1 formula is the formula set up finance from the companions of the Prophet, Salman of the Pharisees. It is reported that he has as much money as 1 dirham for use as capital made Wicker was sold for 3 dirhams. Then, its revenues last divided into: 1 dirham for the purposes of his family, 1 dirham for alms and remaining 1 dirham for use as capital again.

Picture From Cermati.com

This concept can be implemented in daily life by dividing three earned income. 1/3 is used for daily necessities, 1/3 gifts and the rest for capital purposes again.

Second, Set Aside For Capital

Narrated by Ibrahim Al Harbi in Ghorib Al Hadith of Hadith Nu'aim bin ' Abdirrahman, that "nine out of ten of the door there is a fortune in trade"

Islam strongly encourages his people to trade in earning a living. Therefore, Islam also recommends to set aside income earned from trading for capital return. Do not let the money trade used it all to buy consumer needs.

A similar thing applies also to people that are not traded, they can set aside a portion of the salary of the month in order to later open a business which will add revenue. Or, used as investment capital.

Third, Saving

"Save some of you for the good of the future, because it is much better for you." (Narrated By Bukhari)

Picture From Peper.com

Saving has many advantages for the life in the future. Indeed, it was initially difficult to set aside a portion of the income to savings. Often times you feel the revenue be reduced if there should be money saved.

However, the fact that the new benefit would be felt if the money saved has already accumulated a lot. With save you will have spare money that will be used at any time. Start saving up bit by bit, for example per day Rp 10,000 to Rp 300,000 a month then it will be a year and reached Usd 3.6 million, pretty isn't it?

Fourth, don't be Extravagant

"And the people who when spending (the treasure), they are not excessive, and not (also) stingy, and is spending it) in the middle of the case." (QS. Al Furqon: 67)

As we already know that wasteful attitude is strongly discouraged in all things, as well as arranging finance. Islam forbids any person in shopping extravagance. Doing so will cause the nature of consumption in a very detrimental.

Shop for all needs in accordance with simply applied, no less and no more. Also avoid buying anything that is not needed. For example, when you have a cell phone, but because there is the latest type of phones, then you buy it based on desire rather than needs. Whereas the old phones can still be used.

Fifth, Alms

Alms you guys, due to the real charity can add many treasures. Then alms you guys, God have mercy on you. (Al-Wasail 6:255, Hadith to 11)

Picture From thetruthisfromgod.com

One of the ways to purify the treasure is by giving charity. This was done because in islam, 2.5% of the sustenance that you receive there are rights of others in it. Therefore set aside the one income received per month to help those in need through a variety of contracting agency of alms.

In addition, God also promises to add to the property obtained Through gifts and gifts means you are grateful for favours obtained.

Avoid Owe

"Whoever's debt money to others and intend going to return it, then God will the Commons passed his intention; but whoever took it with intention will destroy (not paying), Allah will destroy her.  "(Bukhari)

The debt is indeed sometimes be financial rescue in time of emergency. However, the reality of Islam is not recommended for owe if you don't really need. That is, if you can still attempt to pay for something, don't owe me lah.

If forced to owe to someone, be obliged to pay off his law. This was done because in Islam about the debt concerns of the world and the hereafter. In fact, when someone dies in a State owes, his heir is obliged to pay it off.

Saving and blessing

Begin to try to apply the tips set up according to the Islamic teachings into their everyday lives. That way, your finances will be more regularly and to avoid financial losses. In addition, life is also increasingly a blessing.