Can a Guardian Take a Fee for Managing an Orphan’s Wealth?

Answered By Shaykh Dr. Muhammad Fayez Awad

Question

If a guardian invests the money of an orphan, what is the permissible amount that he may take from it?

Answer

All praise is due to Allah, Lord of the worlds. Blessings and peace be upon the Messenger of Allah, his Family, and his Companions.

The Importance of Caring for Orphans in Islamic Law

Islamic Law has clarified everything that concerns a Muslim in his life, both in his personal affairs and in his interactions with others. Among the virtues of this Sacred Law is the command to show kindness to orphans, strive to care for them, manage their wealth, and explain the great reward associated with these acts. Allah (Most High) says:

“Worship Allah (alone) and associate none with Him. And be kind to parents, relatives, orphans, the poor…” [Quran, 4:36]

Islamic Law has been distinguished by giving special care and attention to orphans. It encourages those who are able among the righteous and reformers to sponsor orphans, be kind to them, and show compassion towards them, aiming to prepare them physically, psychologically, and mentally so they may grow into righteous men. This is evident in numerous texts, such as Allah’s (Most High) statement:

“So do not oppress the orphan.” [Quran, 93:9]

The Prohibition of Misusing Orphans’ Wealth

Sacred Law also warns against transgressing their wealth or taking it unlawfully. Allah (Most High) says:

“Do not come near the wealth of the orphan—unless intending to enhance it—until they attain maturity. Honor (your) pledges, for you will surely be accountable for them.” [Quran, 17:34]

And He (Most High) says:

“Give orphans their wealth (when they reach maturity), and do not exchange your worthless possessions for their valuables, nor cheat them by mixing their wealth with your own. For this would indeed be a great sin.” [Quran, 4:2]

And He (Most High) says:

“Indeed, those who unjustly consume orphans’ wealth (in fact) consume nothing but fire into their bellies. And they will be burned in a blazing Hell!” [Quran, 4:10]

Abu Hurayra (Allah be pleased with him) reported that the Messenger of Allah (Allah bless him and give him peace) said:

“Avoid the seven destructive sins.” It was said: “O Messenger of Allah, what are they?” He said: “Associating others with Allah, magic, killing a soul that Allah has forbidden except by right, consuming usury, consuming the wealth of an orphan, fleeing from the battlefield, and slandering chaste, unsuspecting, believing women.” [Bukhari; Muslim]

The Permissibility of Investing an Orphan’s Wealth

To protect the orphan’s wealth from being diminished due to spending or zakat, the Lawgiver has allowed the guardian to invest and grow the orphan’s wealth through trade, as this is better for the orphan. [Sarakhsi, al-Mabsut; Jassas, Ahkam al-Quran; Ibn ‘Abidin, Radd al-Muhtar]

The jurists have discussed this as either obligatory or recommended.

In the Fatwas of ‘Izz Ibn ‘Abd al-Salam, it is mentioned: “The second opinion among the Shafi‘is, which is the more correct one, is that it is obligatory upon the guardian to invest the minor’s wealth as much as possible, in terms of spending, zakat, and other expenses, if possible. However, he is not required to go to excessive lengths.” [‘Izz Ibn ‘Abd al-Salam, Fatawa ‘Izz Ibn ‘Abd al-Salam]

Can the Guardian Take a Fee for Managing an Orphan’s Wealth?

According to the Shafi‘i School, it is permissible for him to take a fee equivalent to what is customary:

In “al-Hawi” by Mawardi, it is stated: “If the orphan’s guardian wishes to take a fee from the orphan’s wealth for his efforts, if the guardian is poor, it is permissible for him to take a fee equivalent to what is customary, for his effort. This is based on the saying of Allah (Most High):

‘But if the guardian is poor, let them take a reasonable provision.’ [Quran, 4:6]

If he is wealthy, there are two opinions:

One is that it is not permissible for him, based on the saying of Allah (Most High): “If the guardian is well-off, they should not take compensation.” [Quran, 4:6], meaning that he should suffice with his own wealth instead of taking from the orphan’s wealth.

The second opinion is that it is permissible for him to take the fee even if he is wealthy because it is compensation for his effort and, therefore, not limited to the poor, just like any other fee. And the verse would then be understood as being for recommendation (istihbab).” [Mawardi, al-Hawi al-Kabir; Shirbini, Mughni al-Muhtaj]

Conclusion: Exercising Caution in Handling Orphan’s Wealth

However, it is better to be cautious and avoid, as much as possible, taking from the orphan’s wealth, and to be extremely careful in dealing with it. May Allah guide us to what He loves and is pleased with, and all praise is due to Allah, the Lord of all worlds.

[Shaykh] Dr. Muhammad Fayez Awad

Shaykh Dr. Muhammad Fayez Awad, born in Damascus, Syria, in 1965, pursued his Islamic studies in the mosques and institutes of Damascus. A graduate of the Islamic University of Medina in 1985, he holds a Ph.D. in Islamic Studies from Bahauddin Zakariya University in Pakistan.

He has extensive experience developing curricula and enhancing the teaching of various academic courses, including conducting intensive courses. Shaykh Awad has taught Fiqh, Usul al-Fiqh, Quranic sciences, the history of legislation, inheritance laws, and more at several institutes and universities such as Al-Furqan Institute for Islamic Sciences and Majma‘ al-Fath al-Islami in Damascus.

He is a lecturer at the Sultan Muhammad al-Fatih Waqf University in Istanbul, teaching various Arabic and Islamic subjects, and teaches at numerous Islamic institutes in Istanbul. Shaykh Awad is a member of the Association of Syrian Scholars, a founding member of the Zayd bin Thabit Foundation, a member of the Syrian Scholars Association, and a member of the Academic Council at the Iman Center for Teaching the Sunna and Quran.

Among his teachers from whom he received Ijazat are his father, Shaykh Muhammad Muhiyiddin Awad, Shaykh Muhiyiddin al-Kurdi, Shaykh Muhammad Karim Rajih, Shaykh Usama al-Rifai, Shaykh Ayman Suwaid, Shaykh Ahmad al-Qalash, Shaykh Muhammad Awwama, and Shaykh Mamduh Junayd.