Mandatory company pension plan.

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Question Summary:
Mandatory company pension plan.

Question Detail:

Company Pension plan: I have a company pension plan in which 4% mandatory salary deduction from my salary and 6% is added by company. This amount is invested in some funds using sunlife.ca. The fund included different companies including finance sector. I have checked all available funds in sunlife and all funds have financial sector. I don't have any other option to invest other than available. All this is from company. Now i have checked and there is income earned from those funds which has caused the total amount to increase. What will be the rulling for the income earned in this investment in which i don't have any control. Syed Faisal, Canada

Answer :

In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
If the pension plan in question is mandatory and you do not have any control over the investments, then the income you receive from this plan will be halal for you to take. The final amount you receive will be counted as part of your salary[1] including all extra amounts you receive upon leaving this company[2].
And Allah Ta’āla Knows Best
Bilal Mohammad
Student Darul Iftaa
New Jersey, USA
Checked and Approved by,
Mufti Ebrahim Desai.
www.daruliftaa.net

[1]ثُمَّ الْأُجْرَةُ تُسْتَحَقُّ بِأَحَدِ مَعَانٍ ثَلَاثَةٍ إمَّا بِشَرْطِ التَّعْجِيلِ أو بِالتَّعْجِيلِ أو بِاسْتِيفَاءِ الْمَعْقُودِ عليه فإذا وُجِدَ أَحَدُ هذه الْأَشْيَاءِ الثَّلَاثَةِ فإنه يَمْلِكُهَا كَذَا في شَرْحِ الطَّحَاوِيِّ (الفتاوي الهندية، ج ٤، ص ٤١٣، مكتبة رشيدية)؛

قالَ - رَحِمَهُ اللَّهُ - (وَالْأُجْرَةُ لَا تُمْلَكُ بِالْعَقْدِ بَلْ بِالتَّعْجِيلِ أَوْ بِشَرْطِهِ أَوْ بِالِاسْتِيفَاءِ أَوْ بِالتَّمَكُّنِ مِنْهُ) أَيْ لَا تُمْلَكُ الْأُجْرَةُ بِنَفْسِ الْعَقْدِ سَوَاءٌ كَانَتْ الْأُجْرَةُ عَيْنًا أَوْ دَيْنًا، وَإِنَّمَا تُمْلَكُ بِالتَّعْجِيلِ أَوْ بِشَرْطِ التَّعْجِيلِ أَوْ بِاسْتِيفَاءِ الْمَعْقُودِ عَلَيْهِ وَهِيَ الْمَنْفَعَةُ أَوْ بِالتَّمَكُّنِ مِنْ اسْتِيفَائِهِ بِتَسْلِيمِ الْعَيْنِ الْمُسْتَأْجَرَةِ فِي الْمُدَّةِ

(تبيين الحقائق، ج ٥، ص ١٠٧، مكتبة إمدادية)

[2] Nizamul Fatawa, vol. 1, pg. 208, Maktabah Rahmaniyyah;

Fatawa Haqqaniyyah, vol. 6, pg. 212, Jami'ah Darul Uloom Haqqaniyyah;

Jawahirul Fiqh, vol. 3, pg. 258, Maktabah Darul Uloom Karachi;

Fatawa Mahmudiyyah, vol. 16, pg. 395, Darul Iftaa Jami'ah Faruqiyyah;

Fatawa Rahimiyyah, vol. 9, pg. 271, Darul Isha'at;

Kifayatul Mufti, vol. 8, pg. 95-98, Darul Isha'at

Note: Some 'Ulamā opine for the view that all extra amounts will be considered as goodwill (tabarru') from the company. For more information, see:

Jadeed Fiqhi Masaail, vol. 1, pg. 293, Zam Zam Publishers and Islam Aur Jadeed Ma'ashi Masaail, vol 4, pg. 86, Idara-e-Islamiat

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