The International Journal of Business & Management

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The aim of the study was to see the impact of productive zakat on increasing income in alleviating poverty in Aceh Province carried out by charity organizations (Baitul Mal) in an effort to develop beneficiary’s income in the Aceh province in general and Bireuen Regency, Bener Meriah Regency, Central Aceh Regency on especially. The research methodology used is a quantitative approach, with a strategy case study. The data collected in this study was to use interviews and questionnaires randomly to 90 beneficiaries of zakat funds productively and interviews with parties related to charitable organizations distributing zakat, infaq and sadaqah. Data analysis techniques use a quantitative analysis model. In this quantitative analysis researchers used the SPLS model approach. The results show that productive zakat has a significant influence on beneficiaries’ income and can reduce the poverty rate of zakat recipients. Thus, the distribution of productive zakat and assistance is able to have a significant impact in increasing people's income which provides a multiplier effect in reducing poverty and income inequality.


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