The Muslims have been allowed, rather emphatically told and commanded, to possess as much wealth as could meet their personal and family needs. Yet, they have also been advised to spend the spare money on the needy. Man has been told that it is unwise on his part to be niggardly about money because it spawns unfavourable results in this world as well as in the Hereafter. The concentration of wealth within a few hands freezes its vitality and leads to corruption in society. As for the Hereafter, the result of stinginess will be definitely bad as the Qur'an says:
"The things which they covetously withheld shall be tied to their necks like a collar on the Day of Resurrection." (3:180)
Some `Ulama' are of the opinion that after the payment of the annual Zakat (poor-due), it is not necessary to spend more. But to be accurate, if somebody pays Zakat and yet retains enough money with him, and there are some needy people also in his knowledge, then he will be bound to spend on them. At-Tirmidhi quoted a Hadith in which Messenger of Allah (PBUH) said, "Indeed there is a right (for poor) in the wealth in addition to Zakat."