The Quran, in Chapter 9, Verse 60, sets out eight categories of people who may receive Zakat: the poor (people with very little or no wealth); the needy (people who have some means but not enough to cover basic needs); Zakat administrators (people appointed to collect and distribute Zakat, who may be paid a fair wage from the funds); those whose hearts are to be reconciled (people new to Islam or sympathetic to it); freeing those in bondage (historically freeing slaves, sometimes applied today to helping people escape modern exploitation); those in debt (struggling with legitimate debt they cannot repay); those striving in the cause of Allah (commonly interpreted as the path of God, sometimes extended to essential religious education or community welfare); and the stranded traveller (someone who has run out of funds far from home, even if normally wealthy).
Who cannot normally receive your Zakat: your spouse; your children and grandchildren; your parents and grandparents — mainly because the giver already has a duty to support them financially. Most scholars also agree Zakat should not be given to non-Muslims for general welfare, although views differ on specific exceptions.
Knowledge check: Name at least five of the eight categories eligible to receive Zakat. Why can Zakat usually not be given to your own children or parents? Can a person who administers Zakat be paid for that work?
Model answers: Any five of: the poor, the needy, Zakat administrators, hearts to be reconciled, freeing bondage, those in debt, in the cause of Allah, the stranded traveller. Because the giver already has a financial duty to support them directly. Yes — Zakat administrators may be paid a fair wage from the funds for their work.