The subset of rare earth elements, notably, neodymium, praseodymium, dysprosium, and terbium, are key ingredients used to make the world’s strongest type of magnets, the neodymium–iron–boron (NdFeB) magnet. Developed in 1984, these magnets now have broad applications and are found in a wide range of consumer and industrial products. After four decades of increasing use, little progress has been made in developing commercial-scale recycling of these magnets; however, considerable research has been made. This study explores the recycling of NdFeB magnets, focusing on the recovery of rare earth elements. Various methods, including mechanical separation, hydrometallurgical, and other processes, are examined for their effectiveness in recovering valuable materials in the context of real-world scrap. Environmental and economic implications are considered to assess the feasibility and sustainability of NdFeB magnet recycling, providing insights for a more circular approach to magnet production and consumption.