Calculations based on density functional theory conclude that the plausible upper limits of saturation magnetic polarization, magnetic transition temperature, and the magnetocrystalline anisotropy constant of permanent magnet materials could be ∼2.7 T, ∼2000 K, and ∼1000 MJ m−3, respectively. It is suggested that a possible strategy to reach these values for high-performance permanent magnets is to design Fe-based magnets containing a small amount of light rare earth elements, together with some additional elements including V, Cr, Co, Ni, and possibly typical elements as interstitials. The idea of creating high-performance permanent magnets without rare earth elements can be dispensed with.