The ${ittext{state-of-the-art}}$ theoretical description of magnetic materials relies on solving effective Heisenberg spin problems or their generalizations to relativistic or multi-spin-interaction cases that explicitly assume the presence of local magnetic moments in the system. We start with a general interacting fermionic model that is often obtained in ${ittext{ab initio}}$ electronic structure calculations and show that the corresponding spin problem can be introduced even in the paramagnetic regime, which is characterized by a zero average value of the magnetization. Further, we derive a physical criterion for the formation of the local magnetic moment and confirm that the latter exists already at high temperatures well above the transition to the ordered magnetic state. The use of path-integral techniques allows us to disentangle spin and electronic degrees of freedom and to carefully separate rotational dynamics of the local magnetic moment from Higgs fluctuations of its absolute value. It also allows us to accurately derive the topological Berry phase and relate it to a physical bosonic variable that describes dynamics of the spin degrees of freedom. As the result, we demonstrate that the equation of motion for the derived spin problem takes a conventional Landau-Lifshitz form that explicitly accounts for the Gilbert damping due to itinerant nature of the original electronic model.
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