This article gives an introduction to agent‐based modeling and simulation (ABMS). After a general discussion about modeling and simulation, we address the basic concept of ABMS, focusing on its generative and bottom‐up nature, its advantages as well as its pitfalls. The subsequent part of the article deals with application‐oriented aspects, including selected tools and well‐known applications. In order to illustrate the benefits of using ABMS, we focus on several aspects of a well‐known area related to simulation of complex systems, namely traffic. At the end, a brief look into future challenges is given.