Iron parts of electrical machines are made of nonoriented isotropic ferromagnetic materials. The finite element method (FEM) is usually applied in the numerical field analysis and design of this equipment. The scalar Preisach hysteresis model has been implemented for the simulation of static and dynamic magnetic effects inside the ferromagnetic parts of motors. The dynamic model is an extension of the static one; an extra magnetic field intensity term is added to the output of the static inverse model. This is a viscosity-type dynamic model. The fixed point method with stable scheme has been realized to take frequency-dependent anomalous losses into account in FEM. This scheme can be used efficiently in the frame of any potential formulations of Maxwell's equations. The comparison between measured and simulated data using a toroidal core shows a good agreement. A modified nonlinear version of T.E.A.M. Problem No. 30.a is also shown to test the hysteresis model in the FEM procedure. © 1965-2012 IEEE.