A finite element procedure to predict residual stresses on the multi-pass arc welding considering the multi-layered beads and solid–liquid phase transformation in the melted bead is implemented and experimentally validated. The nonlinearities of material properties are considered in the thermo-elasto-plastic distortion analysis. Element birth and death technique is used to simulate the weld metal added to base metal in both heat transfer and thermo-elasto-plastic analysis. Residual stresses and strains are computed for butt welding and T-joints fillet welding. The stress distributions calculated by proposed finite element analysis procedure are compared with the measured values of experiments and data available in the other studies. The efficiency of the proposed finite element analysis and experimental procedure is discussed and demonstrated.