The method for analyzing the recording and reading process of magnetic recording system by numerical simulation is introduced. which can simulate the effect of elements of the magnetic recording system. During the whole simulation, hysteresis characteristics must be included. Preisach model and finite element method are used to construct the algorithm. From the wave of recording current, recorded pattern of magnetization in recording media is simulated in recording process, and then waveform of reading signal in head coil is obtained in reading process. To show the validity of this method, this is applied to perpendicular magnetic recording system. Waveform of recording signal and reproduced signal is obtained in several density. Pattern of reprocuced voltage magnitude according to increase of recording density shows roll-off curve.