A finite difference method based on MAC method is used to simulate free-surface waves around a ship. Euler equations and continuity equation are differentiated using the forward time and central space, and solved by time marching scheme. By the employment of variable mesh system in horizontal and vertical direction, the numerical accuracy of wave simulation results is grossly improved. To verify the improvement of numerical accuracy, some numerical simulations are accomplished for Wigley, Series 60($C_{b}$=0.6) and a bulk carrier model. The computational results are compared to the various experimental data and show good agreements.