In this study, we develop a finite element model to directly solve the Laplace equation while keeping the same computational efficiency as the models based on the extended mild-slope equation which has been widely used for calculation of wave transformation in shallow water. For this, the computational domain is discretized into finite elements with a single layer in the vertical direction. The velocity potential in the element is then expressed in terms of the potentials at the nodes located at water surface, and the Galerkin method is used to construct the numerical model. A common shape function is adopted in horizontal direction, and the cosine hyperbolic function in vertical direction, which describes the vertical behavior of progressive waves. The model was developed for vertical two-dimensional problems. In order to verify the developed model, it is applied to vertical two-dimensional problems of wave reflection and transmission. It is shown that the present finite element model is comparable to the models based on extended mild-slope equations in both computational efficiency and accuracy.