The paper extends an iterative method, previously applied to the determination of the limit state of a perfectly plastic body, to the determination of the shakedown limit state of a body subjected to a cyclic history of mechanical load and temperature. A convergence proof is presented for a particular class of problems where the magnitude of a mechanical load at the shakedown limit is found as the limit of a sequence of monotonically reducing upper bounds. An implementation of the method in a finite element scheme is discussed and examples of the application of the method to sample problems are presented.