Finite element method is more precise than the winding function approach, as it is based on the actual geometry of the machine and the machine model can easily be modified in order to study the effect of faults on the machine's performance. Accurate models of the machine under healthy and faulty conditions are developed. This paper presents simulations of broken bars detection in a three phase squirrel cage induction motor under no load, half load and full load conditions for two and eight broken bars. The analysis is done using MagNet.