A nonlinear and time dependent finite element analysis was performed on two surface mounted electronic devices subjected to thermal cycling. Constitutive equations accounting for both plasticity and creep for 37Pb/63Sn and 90Pb/10Sn solders were assumed and implemented in a finite element program ABAQUS with the aid of a user subroutine. The FE results of 37Pb/63Sn solder joints were in reasonably good agreement with the experimental data by Hall . In the case of 9OPb/1OSn solder in a multilayered transistor stack, the FE results showed the existence of strong peel stress near the free edge of the joint, in addition to the anticipated shear stress. The effect of such peel stress on the crack initiation and growth as a result of thermal cycling was discussed, together with the singular behavior of both shear and peel stresses near the free edge.