For accurate computation of core losses, the Jiles-Atherton (J-A) dynamic hysteresis model accounting for hysteresis, eddy current and excess losses is incorporated into the finite-element method (FEM). The J-A dynamic hysteresis model is constructed by combining the traditional J-A hysteresis model with the models of instantaneous eddy current and excess losses. The J-A model parameters and dynamic loss coefficients are determined by fitting the models to the measurement data of a single sheet tester (SST 500) and Epstein frame tester. To find the robust best fit, the particle swarm optimization algorithm is employed. By using the proposed J-A dynamic hysteresis model and FEM, the magnetic characteristics of a magnetic core is simulated and the core loss distribution within the core obtained. The calculated and measured results are compared to show the accuracy and effectiveness of the proposed model.