Surface-mounted permanent magnet (PM) machines were examined experimentally and theoretically, through power loss measurements and calculations. Windage, friction and copper losses were calculated using simple analytical equations and finite element (FE) analyses. Stator core losses were calculated by determining core loss coefficients through curve-fitting and magnetic behavior analysis through non-linear FE calculations. Rotor eddy current losses were calculated using FE analyses that considered the time harmonics of phase current according to load. Core, windage and friction open-circuit losses and copper loss were determined experimentally to test the validity of the analyses.