Distribution transformers losses are equal to almost 2% of the electricity generated worldwide and only in the European Union are estimated at about 33 TWh/year. Approximately 75% of the total losses are due to core losses as a result of the loading characteristics of distribution transformers. Design of the joints of magnetic cores has a profound impact on core losses and transformer efficiency. The paper introduces a finite element methodology for the analysis of transformer joints. The proposed technique consists in the application of certain boundary conditions for the excitation of the joints. The main advantages of the pseudo-source technique include minimization of the computational cost and ease of implementation. The technique is combined with a number of FE formulations and a vector hysteresis model. Two-dimensional as well as 3-D FE analysis is studied. Longitudinal and normal flux measurements were carried out for the validation of the proposed technique.