In the design of the cold forging process one of the most important tasks is the determination of the required number of processes. Preforming in incremental steps is aimed at achieving high accuracy of the forged part, high quality of the surfaces and also decreasing the die damage during the forging process. Cold forging of pinion gear with shape of outer spur gear and inner helical gear have been investigated in this study. A numerical analysis for preform design substituting a cutting process in the gear forging was developed by means of upsetting process. By using the finite element (FE) program DEFORM-3D, the analysis is carried out. Using this simulation, the preform of the pinion and helical gear forging process was designed. The suggested valuable information regarding the forging process shows a successful attempt. The suggested process is verified by experiment. Compared to the traditional computer numerical control (CNC) processing, the upsetting process can form a preform without cutting, which leads to shorter forming time and reduced material usage.