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This paper proposes hardware-efficient VLSI architectures for 2-channel signal word decomposed filters (2-ch SWDFs) and their design method in consideration of the implemented circuit size. By consideration of the circuit size in design method, 2-ch SWDFs with a minimum output error among SWDFs whose size is equal to or smaller than a specification can be designed. Canonical Signed Digit expressions are used to effectively represent the filter coefficients of the SWDFs in order to make its circuit size small. Through precise analysis of the internal structures, circuit size can be accurately estimated. Some design examples show that the proposed method can design filters whose output error is about −12 dB lower than that of the linear FIR filters. Compared to an exhaustive search method, our method is much faster and can design filters whose output errors are only about 2 dB more.