The effect of strain hardening and strain softening behavior of flow stress changing with temperature on welding residual stress, plastic strain and welding distortion of A7N01-T4 aluminum alloy was studied by finite simulation method. The simulation results show that the weld seam undergoes strain hardening in the temperature range of 180−250 ℃, however, it exhibits strain softening at temperature above 250 ℃ during welding heating and cooling process. As a result, the strain hardening and strain softening effects counteract each other, introducing slightly influence on the welding residual stress, residual plastic strain and distortion. The welding longitudinal residual stress was determined by ultrasonic stress measurement method for the flat plates of A7N01-T4 aluminum alloy. The simulation results are well accordant with test ones.