Static or slowly varying magnetic fields can affect the performances of linear variable differential transformer by inducing a position reading drift. The problem is barely addressed in LVDTs' datasheets, and no quantitative information on the induced error is given. An LVDT finite element model is here presented together with its experimental validation in order to propose a tool for the study of the effects of external magnetic fields on LVDTs and for the design of less sensitive devices. The LVDT model has been validated in standard working conditions and in presence of an external magnetic field by means of a complete set of experimental measurements performed on a custom prototype, manufactured following the FEM guidelines.