An efficient tidal model, TIDE which is an iterative type, nonlinear finite element model has developed for the analysis of the tidal movement in the coastal area which is characterized by irregular boundaries and bottom topography. Traditional time domain finite element models have been in difficulties with requirement for high eddy viscosity coefficients and small time steps to insure numerical instability. These problems are overcome by operating in the frequency domain with an elaborate grid system by combining the triangular and quadrilateral shape grids. Furthermore, in order to handle non-linearity which will be more significant in the shallow region, an iterative scheme with least square error minimization algorithm has been implemented in the model. The results of TIDE model are agreed with the analytical solutions in a rectangular channel under the condition of tidal waves entering the channel closed at one end.