AbstractIn this study the soft magnetic alloy Fe-3Si-0.75P (wt%) was obtained by mechanical alloying through powder metallurgy. The processing included the formulation of metallic powder, wet milling for 1 h, 3 h, 6h and 9 h, in an attritor mill using alcohol P.A. as a lubricant. Cold compaction was then performed in a floating die under 600 MPa pressure and, finally the ring-shaped test specimens were sintered at 1150 °C for 1h. The electrical, physical and magnetic properties were then analyzed using the following assays: Laser granulometry, density, metallography, hysteresis curve and AC permeability, resistivity and XRD. The results showed a strong influence of milling time on magnetic properties of the alloy. There was a decrease in grain size with the milling time, which is likely the cause of increased in magnetic properties.