The finite element method (FEM) was used to study the deformation, pore pressure, stress, and bag tension of a soilbag under vertical loads. The soilbag was composed of the soil modeled by a modified Cam-Clay constitutive relationship, and a woven bag modeled by a modified two-node beam element. The simulation results show that the largest horizontal displacement occurred on both sides of the soilbag, while the largest vertical displacement took place on the surface of the soilbag. The pore pressure increased initially, and then decreased with the increase of loading time. In addition, the average tension of the bag was approximately linearly correlated with the loads.