The application of acoustic emission (AE) in material testing has been hampered by the lack of readily available software tools to understand the measured AE waveforms. To address this need, we have developed WavePredictor™, a general purpose Windows™-based wave prediction software package. This software can simulate the AE waveforms in finite plates, and can account for the effects of the AE source, edge reflections, material property and the acquisition system response. Thus, before an AE test, one can determine the optimum sensor location, specimen sizing, system setup and data analysis. After an AE test, the source modeling capabilities in the software provide considerable insights into the problem of source characterization and verification.