A Timoshenko beam finite element suitable for vehicle/track vibration analysis is proposed. In the present analysis the Timoshenko beam is introduced to model a rail. Since the rail is usually subjected to several moving and stationary concentrated loads, the slope deflection of the Timoshenko beam has discontinuity at the acting points of these concentrated loads. Hence, the use of the finite element (FE) incompatible with the slope discontinuity causes fictitious responses. In this paper the FE which is compatible with the deflection of Timoshenko beam subjected to concentrated loads is developed using the TIM7 element and the pyramid-shape function. Numerical results show that the proposed FE can remove the non-physical response.