Getting accurate geomagnetic field value is the prerequisite and foundation for the application of geomagnetic navigation.However,the measuring precision of geomagnetic field is badly influenced by the coupling effect between the field of earth and interference errors.The magnetic compensation has become the key factor which restrict the progress of geomagnetic navigation.To overcome the problem that environmental magnetic field will influence the error compensation result of geomagnetic field measurement,the geomagnetic field was simulated by ANSYS.The parameterized geomagnetic measurement compensation model was constructed by analyzing the hard iron and soft iron errors.Those parameters of the model were estimated using least squares based algorithm.Simulation results show that this compensation method is easy to be used and which can achieved higher error compensation ability.