Abstract: A finite difference numerical model is established for a reinforced segmental retaining wall (SRW) designed using the K-stiffness method. The hyperbolic interface model is used to actually simulate the block-leveling pad and leveling pad-foundation interface. The behaviors of the field wall under working stress are investigated, and the shear characteristics of the toe interface are further analyzed. The results show that the computed reinforcement strain distribution, the maximum reinforcement loads in the fill, the connection loads and the maximum facing displacements are in agreement with the measurements. The maximum reinforcement loads in the fill computed using the K-stiffness method agree well with those computed by numerical model and the measured. However, the K-stiffness method cannot be used for verification of the connection loads because the connection loads are larger than the maximum reinforcement loads in the fill due to the effect of the down-drag force mobilized by foundation settlement and backfill compaction. Compared to the SRWs on the rigid foundation, the walls on the compressible foundation have larger factors of normal toe loads and less fractions of the total loads carried by the toe. The leveling pad will not slide along its interface with the foundation due to very small shear stress on it, although the shear stiffness of the leveling pad-foundation interface is much less than that of the block-leveling pad interface. Thus, the block-leveling pad interface plays a major role in the toe restraint.