In magnetorheological finishing (MRF) the mechanical energy for material removal is generated by the hydrodynamic flow of a magnetorheological (MR) polishing suspension through a converging gap that is formed by a workpiece surface and a moving rigid wall. In addition to causing material removal, MRF also reduces the surface micro roughness of optical materials to less than or equal to 10 Angstrom rms. Shape (figure) errors are corrected to a fraction of a wavelength of light and subsurface damage is removed. A theoretical analysis of MRF, based on Bingham lubrication theory, illustrates that the formation of a core attached to the moving wall results in dramatically high stress on the workpiece surface. A. correlation between the shear stress on the workpiece surface and material removal is obtained.