TiNi films were prepared by co-sputtering a Ti50Ni50 target and a Ti target under different process parameters. Stress in TiNi film on silicon substrate were evaluated using curvature method. A wide range of residual stress levels (either tensile or compressive) were found in the deposited films, depending significantly on Ti/Ni ratio, gas pressure, deposition temperature and/or annealing conditions. Stress evolution for as-deposited amorphous films during annealing process were systematically studied with the consideration of residual stress in as-deposited films; thermal stress; tensile stress due to densification crystallization; stress relaxation due to martensite transformation, etc. Upon heating, the crystallized TiNi films generated large tensile stresses when transforming from martensite to austenite, whereas during cooling, the stress relaxed significantly when austenite transformed back to the ductile martensite. The stress generation and relaxation behavior was significantly affected by film composition, deposition temperature and/or annealing temperature.