This paper describes a battery system model on MATLAB/Simulink software which includes cycle deterioration effect. If cycle deterioration effect is not considered, capacity of battery model on MATLAB/Simulink will not change over time. Cycle degradation is a phenomenon in which, if charging and discharging are repeated, the capacity of the battery is reduced. In addition, cycle deterioration is not taken into account, these are differences in the analytical results of actual battery system. Therefore, this paper presents a system model which uses cycle deterioration effect based on an actual value. By constructing a system considering cycle degradation, it has become possible to analyze higher accuracy.