Wear is an inevitable phenomenon in the working process of clutch and brake system. With the increase of transmission speed and power density, the thermoelastic instability (TEI) of clutch and brake system is becoming more serious over time. It is difficult to obtain the practical solution for conventional materials of clutches and brakes and their actual geometry with finite thickness using the existing analytical method. To study the comprehensive effects of wear and friction pair thickness on TEI, Archard Wear Law is combined with the Fourier Reduction Method to develop a finite element model, the accuracy of which is validated using the existing analytical method. Within the usual ranges of thickness and wear coefficient of friction pair, the increase of friction material thickness or the decrease of steel material thickness will suppress the TEI. Nonetheless, if the wear-rate is increased significantly, the effect of friction material thickness will be reversed. The worst thickness, which must be avoided in the design, and the local optimum thickness exist for the steel material.