This paper shows the results of a study in which the new Plaxis Hardening Soil model with small-strain stiffness (HSsmall) was analyzed with respect to its hysteretic damping characteristics for dynamic applications. An analytical expression was derived to formulate the local damping ratio as a function of the local shear strain. Results are shown for common ranges of parameters. Subsequently, the model with an existing parameter data set for Kaolin was used in dynamic finite element calculations and subjected to cyclic loading at different strain levels as well as free vibration. The results were compared with the analytical expression. A comparison was made with experimental data on damping, and another comparison was made with Rayleigh damping, which is commonly used in simple models. From the results it was concluded that HSsmall model has indeed some potential for dynamic applications. However, it does not yet capture material damping at small strain levels (for which Rayleigh damping or viscous damping may be added), and it does not include the accumulation of strain (or pore pressure) with multiple load cycles.