This work presents a variational formulation of the material failure process, idealized as strain or displacement discontinuities, by weak, strong, or discrete embedded discontinuities into a continuum. It is shown that the solution of the proposed variational formulation may be approximated by different types of finite elements with embedded discontinuities. The developed displacement approximation of a finite element split by the discontinuity leads to a symmetric stiffness matrix, which considers not only the continuity of tractions but also the rigid body relative motions of the portions in which the element is split. The variational formulation of a continuum with more than one discontinuity in its interior is developed. It is shown that this formulation may lead to finite elements with embedded discontinuities that can be classified as displacement, force, mixed, and hybrid models. To show the effectiveness of the proposed formulation, the classical example of a bar under tension is solved using one and 2D finite element approximations.