This study investigated the effects of semi finish, finish and critical finish machining parameters on the microstructural evolution of subsurface layers in Inconel 718. In order to assess the microstructural evolution in the subsurface layer following machining, advanced characterization methods including optodigital microscopy, X-ray diffraction and nanoindentation were used. Results showed that friction between the tool and the workpiece during machining lead to microstructural changes such as hardness enhancement on the surface, and softening on the subsurface. It was also observed that damage in the machined surface is related to the presence of defects such as cracks, cavities and carbide detachment from the surface. Finally, residual stress measurements revealed that, within the investigated parameters, the cutting speed has the most significant effect on surface integrity.