Debinding is a critical process for injection molded green parts of soft magnetic materials. In case of incomplete binder removal, the residual impurities deteriorate the magnetic performance of the final components. On the other hand, binder decomposition reduces the structural strength of the green parts. Therefore, it is important to engineer an appropriate debinding cycle not only to ensure efficient binder removal but also to retain the structural strength of the parts. In this study, the two-stage debinding process is optimized focusing on the higher rate of binder removal to get defect-free parts. The feedstock of Fe-50Ni alloy with a multicomponent binder system was prepared followed by injection molding. In the first stage, the binder was removed by solvent debinding and in the second stage, thermal debinding was carried out. The various types of defects were observed during debinding process. It has been found that efficient solvent debinding extracted 98 binder whereas thermal debinding at a heating rate of 2 °C min-1 results in defect-free quality parts. © 2019 IOP Publishing Ltd.