Formal Methods (FMs) can be used in varied areas of applications and to solve critical and fundamental problems of Performance Evaluation (PE). Modelling and analysis techniques can be used for both system and software performance evaluation. The functional features and performance properties of modern software used for performance evaluation has become so intertwined. Traditional models and methods for performance evaluation has been studied widely which culminated into the modern models and methods for system and software engineering evaluation such as formal methods. Techniques have transcended from functionality to performance modeling and analysis. Formal models help in identifying faulty reasoning far earlier than in traditional design; and formal specification has proved useful even on already existing software and systems. Formal approach eliminates ambiguity. The basic and final goal of the performance evaluation technique is to come to a conclusion, whether the software and system are working in a good condition or satisfactorily.