A method and an apparatus for compensating for nonlinear distortion are provided to divide audio signals reproduced in a nonlinear speaker system into linear and nonlinear components in a time domain and a frequency domain, and then generate inversely-corrected signals by means of an inverse filtering scheme, so that it is possible to further consider a variety of nonlinear distortion characteristics such as viscous damping and structural damping which have not been reflected in the conventional lumped parameter method, and thus to obtain better sound quality.