The control of residual stress (RS) remains a challenge in the manufacturing of metallic parts using the laser powder bed fusion process (LPBF). This layer‐by‐layer manufacturing approach gives rise to complex triaxial RS distributions, which require extensive characterization effort for a broader acceptance of LPBF in industry. This study focuses on the distribution of bulk triaxial RS and surface RS in LPBF austenitic steel 316L. The RS are determined by X‐ray and neutron diffraction to characterize the RS distribution. Variations in the LPBF parameters interlayer time (ILT) and scanning velocity and their influence on the temperature distribution and resulting RS is investigated using thermographic data from in situ process monitoring. The RS in the LPBF 316L is tensile at the surface and compressive in the bulk. The RS is directly related to the thermal history of the part as shown by the in situ thermography data. Shorter ILT leads to higher temperatures of the part during the manufacturing, which decrease the RS and RS formation mechanisms. Interestingly, the surface RS does not agree with this observation. This study highlights the benefit of using multiple RS determination methods and in situ thermography monitoring to characterize the RS in LPBF processed parts.