Fretting fatigue pertains to the behavior of engineering components subjected to cyclic loading while in contact with each other. This challenging contact-related phenomenon often leads to premature failure compared to typical fatigue issues. To extend the lifespan of components experiencing fretting fatigue, surface strengthening is crucial. One well-established method for enhancing the durability of these components is the application of compressive residual stress to the material's surface, achieved through a process called Shot Peening (SP). Numerous parameters in SP, such as shot speed, ball material, ball diameter, and coverage, must be carefully controlled to make beneficial compressive residual stress. These parameters significantly affect the residual stress distribution, containing the maximum residual stress, the depth of the residual stress area, and the depth of the maximum residual stress. The Critical Plane (CP) approach is used to calculate the damage parameter, and the Theory of Critical Distance (TCD) method is utilized to average the damage parameter due to the stress concentration resulting from the contact problem to investigate the impact of residual stress distribution on crack initiation behavior. Additionally, Linear Elastic Fracture Mechanics (LEFM) criteria, specifically the Extended Maximum Tangential Stress (E-MTS) criterion, are used to study how the residual stress affects crack propagation lifetime under fretting conditions. It is found that the maximum residual stress plays the most important role in improving crack initiation and propagation lifetimes, as well as the depth of the residual stress region. However, an increase in the depth of the maximum residual stress has a negative impact on crack initiation lifetime, and it has little effect on crack propagation lifetime. Furthermore, the enhanced lifetime diminishes as the applied loads increase.