An experimental and 3D CFD (computational fluid dynamics) based numerical investigation of the in-wheel hub internal permanent magnet synchronous machine (IPMSM) has been carried out to understand the thermal dynamics associated with the power loss within the motor. This study can serve as a clear case baseline for the future development of thermal management systems in micro-powertrain systems. Experimental results show that the maximum winding temperature of 65.9 °C has been observed on the end-windings (EW) for an operating condition of 500 rpm (base speed), 4.5 Nm. Stretching beyond this operating point would increase the winding temperature beyond 65.9 °C, potentially damaging the winding insulation’s capabilities and magnetic properties of the permanent magnets (PMs) and adversely affecting the performance of the wheel motors. The hysteresis and eddy current loss coefficients for the stator core have been identified as 14.5×10-2 and 1.6×10-4 respectively. The experimentally identified losses have been distributed among the motor components for the development of the numerical thermal model in commercial CFD software Star-CCM+™. The CHT (conjugate heat transfer) thermal paths show that 68.4 % and 31.4 % of the total power loss from the stator components undergo convection and conduction, respectively. This indicates that convection heat transfer dominates on the in-wheel hub IPMSM motor topology. Almost 34.5 % of the heat loss is transferred radially through the air gap to the Permanent Magnets. When the air gap size decreased by 80 %, the amount of convection heat transfer through the air gap increased by a factor of 2 (69 %) and reduced the winding temperature by 13 % (57.3 °C).