Prequalified beam-to-column connections in steel moment resisting frames usually concentrate inelastic deformations in the steel beam ends. As such, nonlinear geo-metric instabilities (i.e., local buckling) may occur in these regions at modest lateral drift demands, leading to potentially high residual deformations. Previous research has shown that welded connections featuring inelastic panel zones exhibit a stable hysteretic behaviour. In this case, residual deformations in steel beams are often not visually detectable after inelastic cyclic straining. This paper contrasts the residual deformations of steel beams as part of welded connections with elastic and inelastic panel zones through continuum finite element analyses. The employed fi-nite element model is thoroughly validated with available test data. Besides the actual hysteretic response of the connections, the primary focus of the present work is on a number of geometric tolerance indicators, such as the web concavity, flange out-of-square and beam axial shortening. These are strongly correlated to the potential for reuse of structural steel members. The results suggest that connection designs featuring inelastic panel zones delay beam local buckling relative to their strong panel zone counterparts, achieving acceptable residual deformations even at lateral drift demands higher than 4% when considering the geometric tolerances of international standards.