A method of manufacturing a thin film magnetic sensor comprising: forming a projection on a surface of an insulating substrate formed of an insulating nonmagnetic material by removing an unnecessary portion of the insulating substrate from a surface region thereof or by depositing a thin film formed of an insulating nonmagnetic material on the surface of the insulating substrate; forming a pair of thin film yokes positioned to face each other with the projection interposed therebetween and completely electrically separated from each other, the thin film yokes being formed by depositing a thin film formed of a soft magnetic material on the surface of the insulating substrate having the projection formed thereon, followed by partially removing the thin film formed of the soft magnetic material until at least a tip surface of the projection is exposed to the outside; and depositing a GMR film having an electrical resistivity higher than that of the soft magnetic material on the tip surface of the projection and on upper surfaces of the thin film yokes contiguous to the projection such that the GMR film is electrically connected to the upper surfaces of the thin film yokes.