A multi-state current-switching magnetic memory element has a magnetic tunneling junction (MTJ), for storing more than one bit of information. The MTJ includes a fixed layer, a barrier layer, and a non-uniform free layer. In one embodiment, having 2 bits per cell, when one of four different levels of current is applied to the memory element, the applied current causes the non-uniform free layer of the MTJ to switch to one of four different magnetic states. The broad switching current distribution of the MTJ is a result of the broad grain size distribution of the non-uniform free layer.