The long term impact of MEMS technology will be in its ability to integrate novel sensing and actuation functionality on traditional computing and communication devices enabling the ubiquitous digital computer to interact with the world around it. The design and verification of such integrated systems will occur at the system level, driven primarily by the application. Application-driven system-level design methodologies that ease the integration of the digital domain to the real world using mixed domain technologies are therefore needed. A hierarchical structured approach that is compatible with standard IC design is outlined. It starts with schematic capture of a design topology, followed by behavioral simulation, layout generation, parasitic extraction, and final verification.