Tottenham Hotspur won the competition for the third time, beating Leicester City 2–0 in the final at Wembley.
If scores were level after 90 minutes had been played, a replay would take place at the stadium of the second-named team later the same week.
To set the number of ties in this round at the requisite 40, Gateshead, who had recently been voted out of the Football League, and Hendon, who were the champions from the previous season's FA Amateur Cup, were given byes directly to this point.
The Crystal Palace-Hitchin Town match was of curious interest as a replay of one of the first-round fixtures from the inaugural tournament of 1871–72.
The semi-final matches were played on Saturday, 18 March 1961 with the Leicester City–Sheffield United game requiring two replays.
United had the ball in the net through Derek Pace in the first game and although the player insisted that it hit his shoulder, the referee disallowed for handball.
The 1961 FA Cup Final took place on 6 May 1961 at Wembley Stadium and was won by Tottenham Hotspur who defeated Leicester City, by a 2–0 scoreline.