The invention discloses a healthcare shampoo containing a traditional Chinese medicine extract and a preparation method thereof. The shampoo comprises the following components: 30-70 parts of a surface active agent, 5-12 parts of a foam promoter, 8-15 parts of a tackifier, 3-8 parts of a pearling agent, 2-8 parts of a conditioner, 0.05-0.30 part of a preservative, 1-2 parts of pigment, 0.2-0.5 part of essence and 10-80 parts of deionized water. The shampoo further comprises the traditional Chinese medicine extract, wherein the traditional Chinese medicine extract is prepared by mixing the following raw materials in parts by weight: 3-8 parts of mint leaf extract, 2-5 parts of aloe extract, 1-5 parts of white mulberry root-bark extract and 1-5 parts of red paeony root extract. The shampoo has the remarkable functionality; by virtue of the traditional Chinese medicine extract, the shampoo can not only nourish the scalp, but also exert the medicine effects, and brings a cool feel; by utilizing the shampoo, the oily degree of the scalp is reduced, the hair is easy to arrange, and the requirements of consumers are met.