The invention relates to a method for preparing mercaptoacetic acid. The method comprises the following steps: (1) adding monochloro acetic acid, sodium chloroacetate and carbon disulfide into a reactor, stirring, dripping an alkali solution, and separating the oil phase from the water phase after the reaction is completed; (2) recycling unreacted carbon disulfide from the separated oil phase mixture for circulation, acidifying the residual mixture into a weak acid solution, adding an organic solvent to extract for 2-3 times, combining organic phases, washing with a salt solution and water, and separating the oil phase and the water phase; and (3) distilling the separated oil phase, and recycling the organic solvent, thereby obtaining residues, that is, the mercaptoacetic acid. As carbon disulfide is adopted to react with alkali to generate sulfydryl, the sulfydryl is further reacted with sodium chloroacetate to generate sodium thioglycollate, and a proper amount of acids, organic solvent and alkali solution are added, the raw material cost is low, and a small amount of reagents are used; as the excessive carbon disulfide can be recycled and circulated, the utilization rate is high, and the method is a clean production process; the reaction conditions are gentle, the reaction time is short, no high temperature or high pressure is needed, and the equipment investment is low.