The invention relates to a special multifunctional fertilizer for peanuts and a preparation method thereof. The special multifunctional fertilizer for the peanuts is characterized by comprising an organic material, a chemical fertilizer and a functional microorganism, wherein the organic material comprises raw materials including cake dregs, straws and castor-oil plant dregs, the chemical fertilizer comprises the raw materials including urea, ferrous sulfate, manganese sulfate, copper sulfate, zinc sulfate, borax and ammonium molybdate, the functional microorganism comprises the raw materials including fungi, bacteria and water, and the special multifunctional fertilizer comprises the following raw materials in percentage by weight: 30.0 to 45.0 percent of cake dregs, 18.0 to 34.0 percent of straws, 7.5 to 15.0 percent of castor-oil plant dregs, 1.0 to 3.0 percent of urea, 2.5 to 5.0 percent of ferrous sulfate, 0.2 to 0.5 percent of manganese sulfate, 0.7 to 1.5 percent of copper sulfate, 1.2 to 2.5 percent of zinc sulfate, 1.3 to 2.5 percent of borax, 0.12 to 0.25 percent of ammonium molybdate, 1.2 to 3.5 percent of fungi, 0.3 to 1.2 percent of bacteria and 10.0 to 15.0 percent of water. The yield of the peanuts can be improved by using the fertilizer, the production process is simple, and the cost is low.