The invention discloses an aerated concrete block and a preparation method thereof. The aerated concrete block is prepared from slurry with a material-to-liquid ratio of 1: (70 to 83). The slurry is prepared from the following raw materials in parts by weight: 8 to 12 parts of cement, 16 to 24 parts of lime, 53.6 to 80.4 parts of ceramic slurry, 2.4 to 3.6 parts of gypsum, and 7.2 to 10.8 parts ofaluminum paste, wherein the ceramic slurry is prepared by mixing and stirring ceramic tile polished waste, NaOH, lignosulfonates high-performance water reduction agent and water. The preparation method comprises the following steps: storing and preparing raw materials, stirring the materials, pouring molding, pre-maintaining, maintaining at high pressure and the like. The aerated concrete block provided by the invention is fireproof, and capable of lowering the noise, preserving the heat and insulating the heat, has a breathing humidity regulation function, and is light in weight and high incompressive strength; and by directly utilizing the ceramic tile polished waste, the soil hardening and spreading of environment pollution caused by the industrial waste residues can be reduced and inhibited, and the aerated concrete block has certain social and economic benefit for controlling the environment pollution and improving the building function.