The invention discloses a ferrum-based powder metallurgy antifriction material and a preparation method thereof. The material is prepared from the following raw materials in part by weight: 72 to 75 parts of mixed iron powder, 5 to 8 parts of barium oxide, 3 to 7 parts of zinc oxide, 2 to 5 parts of metallurgical carbon black, 4 to 8 parts of carbon monofluoride, 4 to 8 parts of micronized wax, 3 to 7 parts of molybdenum powder, 10 to 14 parts of tin powder, 2 to 5 parts of manganese sulfide powder and 3 to 6 parts of alumina powder. The preparation method comprises the following steps of mixing, pressing, sintering, shaping and impregnating oil. The antifriction material has the advantages of high strength and hardness, good electrical conductivity and high-temperature heat stability, good lubricating property and small friction coefficient; moreover, the raw materials are easy to obtain, the processing cost is low, the preparation process is simple, parameters are easy to control, the production process is safe and environment-friendly, and the antifriction material is suitable for large-scale industrial production.