The invention relates to a traditional Chinese medicine composition for treating seborrheic alopecia. The traditional Chinese medicine composition is characterized in that honey-fried licorice root decoction and stomach jaundice decoction in the Golden Mirror of Medicine are added into 42 herbs including fleece flower root, eclipta, oriental arborvitae leaves, fructus broussonetiae, dark plum, white mulberry root-bark, cortex lycii radicis, tree peony bark, red paeony root, trumpet vine, clematis root, grassleaf sweelflag rhizome, ligusticum, malaytea scurfpea fruit, radix aconite lateralis preparata, crude dragon bone, raw oyster shell, tortoise shell, cortex phellodendri, villous amomum and the like. The traditional Chinese medicine composition is obtained through summarizing clinical experience of several years, achieves diagnosis and treatment of seborrheic alopecia in the aspects of jaundice due to immoderate eating and dampness-heat, deficiency of both qi and yin, yin deficiency and yang excess and the like, conforms to the etiology and pathogenesis of upper excess and lower deficiency and yin-yang disharmony of seborrheic alopecia, and has remarkable clinical curative effects. Several years of research shows that the traditional Chinese medicine composition has apparent clinical curative effects, the cure rate is up to 66.1% and the total effective rate reaches 96.4%. After a patient takes the traditional Chinese medicine composition provided by the invention, the greasy hair is obviously improved, alopecia quickly stops, and the curative effect is remarkably superior to the control group. The traditional Chinese medicine composition has the characteristics of good curative effect, short treatment course, radical curative effect, no side effects and the like.