The invention relates to a medical wine and a preparation method thereof. The medical wine is prepared by soaking twenty-six traditional Chinese medicines with a corn wine twice, wherein the twenty-six traditional Chinese medicines include Astragalus membranaceus, cistanche, radix codonopsitis, rhizoma cyperi, red ginseng, rhizoma corydalis, Rhodiola rosea, Salvia miltiorrhiza, penis cervi, atractylis ovate, penis canitis, philippine flemingia root, male silkworm moths, fructus amomi, cinnamon, clove, fresh sweet-scented osmanthus, liquorice, semen cuscutae, actinolite, lotus stamen, fructus psoraleae, longan aril, dried orange peel, ophiopogon root and Schisandra chinensis. The medical wine is yellow-brown clear liquid and is fragrant in odor and sweet in taste and is slightly pungent and astringent. The medical wine has functions of tonifying kidney-yang, benefiting essence and blood, expelling wind-damp, relieving arthralgia and strengthening activities of bodies and joints and is suitable for symptoms such as liver-kidney deficiency, insufficiency of kidney-yang, essence and blood deficiency, cold sperm, impotence and sterility, spermatorrhea, erectile problems in sexual intercourse, soreness and weakness of waist and knees, bone-muscle disability, unfavorable flexion and extension, lumbar muscle degeneration and rheumatoid arthritis.