The invention discloses a catalyst for preparing methylbenzene by methanol conversion, which comprises, by weight, 30%-80% of composite molecular sieves, 0.1%-10% of modifier elements and the balance being binders. The composite molecular sieves are selected from SAPO-34, SAPO-11, HZSM-5, HZSM-22, HZSM-11, MCM-41, MCM-22, HBeta, HY, MOR or EUO; the modifier elements are selected from Cr, Mo, W, Cu, Zn, Fe, Co, Ni, Ga, Sn, Zr, Mn, Pd, Pt and Re; and the binders can be aluminum oxide, pseudoboehmite, silicone gel, silicon dioxide or diatomaceous earth. The catalyst for preparing methylbenzene by methanol conversion and a preparation method thereof have the following advantages that (1), the total recovery of methylbenzene is higher and the selectivity thereof is also higher; (2) raw material handling capacity is high; (3), non-aromatic and butylene products circularly enter a reactor to realize further reaction so that the total aromatic recovery and balanced reaction thermal effect areimproved; (4), non-aromatic liquid products can be used as solvent oil or gasoline components; and (5), the catalyst has long service life.