The invention discloses a calculation method for underground magnetic navigation, comprising the following steps: step 1, preprocessing acquired magnetic signals by an underground magnetic navigation method; step 2, establishing a model for calculating the strength of induced magnetic fields generated at any point in space by a magnetic source; step 3, starting from a magnetic dipole model; step 4, solving the undetermined coefficient in a relational expression shown in the specification by adopting the least square linear fitting method; step 5, adopting the model established in step 3 to solve the relation among an azimuth, a hole deviation angle and the strengths of magnetic inductions generated by the magnetic source at any point in space in the directions of x, y and z through back calculation; step 6, adopting three pairs of magnetic field strengths in the directions of x, y and z acquired by three fluxgate type sensors; and step 7, judging the position of the magnetic source relative to a magnetic vector sensor. The method has the advantages of adopted artificial magnetic beacon, long navigation distance and high angle measurement precision. The calculation method is simple, can be programmed conveniently by a computer, and has high operation efficiency.