The invention provides an iron aluminide intermetallic compound-titanium diboride composite material and a preparation method thereof. The material consists of 85%-95% of iron aluminide intermetallic compound and 5%-15% of titanium diboride in atom percent. The iron aluminide intermetallic compound-titanium diboride composite material is made by a mechanical alloying combined with a hot-pressing sintering method, which can avoid high-temperature melting and solidification procedure of normal metallurgical process, realize alloying at room temperature, and can reduce composition segregation and enhance influence of uneven phase distribution on performance, and process conditions are relatively simple and economic; and even dispersed phase can be introduced while obtaining fine nano-crystalstructure, and the yield is high.