The invention provides a multi-parameter remote automatic water pumping test recorder and a method thereof. The multi-parameter remote automatic water pumping test recorder comprises a water pump, wherein the water pump is connected with a water pump controller used for controlling the start, stop and rotating speed of the water pump; the water pump controller is connected with the central processor which is respectively connected with the air pressure compensation sensor, the density sensor and the water level sensor; the central processor is used for receiving a gas pressure value P2, a density value rho and a gas pressure value P1 corresponding to a measured water level which are transmitted by the gas pressure compensation sensor, the density sensor and the water level sensor to obtainthe post-compensation water level information H; wherein, H=(P1-P2)/rho*g, g represents the gravity acceleration.