A compensation method for an induced amount in a touch sensor and a touch panel thereof are provided. The compensation method uses a fake finger circuit to simulate the situations when a user touches the sensing nodes of the touch sensor with a finger, and obtains the gain coefficient of each of the sensing nodes, which are used to compensate for the induced capacitance generated by the sensing nodes as a result of being touched by an external object. In this way, the extra effects caused by the difference in basic capacitance can be eliminated by the gain coefficient.