The present disclosure relates to an iron-based prealloy powder having excellent strength and processability, and an iron-based alloy powder for powder metallurgy and a sinter-forged member using the same. The iron-based prealloy powder for powder metallurgy according to an embodiment of the present disclosure includes 0.5 to 5.0 wt % of Cu, 0.1 to 0.5 wt % of Mo, and a balance of Fe and other inevitable impurities. A Cu content (Cu %) and a Mo content (Mo %) satisfy the following Relational Equation (1): 0.3×Cu %+3×Mo %≤2.7  (1).