This invention provides a Chinese medicinal formula comprising Atractylodis Macrocephalae Rhizoma, Glycyrrhizae Radix et Rhizoma, Angelicae sinensis Radix, Paeoniae Radix Alba and Poria for skin care. It further relates to a method for preparing bioactive fraction of this formula and to the applications of the bioactive fraction in skin-whitening and anti-skin-aging.