Ba0.985Bi0.01Mn0.067Ti0.933O3 (BBMT) ceramic samples were prepared using solid phase and precipitation methods. The influence of preparation method on phase composition, microstructure, and dielectric properties of BBMT ceramic samples was studied. Results show that grain size of ceramic sample prepared by solid-phase method (BBMT-1) was not uniform and was larger than 1 µm. The dielectric peak at the Curie temperature was sharp and the tangent loss was large (0.067). Fine-grained ceramics (BBMT-2) with uniform grain size (∼300 nm) were prepared by precipitation, and these ceramics exhibited broadened, flattened permittivity peaks. At room temperature, BBMT-2 ceramic samples have high dielectric constant of 1280 and low dielectric loss of 0.028, and samples exhibit good stability at temperatures ranging from −60 to 110 °C. These materials have potential applications in multilayer ceramic capacitors (MLCCs).