Physiological jaundice can vanish spontaneously without treatment. The basic therapeutic principle of infantile physiological jaundice is inducing diuresis to remove dampness and jaundice. According to the differences of yin jaundice and yang jaundice, the therapeutic methods are respectively applied of clearing away heat and inducing diuresis to remove jaundice as well as warming the middle energizer and removing dampness to eliminate jaundice. Jaundice due to blood stasis is treated by removing blood stasis; neonatal jaundice with convulsion by clearing away heat and relieving convulsion; neonatal jaundice causing prostration urgently by recuperating depleted yang to prevent collapse.The syndrome differentiation of neonatal jaundice should discriminate whether it is of yin nature or yang nature. Yang jaundice manifests bright orange colour, yellowish urine like orange juice, dysphoria, frequent cry, thirst with preference to drink, red tongue with yellowish and greasy fur; yin jaundice is marked by dark and gloomy yellow which does not vanish for long, listlessness, cold limbs, abdominal distension, poor appetite, loose stools and pale tongue with thin fur.