Computational thinking (CT) is one of the skills or processes needed in computer science. However, these skills can also be integrated into any field in education. The objective of this literature review is to study the benefits and challenges of computational thinking (CT) in education. This literature review is analyses 55 references obtained from various sources, based on predefined keywords. The references were then analysed using NVivo software to code them according to several main points. Based on the literature review, there are many benefits of computational thinking in education, including increasing critical and analytical thinking among students, cultivating CT skills in STEM education among students, improving pedagogy and curriculum, and fostering CT skills through game-based learning (GBL). However, there are some challenges facing the implementation of computational thinking in the field of education. These include teachers’ understanding of computational CT, lack of confidence, lack of the skills required to implement CT, and students’ acceptance of CT. In order to overcome these challenges, there are two important aspects to consider: ensuring teachers’ level of knowledge and level of readiness about CT is high. It is hoped that this literature review will be able to provide educators with an understanding of the extent to which CT is able to shape education to be more creative and meaningful.