Received Month X, XXXX; revised Month X, XXXX; accepted Month X, XXXX; posted Month X, XXXX (Doc. ID XXXXX); published Month X, XXXX We experimentally demonstrate a passively Q-switched erbium-doped fiber laser (EDFL) operation by using a saturable absorber based on Fe 3 O 4 nanoparticles (FONP) in magnetic fluid (MF). As a kind of transition metal oxide, the FONP has a large nonlinear optical response with a fast response time for saturable absorber. By depositing MF at the end of optical fiber ferrule, we fabricated a FONP-based saturable absorber, which enables a strong light-matter interaction owing to the confined transmitted optical field within the single mode fiber. Because of large third-order optical nonlinearities of FONP-based saturable absorber, large modulation depth of 8.2% and non saturable absorption of 56.6% are demonstrated. As a result, stable passively Q-switched EDFL pulses with maximum output pulse energy of 23.76 nJ, repetition rate of 33.3 kHz, and pulse width of 3.2 μs are achieved when the input pump power is 110 mW at the wavelength of 980 nm. The laser features a low threshold pump power of ~15 mW.