A heterodyne interferometric ellipsometer, with no moving parts and a transverse Zeeman laser, is demonstrated. The modified Mach-Zehnder interferometer characterized as a separate frequency and common-path configuration is designed and theoretically analyzed. The experimental data show a fluctuation mainly resulting from the frequency mixing error which is caused by the imperfection of polarizing beam splitters (PBS), the elliptical polarization and non-orthogonality of light beams. The producing mechanism of the frequency mixing error and its influence on measurement are analyzed with the Jones matrix method; the calculation indicates that it results in an error up to several nanometres in the thickness measurement of thin films. The non-orthogonality has no contribution to the phase difference error when it is relatively small; the elliptical polarization and the imperfection of PBS have a major effect on the error.