Method and system, for calibrating a vector modulator that does not require a network analyzer, are disclosed which are incorporated in a vector modulation system comprising a standard vector modulator circuit including means for shifting phase to adjust the relative phases of the I and Q components of the modulated RF carrier. Means for attenuating are included in the I and Q modulation system to adjust the relative amplitude of the modulation signals. The disclosure describes a technique wherein the microwave transmitter's I and Q phase difference is measured by measuring the power levels of selected frequencies of the RF output signal. The power levels are compared and a correction value is stored in a read-only memory to compensate for the error. More particularly, the error compensation is achieved by first determining amplitude error or unbalance by I and Q signal power measurement and an amplitude compensation signal is stored, then a power measurement is carried out for phase compensation and a phase compensation signal is stored.