Two dimensional vibration-assisted machining is applied into micro-milling to improve cutting accuracy and prolong tool life. In this paper, the tool tip path of two dimensional vibration-assisted micro-milling (2-D VAMM) with different vibrating parameters is simulated and analyzed. And the computation module of chip thickness in 2-D VAMM is proposed, based on which the chip thickness characteristics is investigated using two evaluating indicators: free time ratio (FTR) and amplitude ratio (AR). The effects of vibrating parameters on FTR and AR are studied with the help of Full Factorial Design and analysis of variance. It is found that FTR can be increased by increasing the ratio of amplitude in normal direction to the feed and the ratio of frequency in normal direction to spindle speed, while AR will be enlarged with increase of the ratio of amplitude in feed direction to the feed and the ratio of frequency in feed direction to spindle speed. The simulation studies are the foundation for calculating cutting force, tool wear and surface roughness in 2-D VAMM and can also guide the further experiment.