Inverter power supplies have been developed as an analog circuit. Over the past decade, digital control has emerged as a viable candidate for the inverter power supplies due to the benefits which can be added by applying the digital control. However the complexity of digital control has been dramatically increasing. One of the leading methods in the digital control design is the model based development technique. Modeling and simulation act as the first step of model based development technique and they are very useful for the development and implementation in both hardware and software. They can lead to improve the performance, reduce development and production cost and time. This paper constructs a Model In the Loop Simulation (MILS) environment for designing the embedded software for the inverter power supply. The principle of the operation and the key features of using the digital PWM controllers are presented. Moreover, the important software parameters are optimized using the simulator. To verify the validity of the developed model, comparisons between the circuit simulation and experimental results are shown. The illustrations show that the results obtained by the developed model are in good agreement with the experimental results.