AbstractThe paper presents a cost‐effective realization of hardware‐in‐the‐loop (HIL) simulation based on a low‐cost platform for power electronics education of undergraduate students, which includes three major parts: the real‐time simulation system based on Simulink, the hardware component, and the communication circuit connecting both. This communication interface replaces expensive signal interfaces with which the traditional HIL platforms of power electronics realize real‐time implementation for research and industry. The communication way will increase a little time consuming but it is acceptable for undergraduate students. Code‐development and download to control boards can be finished in Simulink too. The presented platform supports the experiment of basic conversion circuits of power electronics including AC–DC, DC–DC, DC–AC, and AC–AC. The implementations of two types of converters (DC–AC and DC–DC) with PI controllers show that HIL simulation can assist to familiarize students with the hardware devices, also keeping the flexibility of digital simulation. The students’ response to survey questions indicates that the HIL simulation based on the developed platform is effective and friendly.