the simulation of timers is very limited.
from the help : [PICTURE notice.jpg]The TIMER simulation only simulates TIMER0 and 16 bit TIMER1. And only counting/time modes are supported. PWM mode is not simulated.
There are just too many different models and modes. if you want to sim the timers, you can best use AVR studio. They can also not keep up simulating all chips and for some you need a hardware debugger.
In fact i have chosen to go the same route : use a hardware debugger with break points and run the code in the chip/real hardware.
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