Semi-active suspension uses a special adaptive damper whose damping properties vary with road conditions under the influence of an electromagnet. The adaptive damper is used along with a sophisticated electronic circuit which constantly monitors the changing road conditions and adapts accordingly. The aim of this paper is to simulate and analyze a   simple and low-cost semi active suspension system using ‘MATLAB and SIMULINK’ platform and establish its superiority, and also involves the development and simulation of a virtual quarter car model. Thereafter the graphical results obtained are analyzed. The model is   developed using equations of motion involving stiffness, damping ratio and displacement. These equations are translated into a simple data flow circuit in the simulation software to obtain definite results in the form of graphical output .This paper aims at the development of a simpler and cheaper semi active suspension system which will allow its fitment in comparatively affordable cars.