Paneer Butter Masala Recipe
Paneer Butter Masala Recipe is a medium Indian recipe that serves 4. 280 calories per serving. Recipe by Chef At Home on YouTube.
Prep: 20 min | Cook: 30 min | Total: 1 hr 5 min
Cost: $20.58 total, $5.15 per serving
Ingredients
- 250 g Paneer (firm paneer, cut into 1‑inch cubes)
- 2 medium Onion (finely chopped)
- 2 medium Tomato (finely chopped)
- 30 g Cashew Nuts (soaked 10‑15 min, then blended to a smooth paste)
- 1 Tbsp Ginger Garlic Paste (store‑bought or homemade)
- 1 Tbsp Kashmiri Red Chili Powder (provides color and mild heat)
- 0.5 Tbsp Regular Red Chili Powder (adjust to taste)
- 0.5 Tbsp Turmeric Powder
- 1 tsp Fenugreek Leaves (Kasuri Methi) (optional, for authentic flavor)
- 1 tsp Garam Masala
- 0.5 tsp Cumin Seeds
- 1 tsp Coriander Powder
- 1 tsp Salt (or to taste)
- 1 tsp Sugar
- 2 Tbsp Tomato Ketchup (adds sweetness and gloss)
- 240 ml Full‑Fat Milk (preferably whole milk)
- 30 g Unsalted Butter (cut into cubes)
- 3 Tbsp Sunflower Oil (for sautéing)
- 2 Tbsp Fresh Cilantro Leaves (chopped, for garnish (optional))
Instructions
Prepare Ingredients
Finely chop the onions and tomatoes, soak the cashews for 10‑15 minutes, and measure out all spices, butter, milk, and oil.
Time: PT15M
Make Cashew Paste
Drain the soaked cashews and blend with a splash of water until completely smooth.
Time: PT5M
Sauté Onions
Heat sunflower oil in the saucepan over medium heat. Add the chopped onions and sauté until golden brown, stirring occasionally.
Time: PT7M
Temperature: Medium heat
Add Ginger‑Garlic Paste
Stir in the ginger garlic paste and cook for about 1 minute until fragrant.
Time: PT1M
Temperature: Medium heat
Cook Tomatoes
Add the chopped tomatoes and cook until they break down and the oil begins to separate, about 5 minutes.
Time: PT5M
Temperature: Medium heat
Spice It Up
Add Kashmiri red chili powder, regular chili powder, turmeric, cumin seeds, coriander powder, and salt. Stir continuously for 2 minutes.
Time: PT2M
Temperature: Medium heat
Incorporate Cashew Paste & Water
Pour the smooth cashew paste into the pan, add about 1 cup of water, and mix well. Reduce heat to low and let the gravy simmer for 10 minutes, stirring occasionally.
Time: PT10M
Temperature: Low heat
Finish the Gravy
Stir in tomato ketchup, sugar, milk, butter cubes, garam masala, fenugreek leaves (if using), and the paneer cubes. Cook on low heat for 5 minutes, allowing the paneer to absorb the flavors.
Time: PT5M
Temperature: Low heat
Garnish and Serve
Turn off the heat, garnish with chopped cilantro if desired, and serve hot with naan, roti, or steamed rice.
Time: PT2M
Nutrition Facts
- Calories
- 280
- Protein
- 12 g
- Carbohydrates
- 15 g
- Fat
- 20 g
- Fiber
- 2 g
Dietary info: Vegetarian, Gluten-Free
Allergens: Dairy, Tree nuts
Ingredient Substitutions
- Instead of Paneer: Firm tofu
- Instead of Onion: Shallots
- Instead of Tomato: Canned diced tomatoes
- Instead of Cashew Nuts: Almonds (for paste)
- Instead of Ginger Garlic Paste: Fresh grated ginger and minced garlic
- Instead of Kashmiri Red Chili Powder: Paprika + a pinch cayenne
- Instead of Regular Red Chili Powder: Cayenne pepper
- Instead of Fenugreek Leaves (Kasuri Methi): Dried fenugreek seeds (crushed)
- Instead of Sugar: Honey (reduce other sweeteners)
- Instead of Tomato Ketchup: Tomato puree with a pinch sugar
- Instead of Full‑Fat Milk: Heavy cream (use less)
- Instead of Unsalted Butter: Ghee
- Instead of Sunflower Oil: Canola oil, vegetable oil
- Instead of Fresh Cilantro Leaves: Fresh parsley
Equipment Needed
- Knife
- Cutting Board
- Blender or Food Processor
- Saucepan or Deep Skillet
- Wooden Spoon or Spatula
- Measuring Spoons
- Mixing Bowl (optional)
Critical Steps — Do Not Skip
- Achieving a deep golden brown while sautéing onions.
- Blending cashews into a completely smooth paste.
- Cooking spices just enough to release aroma without burning.
- Maintaining a low simmer after adding cashew paste to prevent curdling.
- Adding paneer at the end to keep it soft and prevent it from breaking apart.
Chef Tips from the Video
- Use fresh ginger‑garlic paste for a brighter flavor.
- A pinch of sugar balances the acidity of tomatoes and ketchup.
- Finish with a small knob of butter for extra shine and richness.
- If you like extra heat, add a slit green chili with the onions.
Troubleshooting
Gravy is too thick.
Add a little more warm water or milk, 1‑2 tbsp at a time, and stir until desired consistency is reached.
Gravy is watery.
Simmer uncovered on low heat for a few more minutes to reduce, or add a spoonful of cashew paste to thicken.
Paneer becomes mushy.
Add paneer at the very end and heat just until warmed through; alternatively, lightly fry paneer cubes before adding.
Storage
Refrigerator: Store in an airtight container for up to 3 days.
Freezer: Freeze in a freezer‑safe container for up to 1 month; thaw and reheat gently.
Room temperature: Not recommended; gravy contains dairy and should be kept chilled.
Make-Ahead Tips
- Prepare the cashew paste and store it in the fridge for up to 2 days.
- The spice mix (chili powders, turmeric, garam masala) can be measured and kept in an airtight jar.
- Gravy can be cooked a day ahead; reheat gently and add fresh paneer just before serving.
Frequently Asked Questions
What is the cultural significance and history of Paneer Butter Masala in Indian cuisine?
Paneer Butter Masala, also known as Paneer Makhani, originated in North India as a restaurant‑style dish that blends the richness of butter (makhani) with soft paneer cubes. It became popular in the 1970s‑80s as a vegetarian alternative to butter chicken, showcasing the Indian love for creamy, tomato‑based gravies.
What are the traditional regional variations of Paneer Butter Masala in North Indian cuisine?
In Punjab, the gravy is often richer with added cream and a higher butter content. In Gujarat, a touch of sugar or jaggery is added for a sweeter profile. Some South Indian versions incorporate coconut milk for a subtle tropical twist.
How is Paneer Butter Masala traditionally served in Indian households?
It is typically served hot with naan, tandoori roti, or steamed basmati rice. A side of fresh cucumber raita and a wedge of lemon are common accompaniments, and the dish is often enjoyed during festivals and family gatherings.
During which Indian celebrations is Paneer Butter Masala commonly prepared?
Paneer Butter Masala is a favorite for festivals like Diwali, Navratri, and wedding feasts because its rich flavor appeals to both vegetarians and non‑vegetarians, making it a crowd‑pleaser at celebratory meals.
What makes Paneer Butter Masala special in Indian vegetarian cuisine?
Its combination of a silky cashew‑based makhani gravy, aromatic spices, and soft paneer creates a luxurious texture that rivals many meat‑based curries, highlighting the versatility of dairy in Indian cooking.
What are the authentic traditional ingredients for Paneer Butter Masala versus acceptable substitutes?
Traditional ingredients include paneer, cashew paste, butter, tomato puree, Kashmiri red chili powder, and fenugreek leaves. Acceptable substitutes are tofu for paneer, almond paste for cashews, and heavy cream in place of milk for extra richness.
What other North Indian dishes pair well with Paneer Butter Masala?
It pairs beautifully with buttery naan, garlic roti, jeera rice, and side dishes like aloo gobi or dal tadka, creating a balanced vegetarian feast.
What are the most common mistakes to avoid when making Paneer Butter Masala at home?
Common mistakes include over‑cooking the onions (which can become bitter), burning the spices, using too much water which dilutes the gravy, and adding paneer too early, which makes it fall apart. Follow the critical steps for sautéing onions and adding paneer at the end.
Why does this Paneer Butter Masala recipe use cashew paste instead of cream?
Cashew paste provides a natural, nutty thickness without the heaviness of cream, keeping the dish lighter while still delivering a silky texture. It also aligns with traditional makhani gravies that pre‑date the widespread use of dairy cream.
What does the YouTube channel Chef At Home specialize in?
The YouTube channel Chef At Home focuses on easy‑to‑follow Indian home‑cooking tutorials, emphasizing authentic flavors, step‑by‑step guidance, and practical tips for everyday cooks.
How does the YouTube channel Chef At Home's approach to Indian cooking differ from other Indian cooking channels?
Chef At Home prioritizes minimal equipment, clear visual cues, and budget‑friendly ingredient choices, making traditional Indian dishes accessible for beginners, whereas many other channels target advanced techniques or restaurant‑style plating.
Last updated: August 28, 2026








