Paneer Butter Masala Recipe (with Step by Step Photos)

By Rahnaskitchen

Paneer Butter Masala is a bright orange-colored, creamy & light buttery flavored North Indian dish. It is one of the most popular main course in Indian restaurants. It is also my husband's favorite dish so I had to try this. I have tried many different versions of this recipe available on internet. But based on my experience I found below version as the best one. So I am sharing it with you all. Give it a try and I hope you will be happy with the outcome.

Paneer butter masala recipe video

Ingredients

*measurement for cup used, 1 cup = 250 ml

1 medium onions, roughly chopped
2 tablespoons cashew nuts
2 green cardamom, crushed
2 tablespoons Butter
2 tablespoons Oil
1/2 teaspoon black pepper
4-5 cloves
2 inch cinnamon
2 bayleaves
1 teaspoon crushed ginger
3-4 crushed garlic
Tomato puree from 4 medium tomatoes
1/2 teaspoon turmeric powder
3/4 teaspoon Kashmiri Red Chili Powder
1/2 teaspoon Garam Masala Powder
Salt to taste
Boiled water as required
2 tablespoons Fresh Cream
2 teaspoons Kasuri Methi (dry fenugreek leaves)
1/2 teaspoon sugar
250 grams paneer (or Tofu), cut into 1-inch cubes

Step by step paneer butter masala

Step 1. Place a pan on medium heat and add 1 cup of water. Add onion, cashew nuts and green cardamom and boil for 10 minutes. Take it off the heat and let it cool for 2 minutes. Further grind to make it paste.


Step 2. Heat cooking oil and butter in a non-stick wok over medium flame. I have mixed oil with butter so that butter doesn't burn. Add black pepper, cloves, cinnamon and bayleaves. Saute for a second.

Step 3. Add ginger and saute. Then add garlic and saute till raw aroma goes.

Step 4 . Add freshly prepared cashew onion paste and saute until onion paste turns light brown for approx. 4-5 minutes.

Step 5. Add tomato puree and cook until oil starts to separate from the puree, it will take about 3-4 minutes.

Step 6. Add red chili powder, turmeric, garam masala powder and salt to taste. Stir and let it simmer for 4-5 mins. Masala should be cooked enough and forms as lump.

Step . 7 Now add boiled water to adjust the consistency of gravy.

Step 8 . See the colour of gravy coming itself, I haven't used any food colour in it. Add cream to the tomato paste and combine it well. After adding cream colour of the gravy will change from red to orange.

Add crushed kasuri methi/dry fenugreek leaves to enhance the flavor. Dry fenugreek leaves are one of the key ingredient in restaurant style butter paneer masala.


Step 9. Add the paneer cubes and cook them for 1 minutes till they become soft. Delicious paneer butter masala is ready to serve. You can serve it phulka, naan or rice. Garnish paneer butter masala with coriander leaves, milk cream or cube of butter.

Recipe card - paneer butter masala recipe

Paneer Butter Masala Recipe (with Step by Step Photos)

  • 1 medium onions, roughly chopped
  • 2 tablespoons cashew nuts
  • 2 green cardamom, crushed
  • 2 tablespoons Butter
  • 2 tablespoons Oil
  • ½ teaspoon black pepper
  • 4-5 cloves
  • 2 inch cinnamon
  • 2 bayleaves
  • 1 teaspoon crushed ginger
  • 3-4 crushed garlic
  • Tomato puree from 4 medium tomatoes
  • ½ teaspoon turmeric powder
  • ¾ teaspoon Kashmiri Red Chili Powder
  • ½ teaspoon Garam Masala Powder
  • Salt to taste
  • Boiled water as required
  • 2 tablespoons Fresh Cream
  • 2 teaspoons Kasuri Methi (dry fenugreek leaves)
  • ½ teaspoon sugar
  • 250 grams paneer (or Tofu), cut into 1-inch cubes
  1. Place a pan on medium heat and add 1 cup of water. Add onion, cashew nuts and green cardamom and boil for 10 minutes. Take it off the heat and let it cool for 2 minutes. Further grind to make it paste.
  2. Heat cooking oil and butter in a non-stick wok over medium flame. I have mixed oil with butter so that butter doesn't burn. Add black pepper, cloves, cinnamon and bayleaves. Saute for a second.
  3. Add ginger and saute. Then add garlic and saute till raw aroma goes.
  4. Add freshly prepared cashew onion paste and saute until onion paste turns light brown for approx. 4-5 minutes.
  5. Add tomato puree and cook until oil starts to separate from the puree, it will take about 3-4 minutes.
  6. Add red chili powder, turmeric, garam masala powder and salt to taste. Stir and let it simmer for 4-5 mins. Masala should be cooked enough and forms as lump.
  7. Now add boiled water to adjust the consistency of gravy
  8. See the colour of gravy coming itself, I haven't used any food colour in it. Add cream to the tomato paste and combine it well. After adding cream colour of the gravy will change from red to orange.
  9. Add crushed kasuri methi/dry fenugreek leaves to enhance the flavor. Dry fenugreek leaves are one of the key ingredient in restaurant style butter paneer masala.
  10. Add the paneer cubes and cook them for 1 minutes till they become soft. Delicious paneer butter masala is ready to serve. You can serve it
  11. phulka,naan or rice. Garnish paneer butter masala with coriander leaves, milk cream or cube of butter.

There are some other paneer recipes available on blog !

1. Khoya Matar Paneer

2. Palak paneer

3. Kadai paneer