Paneer Butter Masala
Paneer Butter Masala is one of those remarkable dishes that can make you swoon with every creamy, spiced bite. Imagine tender cubes of homemade paneer sizzling in a rich, velvety tomato-based sauce infused with spices that come together in perfect harmony. It’s truly a dish that embodies the spirit of Indian cuisine and is beloved by many for its warm comfort and vibrant flavors. What sets this recipe apart is the homemade paneer, which brings an irresistible freshness to the table, making it incredibly satisfying to enjoy for any occasion.
Table of Contents

I still remember the first time I made Paneer Butter Masala. It was a rainy day, and the thought of indulging in something incredibly hearty and flavorful felt absolutely perfect. As I chopped the onions and stirred the fragrant spices, the kitchen filled with the embrace of cozy aromas—inviting everyone to gather around the table. This recipe not only quenches that craving for something indulgent but also proves to be a fantastic crowd-pleaser. If you’re looking for a comforting, flavorful dish that’s sure to impress, this Paneer Butter Masala is the one to whip up!
Why You’ll Love This Recipe
- Simple & Quick: With a prep time of just 15 minutes and a cooking time of 30 minutes, you can have this delightful dish on your table in no time.
- Irresistible Flavor: The combination of tangy tomatoes, creamy butter, and aromatic spices creates a flavor explosion that’s simply divine.
- Eye-Catching Appeal: The vibrant orange color and creamy texture make this dish as beautiful as it is delicious, perfect for impressing guests or family.
- Flexible Serving: Great for weeknight dinners, special occasions, or even as a comforting lunch, it pairs perfectly with naan or rice.
- Diet-Friendly Options: This dish can be made vegetarian and can also be adapted for vegan diets with simple substitutions.
Ingredients You’ll Need
- 2 cups basmati rice: This fragrant rice is perfect for soaking up the creamy sauce and adds a delightful textural contrast.
- 3 cups water: Essential for cooking the rice to fluffy perfection.
- ½ teaspoon salt: Enhances the flavors of the rice and balances the overall taste of the dish.
- 1 gallon whole milk: Used to make fresh paneer at home, which will elevate the flavor and texture.
- ⅔ cup lemon juice or white vinegar: Helps to curdle the milk to create paneer.
- Cold water, to rinse curds: This step removes acidity from the paneer.
- Neutral oil or ghee for searing: Adds richness and flavor while searing the paneer.
- 6 tablespoons butter, divided: Adds richness to the sauce and enhances the creamy texture.
- 1 tablespoon neutral oil: Used for sautéing onions, providing a base flavor for the sauce.
- 2 medium onions, finely chopped: Bring sweetness and depth to the dish when cooked down.
- ¼ cup ginger-garlic paste: Freshness and aromatic layers are essential in Indian cooking.
- 3 cups tomato purée: Provides the tangy base of the sauce, using either canned San Marzano tomatoes or ripe fresh tomatoes for best flavor.
- 1 tablespoon Kashmiri red chili powder: Imparts a beautiful color and mild heat to the dish.
- 2 teaspoons ground coriander: Adds earthy undertones and depth to the sauce.
- 2 teaspoons salt: Essential for balancing the flavors in the dish.
- 2 teaspoons sugar: Balances the acidity of the tomatoes and enhances the sauce’s overall flavor profile.
- 2 cups vegetable stock: Adds depth and richness to the sauce.
- ¾ cup heavy cream: Creates the velvety texture that makes the sauce so sumptuous.
- 2 teaspoons kasuri methi: Adds a punch of flavor with its unique aroma, enhancing the dish.
- 2 teaspoons garam masala: A aromatic blend that adds warmth and complexity to the sauce.
- Butter naan, warmed and brushed with butter: The ideal accompaniment for scooping up the decadent sauce.
- Red onion, thinly sliced: For a fresh crunch, perfect as a garnish.
- Lemon and lime wedges: For a citrusy kick that brightens the flavors.
- Heavy cream: For drizzling over the top for extra creaminess.
- Warm ghee: For a final touch of rich flavor.
How to Make Paneer Butter Masala
- Rinse the Basmati Rice: Start by rinsing 2 cups of basmati rice under cold water until the water runs mostly clear to remove extra starch.
- Cook the Rice: Add the rinsed rice, 3 cups of water, and ½ teaspoon of salt to a rice cooker and cook using the white rice setting. Alternatively, combine the ingredients in a pot on the stove, bring to a boil, cover, reduce heat, and simmer for 15 minutes.
- Fluff and Keep Warm: After cooking, gently fluff the rice with a fork, cover it, and keep it warm.
- Boil the Milk: In a large pot, bring 1 gallon of whole milk to a gentle boil over medium heat. Be careful to prevent scorching by lowering the heat as necessary.
- Curdle the Milk: Slowly stir in ⅔ cup of lemon juice or white vinegar, allowing the milk to curdle and the curds to separate from the whey.
- Strain the Mixture: Pour the curds through a cheesecloth and rinse with cold water to neutralize the acidity.
- Press the Paneer: Transfer the curds to a square glass container and lightly press for 10 to 15 minutes to create soft but sliceable paneer, or press overnight for a firmer texture.
- Cut the Paneer: Once pressed, remove the paneer from the container and cut it into large cubes.
- Sear the Paneer: In a medium skillet, heat neutral oil or ghee over medium heat, then lightly sear the paneer cubes until golden on the edges. Transfer to a paper towel to drain and set aside.
- Prepare the Sauce: Heat 2 tablespoons of butter and 1 tablespoon of neutral oil in a wide pan over medium heat.
- Cook the Onions: Add the finely chopped onions and cook low and slow until they become soft and translucent, not browned, about 8 minutes.
- Add the Ginger-Garlic Paste: Stir in ¼ cup of ginger-garlic paste and cook until fragrant and any raw smell disappears, roughly 30 seconds.
- Mix in the Tomato Purée: Stir in 3 cups of strained tomato purée, 1 tablespoon of Kashmiri red chili powder, 2 teaspoons of ground coriander, 2 teaspoons of salt, and 2 teaspoons of sugar.
- Cook the Sauce: Lower the heat and allow the sauce to thicken and deepen in color, cooking until the fat separates at the edges.
- Blend for Texture: If desired, blend the mixture with an immersion blender until smooth for a creamier texture.
- Loosen the Gravy: Add water or 2 cups of vegetable stock to loosen the gravy, simmer gently for about 20 minutes.
- Finish with Cream and Spices: Stir in ¾ cup of heavy cream and 2 teaspoons of crushed kasuri methi, mixing well.
- Add the Remaining Butter and Garam Masala: Finish the sauce with the remaining butter and 2 teaspoons of garam masala for that authentic taste.
- Simmer with Paneer: Carefully add the seared paneer to the sauce and simmer for an additional 2 to 3 minutes. Avoid overcooking to keep paneer tender.
- Warm the Naan: Warm your naan in a dry pan or oven and brush with butter to add richness.
- Prepare Garnishes: Thinly slice the red onion and cut lemon and lime into wedges for serving.
- Serve the Dish: Ladle the paneer butter masala into shallow bowls, drizzle heavy cream in a spiral, and finish with a swirl of warm ghee in the center.
- Accompany with Sides: Serve with the cooked basmati rice, naan, sliced onion, and citrus wedges for a delightful meal.
Storing & Reheating
To store leftover Paneer Butter Masala, allow it to cool completely before placing it in an airtight container. It can be kept in the refrigerator for up to 3 to 5 days. For longer storage, freeze it in a suitable container for up to 3 months. When reheating, gently warm on the stovetop over low heat, stirring occasionally, until heated through. Note that freezing may alter the texture slightly, so adding a splash of cream may revive the creaminess.
Chef’s Helpful Tips
- Avoid overcooking the paneer while simmering in the sauce to keep it tender.
- Use fresh ingredients for the best flavor—fresh tomatoes over canned when in season can elevate the dish.
- If unavailable, silk tofu can replace paneer for a vegan version.
- Always taste and adjust the seasoning according to your preferences, especially salt, sugar, and spices.
- For a smoother sauce, blending is essential, so don’t skip it if you desire that silky finish.
Paneer Butter Masala is not only wonderfully rich and creamy but also allows for creativity and variety in serving. Whether you’re entertaining friends, preparing a family meal, or just treating yourself, this dish will certainly be the star of the show. Feel free to experiment with the spices and sides, and enjoy every bite of it!

Recipe FAQs
Can I make Paneer Butter Masala vegan?
Absolutely! You can create a vegan version by substituting the paneer with tofu or a nut-based cheese, and using coconut milk or cashew cream instead of heavy cream. This will keep the dish creamy while making it suitable for vegan diets.
What can I serve with Paneer Butter Masala?
This dish pairs beautifully with butter naan, roti, or basmati rice. You can also serve it with a fresh salad or side of pickles for an added crunch and flavor contrast.
How do I store leftovers?
Leftovers should be cooled and stored in an airtight container in the refrigerator for up to 3 to 5 days, or frozen for up to 3 months. When reheating, gently warm over low heat and add a splash of cream for extra richness.
Why is my sauce watery?
If your sauce turns out watery, it could be due to the tomatoes releasing excess water. Allow the sauce to simmer longer to thicken. Additionally, blending the sauce can help achieve a smoother, creamier texture.
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📖 Recipe Card

Paneer Butter Masala
- Prep Time: 30 minutes
- Cook Time: 45 minutes
- Total Time: 1 hour 15 minutes
- Yield: 6 servings 1x
- Category: Main Dishes
- Method: Stove
- Cuisine: Indian
Description
Paneer Butter Masala features a deliciously creamy tomato sauce and perfectly cooked paneer. This mouthwatering dish is ideal for quick dinners or gatherings, delivering irresistible flavor in every bite.
Ingredients
- 2 cup (400 gram) basmati rice
- 3 cup (700 milliliter) water
- ½ teaspoon (3 gram) salt
- 1 gallon (3.79 liter) whole milk
- ⅔ cup (150 milliliter) lemon juice or white vinegar
- cold water, to rinse curds
- neutral oil or ghee, for searing
- 6 tablespoon (85 gram) butter, divided
- 1 tablespoon (15 milliliter) neutral oil
- 2 medium onion, finely chopped
- ¼ cup (60 gram) ginger-garlic paste
- 3 cup (700 milliliter) tomato purée
- 1 tablespoon (8 gram) kashmiri red chili powder
- 2 teaspoon (4 gram) ground coriander
- 2 teaspoon (12 gram) salt
- 2 teaspoon (8 gram) sugar, or to taste
- 2 cup (475 milliliter) vegetable stock
- ¾ cup (177 milliliter) heavy cream
- 2 teaspoon (1 gram) kasuri methi, crushed between palms
- 2 teaspoon (4 gram) garam masala
- butter naan, warmed and brushed with butter
- red onion, thinly sliced
- lemon and lime wedges
- heavy cream
- warm ghee
Instructions
- Rinse the basmati rice under cold water until it runs mostly clear.
- In a rice cooker, combine rinsed rice, water, and salt. Cook using the white rice setting. For stove method, bring to a boil, cover, reduce heat, and simmer for 15 minutes.
- Fluff the cooked rice gently with a fork, cover, and keep warm.
Notes
For this dish, using fresh tomatoes provides the best flavor.
Adjust the spice level by modifying the amount of kashmiri red chili powder used.
Serve with warm naan bread for a complete meal.
Nutrition
- Serving Size: 1 serving
- Calories: 650
- Sugar: 10g
- Sodium: 800mg
- Fat: 45g
- Saturated Fat: 25g
- Unsaturated Fat: 15g
- Trans Fat: 0g
- Carbohydrates: 40g
- Fiber: 5g
- Protein: 15g
- Cholesterol: 100mg
