Paneer Butter Masala Recipe

Authentic Paneer Butter Masala Recipe – Restaurant Style at Home

Paneer Butter Masala is one of the most cherished and iconic dishes in Indian cuisine. Known for its luxurious, velvety texture and subtle balance of spices, this North Indian favorite captures the essence of comfort food while offering restaurant-style sophistication.

At the heart of this dish is a smooth tomato-based gravy, simmered with aromatic spices, butter, and cream, resulting in a rich, mildly spiced sauce that’s both flavorful and indulgent. Cubes of soft paneer absorb the luscious curry, making every bite satisfying and full of depth.

Beloved by vegetarians and non-vegetarians alike, Paneer Butter Masala is a staple on Indian restaurant menus across the world—and now, with the right approach, it can be a star dish in your own kitchen. Whether you’re a newcomer to Indian cooking or an experienced home chef, this recipe provides a simple yet authentic method to recreate the magic of this classic curry at home. Get ready to enjoy a restaurant-style experience in the comfort of your home.

What Ingredients Need to Make a Paneer Butter Masala

Paneer Butter Masala is a rich and creamy North Indian curry made with paneer (Indian cottage cheese) simmered in a buttery, mildly spiced tomato-based gravy.

To prepare this delicious dish, you’ll need a variety of ingredients for different stages of cooking:

• Gravy base:
  Use 3 to 4 medium tomatoes (roughly chopped) to form the tangy foundation. One medium onion can be added for depth, though it’s optional for those who prefer a smoother texture. Blend this with 4 to 5 garlic cloves, a 1-inch piece of ginger, 10 to 12 cashew nuts for creaminess, and one green chili for a mild kick. Add water as needed while blending and simmering.
• Cooking the gravy:
  Heat 2 to 3 tablespoons of butter along with 1 tablespoon of oil to prevent burning. Add ½ teaspoon of cumin seeds and an optional bay leaf for aroma. Spice it up with 1 teaspoon of red chili powder (preferably Kashmiri for color), ¼ teaspoon turmeric powder, 1 teaspoon coriander powder, ½ teaspoon garam masala, and salt to taste. To balance the tangy flavor, add ½ to 1 teaspoon of sugar or honey.
• Paneer and finishing:
  Finally, add 200 to 250 grams of cubed paneer to the simmering gravy and finish with 2 tablespoons of fresh cream for a luxurious texture. Crushed kasuri methi (1 teaspoon) imparts a distinct flavor, and a sprinkle of chopped coriander leaves adds freshness to this indulgent curry.

How to Prepare the Gravy

Step 1: Prepare the Tomato-Cashew Puree

In a saucepan, heat 1 tsp of oil. Add chopped tomatoes, cashews, garlic, ginger, and onion (if using).
Sauté for 5–6 minutes until the tomatoes are soft and pulpy.
Let the mixture cool slightly, then blend it into a smooth puree using a little water. Strain for a silky texture (optional but recommended for a restaurant-like finish).

Step 2: Sauté the Paneer (Optional)

Heat 1 tsp of butter or oil in a pan. Lightly fry the paneer cubes until they’re golden on the edges.
Soak them in warm water for 10 minutes to keep them soft. This step is optional, but it adds a lovely texture.

Step 3: Cook the Gravy

In a heavy-bottomed pan or kadhai, heat 2 tbsp butter with 1 tbsp oil.
Add bay leaf, cinnamon, cardamoms, and cloves. Sauté until fragrant.
Pour in the tomato-cashew puree and cook on medium heat. Stir occasionally and cook until the oil starts separating from the sides—this takes about 8–10 minutes.
Add turmeric, red chili powder, coriander powder, and salt. Stir well and cook for 2 more minutes.
Add ½ to ¾ cup water to adjust the consistency.

Step 4: Finish the Curry

Add the paneer cubes to the simmering gravy and cook for 3–4 minutes.
Stir in the cream and crushed Kasuri Methi.
Add sugar if needed to balance acidity.
Cook for another 2–3 minutes on low heat. Turn off the flame.

How to Make Paneer at Home

To make paneer, start by boiling 1 liter of full-fat milk in a heavy-bottomed pan. Once the milk comes to a boil, lower the heat and add 1–2 tablespoons of lemon juice or vinegar gradually, stirring gently. The milk will curdle, separating into curds and whey. Turn off the heat when the curdling is complete. Strain the mixture through a muslin cloth or fine sieve. Rinse the curds under cold water to remove the sourness. Tie the cloth and hang it for 30 minutes to drain excess water. Then, place a heavy object over it for 1–2 hours to set the paneer. Once firm, cut into cubes.

How to Add Paneer for the Best Flavor and Texture

For the perfect Paneer Butter Masala, the timing and method of adding paneer can significantly impact both flavor and texture. Always use fresh, soft paneer for a rich and creamy experience. If using store-bought paneer, soak it in warm water for 10–15 minutes to soften it before adding to the gravy.

Paneer should be added only after the gravy is fully cooked and has thickened. This allows the cubes to absorb the flavors without becoming rubbery. Avoid overcooking paneer, as it tends to become chewy. Ideally, add paneer cubes once you’ve finished simmering the tomato-based masala with cream and butter.

To enhance flavor, you can lightly sauté the paneer cubes in a teaspoon of butter or ghee until golden on the edges. This adds a nutty aroma and firmer texture. Alternatively, for a softer bite, add raw paneer directly into the gravy and let it simmer for just 2–3 minutes.

Finally, let the dish rest for a few minutes after cooking. This helps the flavors to meld and allows the paneer to fully soak in the richness of the gravy, giving you a delicious, restaurant-style result at home.

What to Serve with Paneer Butter Masala

Paneer Butter Masala, with its rich, creamy, and mildly spiced tomato-based gravy, pairs wonderfully with a variety of Indian breads and rice dishes. Choosing the right accompaniment can enhance the overall experience, balancing textures and flavors for a truly satisfying meal.

1. Butter Naan or Garlic Naan:
   This is perhaps the most popular pairing. The soft, slightly charred naan is perfect for scooping up the luscious gravy. The buttery surface of the naan complements the richness of the curry, while garlic adds a punch of flavor.
2. Jeera Rice or Steamed Basmati Rice:
   If you prefer rice over bread, jeera (cumin) rice is a great choice. The subtle fragrance of cumin and the long grains of basmati rice absorb the sauce beautifully, providing a light contrast to the thick gravy. Even plain steamed rice works well if you want a simpler meal.
3. Lachha Paratha or Tandoori Roti:
   For those who enjoy layered, flaky textures, lachha paratha offers a crispy bite that contrasts well with the creamy curry. Tandoori roti, with its smoky flavor and chewy texture, is another hearty option for soaking up the sauce.
4. A Side of Salad or Pickle:
   To balance the richness, a fresh cucumber-onion salad or a small serving of spicy Indian pickle can add a refreshing tang and crunch. You can also include papad for a crispy touch.
5. A Glass of Chaas or Sweet Lassi:
   To round out the meal, consider a chilled glass of chaas (buttermilk) or sweet lassi. These traditional yogurt-based drinks aid digestion and provide a cooling contrast to the spices in the dish.

Best Ways to Store Your Paneer Butter Masala

Paneer Butter Masala can be stored safely for later use with a few simple steps:

• Allow the curry to cool completely at room temperature. Never store hot food, as it can lead to condensation and spoilage.
• Once cooled, transfer the curry into an airtight container—preferably glass or BPA-free plastic—to prevent absorption of flavors or staining.
• For short-term storage, refrigerate the dish. It stays fresh for up to 2–3 days when kept in the fridge. Reheat only the portion you need, using a pan over medium heat or a microwave. If the gravy thickens, add a splash of milk or water to restore its creamy texture.
• For longer storage, freeze Paneer Butter Masala. Use freezer-safe containers or zip-lock bags, leaving a little room for expansion. It can last up to a month in the freezer. To reheat, thaw it overnight in the refrigerator and warm it gently on the stove. Avoid frequent thawing and refreezing, as it affects texture and taste.

What Makes This Recipe Special

This Paneer Butter Masala recipe strikes a beautiful balance between simplicity and authenticity. It doesn’t require fancy ingredients or techniques, yet it delivers restaurant-quality results. The richness from cashews and cream, the brightness of tomatoes, and the warmth of Indian spices come together to create a luxurious and comforting dish every time.

Conclusion

Paneer Butter Masala is more than just a curry—it’s a celebration of Indian culinary richness. Whether you’re cooking for a special occasion or just treating yourself to a cozy homemade meal, this dish never disappoints. With this detailed recipe, even beginners can recreate the magic of restaurant-style Paneer Butter Masala in their own kitchens.

So go ahead, try this recipe today and let me know how it turned out. Don’t forget to pair it with buttery naan or fragrant rice for a truly satisfying experience!