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  3. Paneer Butter Masala
Paneer butter masala in a creamy orange sauce with a swirl of cream

Paneer cubes in a rich buttery tomato-cream sauce

Paneer Butter Masala

Prep Time

10 min

Cook Time

25 min

Total Time

35 min

Servings

4

4 cups

Difficulty

Easy

Cost

Moderate

$$

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Paneer Butter Masala

Paneer cubes in a rich buttery tomato-cream sauce

★4.7(22)

Soft paneer cubes swimming in a velvety, butter-enriched tomato-cream sauce with warming spices. The vegetarian counterpart to butter chicken.

10m

Prep Time

25m

Cook Time

35m

Total Time

4

Servings

Easy

Difficulty

Moderate $$

Cost

Indian CuisineMain CourseVegetarianGluten-Free
Sarah Chen
Sarah Chen

February 7, 2026(Updated March 15, 2026)

Paneer butter masala delivers all the indulgence of butter chicken in a vegetarian package. The sauce is silky smooth, subtly sweet from tomatoes and cream, and enriched with a generous amount of butter that gives the dish its name.

Indian cuisine is a masterclass in building complex flavor through layered spices. This recipe distills that wisdom into a straightforward method with spectacular results.

Indian cooking is built on the art of layering spices, and Paneer Butter Masala is a perfect example of that philosophy in action. Each spice is added at precisely the right moment to maximize its contribution to the final dish. The result is a complexity of flavor that unfolds with every bite — warm, aromatic, and deeply satisfying.

The key to nailing this dish is proper heat management and timing. Start with your protein at room temperature, season generously at every stage, and resist the urge to rush. Let each component develop its flavor fully before moving to the next step — patience here pays off enormously in the final result.

Why This Recipe Works

Blending the tomato-onion base into a smooth puree creates that signature restaurant-style silky sauce. Adding butter and cream off the heat preserves their fresh richness. Controlling heat is everything on the stovetop. Starting over high heat to develop a sear, then reducing to finish gently, creates the contrast between a caramelized exterior and a tender interior that defines great cooking.

Ingredients

  • 250g paneer, cubed and lightly fried
  • 3 large tomatoes, pureed (or 1 can crushed tomatoes)
  • 3 tbsp butter plus 1 tbsp oil
  • 1/2 cup heavy cream
  • 1 tsp each garam masala, cumin, coriander, and kasuri methi
  • 1 onion, 4 cashews, 3 garlic cloves, blended into a paste

Instructions

  1. 1

    Heat oil, sauté the onion-cashew-garlic paste until golden and fragrant, about 5 minutes.

  2. 2

    Add tomato puree, turmeric, chili powder, and salt; simmer 10 minutes until oil separates.

  3. 3

    Blend the sauce smooth if desired, then return to pan and stir in cumin and coriander.

  4. 4

    Add 2 tbsp butter, cream, and fried paneer cubes; simmer gently for 5 minutes.

  5. 5

    Finish with garam masala, kasuri methi, and remaining butter; serve with naan or jeera rice.

Serving Suggestions

Ways to Serve This Dish

  • Serve with warm naan bread or basmati rice

  • Top with fresh cilantro and a squeeze of lime

  • Pair with a cooling cucumber raita on the side

Substitutions

PaneerFirm tofu or boiled potatoes

Tofu absorbs the sauce beautifully

Heavy creamCashew cream

Blend soaked cashews with water for a dairy-free alternative

Tips & Storage

Pro Tips

  • A few cashews blended into the sauce add natural creaminess and body.

  • Do not boil the sauce vigorously after adding cream—gentle simmering prevents separation.

  • Let the protein rest for 5-10 minutes after cooking to allow the juices to redistribute for maximum tenderness.

  • Season each component individually rather than seasoning at the end — this builds deeper, more complex flavor throughout.

Storage

Refrigerate for up to 3 days. Best enjoyed fresh; paneer texture changes when frozen.

Reheating

Warm gently on stovetop, adding a splash of cream to restore the silky consistency.

Recipe Notes from Our Kitchen

Editor's Note

Editor's note: Do not skip the resting step at the end. It makes a bigger difference than any single ingredient in the recipe. Five minutes of patience pays off in juiciness and flavor.

Nutrition Facts

Per serving (0mg) · 4 servings

Calories360
LowModerateHigh

A moderate-calorie serving · based on a 2,000 cal daily diet

Protein14g
Carbohydrates12g
Fat28g
Fiber580mg
Sugar2g
Sodium6g

Nutritional values are approximate and may vary based on specific ingredients and preparation methods.

Frequently Asked Questions

Can I skip frying the paneer?
Yes, but frying adds golden color and prevents the paneer from crumbling in sauce.
How is this different from shahi paneer?
Shahi paneer uses more nuts and is richer; butter masala leans on tomato and butter.
Can I make this ahead of time?
Yes — prepare up to the final cooking step, refrigerate, then finish cooking when ready to serve. Most dishes actually benefit from a rest in the fridge as the flavors have time to meld.
How do I know when it is done?
The most reliable method is an instant-read thermometer. For chicken, look for 165°F internal. For beef, 130°F for medium-rare, 140°F for medium. For pork, 145°F. Visual cues include clear juices and firm-to-the-touch texture.

Explore More

More Indian RecipesMore Main CourseVegetarian RecipesGluten-Free RecipesStovetop Recipes
Sarah Chen

About Sarah Chen

Sarah Chen is a professional recipe developer and food editor with over a decade of experience in test kitchens and food media. She trained at the Culinary Institute of America before spending six years developing and testing recipes for national food publications, where she honed her ability to translate restaurant techniques into approachable home cooking. At RecipePool, Sarah leads recipe development, ensuring every dish is tested at least three times for clarity, accuracy, and genuine deliciousness. When she is not in the kitchen, she is browsing farmers markets and collecting vintage cookbooks.

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