A vertical shot of traditional Indian paneer butter masala or cheese cottage curry on a black surface

There’s something magical about Paneer Butter Masala — the aroma of butter, the richness of the creamy tomato gravy, and the soft cubes of paneer melting in your mouth.
It’s a dish that represents the heart of Indian cuisine — indulgent, flavorful, and comforting.

Whether you’re making it for a family dinner, a festive meal, or a weekend craving, this restaurant-style Paneer Butter Masala recipe is guaranteed to impress.
Let’s dive into this creamy delight and learn how to make it perfectly at home with simple ingredients.


🧈 What is Paneer Butter Masala?

Paneer Butter Masala (also known as Butter Paneer or Paneer Makhani) is a North Indian curry made with paneer (Indian cottage cheese) cooked in a luscious tomato-based gravy enriched with butter, cream, and aromatic spices.

It’s one of the most popular vegetarian dishes in India, loved for its mild spice, rich flavor, and smooth texture.
You’ll often find it served in Indian restaurants with naan, roti, or jeera rice.


🍅 Ingredients You’ll Need

Here’s everything you’ll need to make this restaurant-style Paneer Butter Masala at home:

For the Gravy Base

  • 2 tbsp butter
  • 1 tbsp oil
  • 1 large onion (roughly chopped)
  • 3 large tomatoes (roughly chopped)
  • 1-inch piece of ginger
  • 5–6 cloves garlic
  • 8–10 cashew nuts
  • 2–3 green cardamoms
  • 1 small cinnamon stick
  • 3–4 cloves
  • ½ tsp salt (to taste)

For the Curry

  • 2 tbsp butter
  • 1 tbsp oil
  • 1 tsp cumin seeds
  • 1 bay leaf
  • 1 tsp red chili powder
  • ½ tsp turmeric powder
  • 1 tsp coriander powder
  • 1 tsp garam masala
  • 1 tsp kasuri methi (dried fenugreek leaves)
  • ½ cup fresh cream
  • 250–300 g paneer (cubed)
  • 1 tbsp sugar (optional, for balance)
  • Fresh coriander for garnish

👩‍🍳 Step-by-Step Recipe

Follow these detailed steps for a perfect result every single time:

Step 1: Prepare the Gravy Base

  1. Heat 1 tbsp oil and 2 tbsp butter in a pan.
  2. Add cardamom, cloves, cinnamon, and sauté for 30 seconds until aromatic.
  3. Add onions, sauté till soft and translucent.
  4. Add ginger, garlic, and tomatoes. Cook for 5–7 minutes until tomatoes turn mushy.
  5. Add cashew nuts and ½ tsp salt, then cook for another 2 minutes.
  6. Let the mixture cool slightly.
  7. Transfer to a blender and make a smooth paste (add a few tablespoons of water if needed).

💡 Tip: For a restaurant-style silky gravy, strain this paste through a sieve before using.


Step 2: Prepare the Curry

  1. Heat 1 tbsp oil and 2 tbsp butter again in a pan.
  2. Add cumin seeds and bay leaf, sauté for 30 seconds.
  3. Pour in the blended tomato-onion-cashew paste.
  4. Cook on medium flame for 5–7 minutes until the mixture thickens and starts releasing oil.
  5. Add red chili powder, turmeric, coriander powder, and mix well.
  6. Add ½–1 cup water depending on the desired consistency.
  7. Simmer the curry for 3–4 minutes.

Step 3: Add Paneer and Cream

  1. Add paneer cubes gently into the curry.
  2. Sprinkle garam masala and kasuri methi.
  3. Add 1 tbsp sugar (optional, for that restaurant-style sweetness).
  4. Stir lightly to coat the paneer with the gravy.
  5. Add ½ cup cream, mix, and simmer for 2 minutes.

Turn off the flame and let it rest for 5 minutes.
Garnish with fresh coriander and a drizzle of cream.


🍽️ How to Serve Paneer Butter Masala

Paneer Butter Masala pairs beautifully with:

  • Butter naan or garlic naan
  • Jeera rice or plain basmati rice
  • Tandoori roti or lachha paratha

For the ultimate Indian restaurant experience, serve it with:

  • A slice of lemon
  • Sliced onions
  • A small bowl of cucumber raita

💡 Chef’s Tips for Perfect Paneer Butter Masala

  1. Use fresh paneer: Soft, fresh paneer gives a melt-in-mouth texture. Soak store-bought paneer in warm water for 10 minutes before adding.
  2. Balance the flavors: Add a pinch of sugar to balance the tanginess of tomatoes.
  3. Cashews = creaminess: Cashews add natural creaminess and richness. Avoid skipping them.
  4. Slow cooking: Allow the gravy to cook slowly; it enhances flavor depth.
  5. Butter matters: Use real butter for that signature flavor (not margarine).
  6. Don’t overcook paneer: Overcooked paneer becomes rubbery — simmer it only for a few minutes.

🧄 Nutritional Information (per serving)

NutrientAmount
Calories~350 kcal
Protein12 g
Carbohydrates18 g
Fat24 g
Fiber3 g
Sugar4 g

(Values are approximate and may vary depending on ingredients used.)


🌿 Why You’ll Love This Recipe

  • Perfectly creamy and rich texture
  • Balanced blend of spice, sweetness, and tanginess
  • Made with simple ingredients available at home
  • Just like restaurant-style but healthier
  • 100% vegetarian and gluten-free

🧡 Variations You Can Try

  • Paneer Tikka Masala: Marinate paneer in yogurt and spices, grill it, and add to the gravy.
  • Vegan Butter Masala: Replace paneer with tofu and cream with coconut cream.
  • Spicy Butter Masala: Add green chilies and extra red chili powder for a fiery kick.
  • Nut-Free Version: Replace cashews with sunflower or melon seeds.

🥘 Storage and Reheating Tips

  • Store leftovers in an airtight container in the refrigerator for up to 2 days.
  • Reheat in a pan on low flame; add a splash of milk or cream to refresh the texture.
  • Avoid freezing — dairy-based gravies can separate after thawing.

Final Thoughts

Paneer Butter Masala is more than just a dish — it’s an experience of flavors and comfort.
With this simple recipe, you can enjoy the same rich and creamy restaurant-style curry right at home, made with love and real ingredients.

Whether it’s a festive meal, family dinner, or a cozy weekend lunch, this dish never fails to win hearts.
So put on your apron, melt some butter, and make every meal special with Special Dishes!