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Paneer Butter Masala – Restaurant Style

Ready in

55 mins

Cuisine

Indian · North Indian

Prep Time

20 min

Cook Time

35 min

Serving

4 People

Calories / Serving

~550 kcal
Recipe by Your Food Lab on YouTube

Recipe Summary

  • Learn to make a rich and creamy restaurant-style Paneer Butter Masala at home. This classic North Indian dish features soft paneer cubes simmered in a luscious tomato-based gravy, perfect for a comforting meal.
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Tap an ingredient to mark it ready0 of 24 ready

All Ingredients - For Paneer Marinade

  1. Paneer 250 grams, cubed
  2. Turmeric powder 1/4 teaspoon
  3. Red chili powder 1/2 teaspoon
  4. Salt 1/4 teaspoon

All Ingredients - For Gravy Base

  1. Oil 2 tablespoons
  2. Butter 2 tablespoons
  3. Bay leaf 1
  4. Cinnamon stick 1 inch
  5. Green cardamom 2-3 pods
  6. Cloves 3-4
  7. Onion 1 large, finely chopped
  8. Ginger-garlic paste 1 tablespoon
  9. Tomato puree 1 cup (from 3-4 medium tomatoes)
  10. Cashew paste 2 tablespoons (from 10-12 cashews soaked in warm water)
  11. Turmeric powder 1/2 teaspoon
  12. Red chili powder 1 teaspoon
  13. Coriander powder 1 tablespoon
  14. Cumin powder 1/2 teaspoon
  15. Garam masala 1/2 teaspoon
  16. Salt to taste
  17. Water 1/2 cup (or as needed)

All Ingredients - For Finishing

  1. Fresh cream 1/4 cup
  2. Kasoori Methi (dried fenugreek leaves) 1 teaspoon, crushed
  3. Fresh coriander 2 tablespoons, chopped (for garnish)

🍳Tools You'll Need

  • Pan
  • Kadai
  • Bowl
🔄Don't have an ingredient? Try these swaps7 tips
  • No Paneer?

    • Extra-firm tofu, pressed and cubed — Pan-fry first for closer texture.
    • Halloumi — Saltier; reduce added salt.
  • No Butter?

    • 3/4 the amount of olive oil (for cooking, not baking)
    • Equal parts ghee — Slightly nuttier flavor.
    • Equal parts coconut oil (in baking)
  • No Bay leaf?

    • 1/4 tsp dried thyme (per leaf)
    • Pinch of dried oregano
  • No Onion?

    • 1 tbsp onion powder (per medium onion)
    • 3 tbsp dried minced onion
    • Shallots or leeks (1:1)
  • No Garlic (fresh)?

    • 1/4 tsp garlic powder (per clove)
    • 1/2 tsp garlic granules (per clove)
  • No Garam masala?

    • 1 tsp cumin + 1/2 tsp coriander + 1/4 tsp cinnamon + 1/4 tsp cardamom
  • No Cilantro?

    • Flat-leaf parsley (1:1, milder)
    • Fresh mint (in chutneys, salads)

⚠ Contains Allergens

dairynuts

Step-by-Step Instructions

Step 1: Marinate Paneer

In a bowl, combine the cubed paneer with 1/4 teaspoon turmeric powder, 1/2 teaspoon red chili powder, and 1/4 teaspoon salt. Mix gently to coat all the paneer pieces. Set aside to marinate for .

Step 2: Prepare Aromatic Base

Heat 2 tablespoons of oil and 2 tablespoons of butter in a large pan or kadai over medium heat. Once hot, add 1 bay leaf, 1 inch cinnamon stick, 2-3 green cardamom pods, and 3-4 cloves. Sauté for until fragrant.

Step 3: Sauté Onions

Add 1 large finely chopped onion to the pan. Sauté the onions on medium heat for , stirring occasionally, until they turn golden brown and translucent.

Step 4: Add Ginger-Garlic Paste

Stir in 1 tablespoon of ginger-garlic paste. Cook for , stirring continuously, until the raw smell of ginger and garlic disappears.

Step 5: Incorporate Tomato and Cashew Paste

Add 1 cup of tomato puree and 2 tablespoons of cashew paste to the pan. Mix well to combine with the onion mixture.

Step 6: Cook Dry Spices

Add 1/2 teaspoon turmeric powder, 1 teaspoon red chili powder, 1 tablespoon coriander powder, 1/2 teaspoon cumin powder, and salt to taste. Mix thoroughly and cook for on medium-low heat, stirring occasionally, until the oil starts to separate from the masala.

Step 7: Simmer Gravy

Pour in 1/2 cup of water, mix well, then cover the pan and let the gravy simmer on low heat for . This allows the flavors to meld.

Step 8: Lightly Fry Paneer (Optional)

While the gravy is simmering, heat a small amount of butter in a separate pan. Lightly pan-fry the marinated paneer cubes until they are slightly golden on all sides. This step is optional but adds texture.

Step 9: Finish Gravy

Uncover the gravy. Add 1/2 teaspoon garam masala, 1/4 cup fresh cream, and 1 teaspoon crushed kasoori methi. Mix everything well until the cream is fully incorporated and the gravy is smooth and rich.

Step 10: Combine Paneer

Gently add the lightly fried paneer cubes to the finished gravy. Stir carefully to coat the paneer without breaking it.

Step 11: Garnish and Serve

Garnish with 2 tablespoons of fresh chopped coriander. Serve hot with naan, roti, or rice.

Pro Tips

• For a smoother gravy, blend the cooked onion-tomato mixture before adding cream.

• Adjust the spice level by increasing or decreasing red chili powder.

• Soak cashews in warm water for 15-20 minutes before grinding for a smoother paste.

Recipe Variations

• Add a pinch of sugar to balance the tanginess of tomatoes.

• Replace paneer with tofu for a vegan option, or with chicken for a non-vegetarian version.

• For extra richness, add a tablespoon of almond paste along with cashew paste.

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