Restaurant Style Paneer Butter Masala Recipe | Step-by-Step Guide

• Melon seeds create the signature silky texture that home cooks often miss
• Three-stage gravy preparation builds layers of flavor impossible to achieve with shortcuts  
• Proper paneer handling prevents the common mistake of rubbery, overcooked cottage cheese
• Balanced spicing delivers restaurant-quality heat and aroma without overwhelming richness.

• Blanched almonds Use 6-8 pieces (soak in warm water 15 minutes)
• Poppy seeds1 tablespoon (khus khus) 
• Sunflower seeds: 1 tablespoon (budget-friendly option)

• Pumpkin seeds 1 teaspoon (similar nutty flavor)
• Extra cashews: Add 2-3 more if melon seeds unavailable
• Blanched almonds: 2-3 additional pieces

• Coconut cream 2 tablespoons (vegan option)
• Cashew cream Blend 1/4 cup soaked cashews with 3 tablespoons water
• Full-fat milk: 3 tablespoons (budget option, less rich)

• Canned tomatoes: 1 cup crushed (drain excess liquid)
• Tomato puree: 3/4 cup (add 1/2 teaspoon sugar)

Steps to make the recipe

Stage 1. Preparing the Base Gravy 

Step 1. Bloom the Aromatics 

Heat 1/2 teaspoon of cooking oil and  butter cube in a heavy bottom pan over medium low heat. Add ginger garlic paste and saute for 30 seconds  untill the raw smell disappear and it turns golden. 

Then Add bay leaf, cinnamon, cardamom, and cloves. Fry for 15-20 seconds until aromatic and the spices crackle. This releases essential oils for deeper flavor. 

Step 2. Cook the Onions 

Add sliced onions and saute for 3-4 minutes over medium-high heat until translucent and light golden. Proper browning is crucial for the gravy's sweetness.

Add tomato slices and mix well. Cook for 3-4 minutes until tomatoes break down and become soft and pulpy. Add 1 teaspoon red chili powder and cook for another 30 seconds.

Stir in cashews and melon seeds. Cook for 1 minute to lightly toast them, which enhances their nutty flavor in the final gravy.

Step 3. Cool and Blend

Turn off heat and transfer mixture to a bowl. Let cool completely (10-15 minutes). Remove and discard whole spices. Transfer to a blender and make a fine, smooth puree adding 2-3 tablespoons water as needed.

Stage 2. Creating the Final Paneer Butter Masala

Step 4. Prepare fresh Aromatics 

In the same pan, heat 1/2 teaspoon oil with 1 butter cube over low heat. Add 1/2 teaspoon minced garlic and 1/4 teaspoon cumin seeds. Saute until garlic is golden and cumin crackles.

Add finely chopped onions (if using extra) and cook until translucent. Add red chili powder, coriander powder, and turmeric powder. Stir for 15-20 seconds, then add 1 tablespoon water to prevent burning.

Step 5. Add the Prepared Gravy 

Pour in the prepared tomato-onion puree. Cook for 3-4 minutes, stirring frequently, until the gravy thickens and you can see oil separating at the edges.

Step 6. Adjust Consistency

Add 1/2 to 3/4 cup water to achieve desired gravy consistency. Bring to a boil, then reduce heat and simmer for 2-3 minutes. The gravy should coat a spoon but still be pourable.

Step 7. Add Paneer Gently

Add paneer cubes and gently fold them into the gravy. Cook for ONLY 1 minute - overcooking makes paneer rubbery and chewy.

Step 8. Final Enrichment

Remove from heat. Stir in fresh cream, crushed kasoori methi (rub between palms), and salt to taste. Add a small pinch of sugar to balance acidity. Taste and adjust seasoning.

Step 9. Garnish and Serve

Transfer to serving bowl. Garnish with a swirl of fresh cream, a dot of butter, and chopped coriander leaves.

 

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Paneer Butter Masala 

By Mobasir Hassan 

★★★★★ (4.9 out of 5 from 25 ratings)

⏱️ Prep: 15 min | 🍳 Cook: 20 min | 🍽️ Serves: 2

🖨️ Print Recipe 📌 Pin

Paneer butter masala is one of India's most beloved vegetarian curries, featuring soft cottage cheese cubes in a rich, creamy tomato-based gravy. This iconic dish originated in Indian restaurants and is characterized by its vibrant orange-red color, velvety smooth texture, 

Ingredients

• For the Gravy : 1/2 onion sliced
• 3-4 medium size tomato sliced
• 8 -10 cashew nuts( kaju)
• 1 teaspoon red chilli powder
• 2 teaspoon melon seeds ( optional)
• 1 butter cube
• 1/2 teaspoon cooking oil .
• 1 teaspoon ginger garlic paste
• Whole Spices: 1  bay leaf ( tez Patta).
• 1/2 inch Cinnamon stick ( dalchini)
• 2 green cardamom
• 1-2 pieces of cloves.
• For butter masala gravy
• 200 gm Paneer ( cottage cheese)
• 1/2 teaspoon ginger garlic paste.
• 1/2 teaspoon dry fenugreek leaves
• 1/2 teaspoon red chilli powder
• 1/2 teaspoon Coriander powder
• 2 teaspoon fresh cream.
• 1  butter cube
• 1/2 teaspoon cooking oil.
• small pinch of sugar.
• 1/4 teaspoon salt ( or as per taste).

Instructions

1. Making the gravy : Heat 1/2 teaspoon oil and butter in a pan and fry ginger garlic paste till raw smell goes.
2. Fry the whole spices till aromatic then add tomato slices and red chilli powder.
3. Fry till tomato become messy. Remove and cool them completely. Discard all the whole spices.
4. Make a fine puree or paste with cashew nuts in a grinder or mixer adding little water.
5. Making Paneer Butter Masala
6. Heat half teaspoon oil with a butter cube and fry chopped garlic and cumin seeds till cracks.
7. Add the chopped onions and fry till they become translucent.
8. Add red chilli powder, turmeric powder corriander powder and fry for 30 sec.
9. Pour little water and cook the masala for another 30 seconds.
10. Now pour the prepared puree and cook for 1 minute. Add half cup water into gravy and further cook for 3 minutes.
11. Add the paneer pieces into the gravy and mix gently. Cook for one more  minute.
12. Mix fresh cream and  crushed fenugreek leaves.
13. Add salt as per taste and butter cubes. and a small pinch of sugar.
14. Check the thickness of the gravy and sprinkle some chopped coriander leaves.
15. Remove in a bowl and serve. 

Chef's Notes

• Tip 1: Quick pro tip (e.g., "Soak paneer in warm water for 10 min to soften").
• Tip 2: Variation or substitution (e.g., "Use tofu for vegan version").
• Tip 3: Presentation or timing advice (e.g., "Add cream at the end for glossy finish").

📊 Nutritional Value (Per Serving 2-3)

Nutrient	Amount
Calories	347 kcal
Protein	18 g
Fat	28 g
Carbohydrates	11 g
Fiber	2 g
Cholesterol	68mg

ℹ️ Additional Info

Course: Main Course | Cuisine: North Indian | Method: Sauteeing

❤️ If you try this recipe, leave a rating & comment — it helps the community and my next recipes!

Expert Chef Tips for Perfect Results

Solution : Remove from heat immediately. Blend a small portion of gravy until smooth, then mix back in. Always add cream off heat.

3. Paneer Became Hard and Rubbery

Prevention : Cook paneer in gravy for maximum 1 minute. For next time, soak paneer in warm salted water for 15 minutes before cooking.

4. Gravy Tastes Bitter

Cause : Burnt garlic, ginger, or spices. Start over with lower heat and careful monitoring. Add a pinch of sugar to balance slight bitterness.

5. Not Getting Restaurant-Like Color

Solution : Use Kashmiri red chili powder for vibrant color without excess heat. Add 1/4 teaspoon paprika for deeper red hue.

 Recipe Variations

Jain Paneer Butter Masala (No Onion, No Garlic)

Perfect for Jain dietary restrictions while maintaining authentic flavors.

Modifications:

• Skip onions and garlic entirely
• Increase ginger paste to 1 teaspoon  
• Add 1/4 teaspoon asafoetida (hing) for umami depth
• Use extra tomatoes (4-5 medium) for body
• Add 2 tablespoons cashew paste for richness

Method : Follow same steps but skip onion cooking stage. Focus on developing tomato base with extra ginger and spices.

Vegan Paneer Butter Masala

Transform this classic into a plant-based delight without compromising taste.

Substitutions:

• Replace paneer with firm tofu (200g), pressed and cubed
• Use vegan butter or refined coconut oil instead of dairy butter
• Substitute coconut cream or cashew cream for dairy cream
• Optional: Add nutritional yeast for cheesy flavor

Pro Tip : Lightly pan-fry tofu cubes until golden before adding to gravy for better texture.

Serving Suggestions

Traditional Pairings

Indian Breads

Butter naan : The classic restaurant pairing - rich bread for rich curry

Garlic naan : Aromatic bread complements the creamy gravy perfectly  

Tandoori roti : Healthier whole wheat option that soaks up gravy beautifully

Lachha paratha : Flaky, buttery bread ideal for scooping

Rice Options

Jeera rice : Cumin-scented basmati rice balances the rich curry

Saffron rice : Elegant presentation for special occasions

Plain basmati rice : Simple, fluffy rice lets paneer flavors shine

Coconut rice : South Indian twist that's surprisingly complementary

Storage and Reheating Guide

Refrigerator Storage

Store in airtight container for up to 3 days

Keep paneer and gravy together - separation is normal

Cool completely before refrigerating to prevent condensation

Freezer Storage  

Freeze for up to 1 month in freezer-safe containers

Note: Paneer texture may change slightly after freezing

Thaw overnight in refrigerator before reheating

Reheating Instructions

Stovetop Method (Recommended)

1. Heat in saucepan over medium-low heat

2. Add 2-3 tablespoons water if too thick

3. Stir gently to prevent paneer from breaking

4. Heat until steaming (don't boil)

5. Adjust seasoning if needed

Microwave Method

1. Transfer to microwave-safe dish

2. Add 1-2 tablespoons water

3. Cover and heat in 30-second intervals

4. Stir between intervals until heated through

Frequently Asked Questions

Q1. Can I make paneer butter masala ahead of time?

Yes! This dish actually tastes better the next day as flavors meld. Prepare completely, cool, and refrigerate. Reheat gently with a splash of water and adjust seasoning. The gravy may thicken overnight - this is normal.

Q2. How do I make this dish less rich?

Reduce butter to 1/2 tablespoon and cream to 1 tablespoon. You can substitute half the cream with whole milk. Add extra water to thin the gravy while maintaining flavor.

Q3. Can I freeze paneer butter masala?

Yes, for up to 1 month. However, paneer texture may become slightly crumbly after freezing. Thaw completely in refrigerator and reheat gently, stirring carefully to keep paneer intact.

Q4. What's the difference between paneer butter masala and paneer makhani?

Paneer Butter Masala: Contains onions and garlic, slightly spicy, more complex flavor

Paneer Makhani : No onions/garlic, sweeter, milder, suitable for Jain diet

Paneer Tikka Masala : Features grilled paneer, tangier due to yogurt, less creamy

Q5. Why is my paneer always rubbery?

Main causes : Overcooking paneer in gravy, using low-quality paneer, or boiling instead of gentle simmering. Solution : Add paneer in final minute, use fresh or day-old paneer, maintain low heat.

Q6. Can I make this without cream?

Yes! Substitute with:

Whole milk (3 tablespoons) + 1 teaspoon butter

Coconut milk (2 tablespoons thick part)

Cashew cream (blend 1/4 cup soaked cashews with 3 tablespoons water)

Q7. How do I get the restaurant-style bright orange color?

Use Kashmiri red chili powder or paste instead of regular chili powder. Add 1/4 teaspoon paprika for deeper color. Ensure tomatoes are fully ripe and red. Some restaurants add a tiny drop of orange food coloring.

Q8. What if I don't have melon seeds?

While melon seeds provide authentic restaurant taste, you can substitute with:

Extra cashews (add 2-3 more)

1 tablespoon sunflower seeds  

1 teaspoon poppy seeds (khus khus)

The dish will still be delicious without them