Here’s a velvety, aromatic paneer butter masala that balances tangy tomato, warm spices and rich butter for an indulgent vegetarian main. Soft cubes of paneer swim in a smooth, slightly sweet gravy finished with cream and kasuri methi. This comforting, restaurant-style dish is approachable at home and pairs beautifully with breads or rice.
Ingredients
– 400 g paneer, cut into 2 cm cubes
– 3 tbsp unsalted butter
– 1 tbsp oil
– 2 medium onions, roughly chopped
– 4 ripe tomatoes, roughly chopped
– 1-inch ginger piece
– 4 garlic cloves
– 2 green chilies (optional)
– 1/2 cup cashews (soaked 15 minutes)
– 1 tsp cumin seeds
– 1 bay leaf
– 1 tsp red chili powder (adjust)
– 1 tsp garam masala
– 1/2 tsp turmeric
– 1 tsp coriander powder
– 1 tbsp kasuri methi (dried fenugreek leaves), crushed
– 1-2 tsp sugar or honey (optional)
– 1/2 cup heavy cream (or 3-4 tbsp for lighter)
– Salt to taste
– Fresh cilantro for garnish
– Water as needed

Servings and Cooking Time
Servings: 3–4 people. Preparation time: 15–20 minutes (including soaking cashews). Cooking time: 25–30 minutes. Total time: ~40–50 minutes.
Nutritional Value
The following nutritional estimates are for one serving (approx. 1 of 4 servings, ~200–225 g): Calories ~320–380 kcal; Protein ~12–14 g; Fat ~24–28 g; Carbohydrates ~10–14 g; Fiber ~1–2 g; Sodium varies with salt added. Note: values are approximate and based on a single serving.
Step-by-Step Cooking Process
– Heat oil and 1 tbsp butter in a pan; add cumin and bay leaf until fragrant.
– Sauté chopped onions until translucent and slightly golden.
– Add ginger, garlic and green chilies; cook 1–2 minutes.
– Add tomatoes and simmer until soft; cool slightly.
– Blend tomatoes, onions and soaked cashews to a smooth puree with little water.
– Return puree to the pan; cook on medium, stirring until it thickens.
– Stir in turmeric, chili powder, coriander powder and salt; cook 3–4 minutes.
– Add remaining butter and cream; simmer gently to combine.
– Add paneer cubes and kasuri methi; simmer 4–5 minutes so paneer absorbs flavors.
– Adjust seasoning, whisk in a pinch of sugar if needed; garnish with cilantro and a drizzle of cream.

Alternative Ingredients
Cashews can be replaced with blanched almonds or 2 tbsp Greek yogurt for creaminess. Use hung curd or coconut cream instead of heavy cream for a lighter or dairy-free twist. Paneer can be grilled or shallow-fried for firmer texture.
Serving and Pairings
Serve paneer butter masala hot with butter naan, garlic naan, lachha paratha, or steamed basmati rice. It also pairs well with jeera rice, vegetable pulao, or a simple cucumber raita and pickled onions for balance.
Storage and Reheating
Store cooled curry in an airtight container in the refrigerator for up to 3 days. Reheat gently on low heat with a splash of water or cream to restore texture; avoid vigorous boiling. Freezing is possible (without cream) for up to 2 months—thaw overnight and add fresh cream when reheating.
Cooking Mistakes
– Do not over-blend the puree; too much water thins the gravy.
– Avoid high heat after adding cream to prevent curdling.
– Don’t add salt too early; adjust at the end for best balance.
– Frying paneer too long makes it rubbery—gentle simmering is enough.
– Skipping kasuri methi reduces the characteristic aroma—add towards the end.
Helpful Tips
– Use ripe tomatoes or canned tomatoes for consistent color and acidity.
– Soak cashews hot for 10–15 minutes for a silkier paste.
– Toast kasuri methi briefly between palms to release aroma.
– Paneer stays soft if added near the end; shallow-fry for texture if preferred.
– Finish with a knob of butter and a swirl of cream for restaurant-style gloss.

FAQs
Can I make paneer butter masala without cashews?
Yes — you can omit cashews and use 3–4 tbsp heavy cream plus a tablespoon of yogurt or 2 tbsp almond paste to achieve creaminess. The texture will be slightly different but still rich.
How do I prevent paneer from turning rubbery?
Avoid overcooking paneer. Gently simmer for 3–5 minutes after adding to the gravy. You can shallow-fry cubes briefly before adding to help them hold shape without becoming tough.
Is paneer butter masala suitable for freezing?
You can freeze the curry (preferably without cream) for up to 2 months. Thaw overnight and add fresh cream when reheating to restore richness and texture.
Can I make this dish vegan?
Yes — replace paneer with firm tofu, use coconut cream or cashew cream instead of dairy cream, and swap butter for vegan margarine or oil. Flavor will be close though slightly different.
What spice level is typical and how to adjust it?
Paneer butter masala is usually mild to medium spicy. Adjust red chili powder and green chilies to taste. For a smoky note, add a pinch of smoked paprika.
How to make the gravy smoother and lump-free?
Ensure onions and tomatoes are well-cooked before blending. Strain the blended puree if desired, and cook the sauce on medium heat while stirring to avoid lumps from cashews.
Can I prepare components ahead of time?
Yes — the tomato-onion-cashew puree can be made a day ahead and refrigerated. Paneer can be cubed and stored; finish the dish fresh for best texture.
Conclusion
Paneer butter masala is an indulgent, easy-to-make North Indian classic that delivers creamy, spiced comfort. With simple ingredients and a few technique tips, you can recreate restaurant-style richness at home—perfect for family dinners or entertaining guests.

Paneer Butter Masala
Ingredients
- 400 g paneer cut into 2 cm cubes
- 3 tbsp unsalted butter
- 1 tbsp oil
- 2 medium onions roughly chopped
- 4 ripe tomatoes roughly chopped
- 1- inch piece ginger
- 4 garlic cloves
- 2 green chilies optional
- 1/2 cup cashews soaked 15 minutes
- 1 tsp cumin seeds
- 1 bay leaf
- 1 tsp red chili powder adjust
- 1 tsp garam masala
- 1/2 tsp turmeric
- 1 tsp coriander powder
- 1 tbsp kasuri methi dried fenugreek leaves, crushed
- 1-2 tsp sugar or honey optional
- 1/2 cup heavy cream or 3-4 tbsp for lighter
- Salt to taste
- Fresh cilantro for garnish
- Water as needed
Instructions
- Heat oil and 1 tbsp butter in a pan; add cumin seeds and bay leaf until fragrant.
- Sauté chopped onions until translucent and slightly golden.
- Add ginger, garlic and green chilies; cook 1–2 minutes until aromatic.
- Add tomatoes and simmer until soft; remove from heat and cool slightly.
- Blend tomatoes, onions and soaked cashews to a smooth puree with a little water.
- Return the puree to the pan and cook on medium, stirring until it thickens.
- Stir in turmeric, red chili powder, coriander powder and salt; cook another 3–4 minutes.
- Add the remaining butter and cream; simmer gently to combine and develop a glossy gravy.
- Add paneer cubes and crushed kasuri methi; simmer 4–5 minutes so paneer absorbs flavors.
- Adjust seasoning, add a pinch of sugar if desired, garnish with cilantro and a drizzle of cream before serving.