Paneer Butter Masala Recipe : Awesomeness of Butter with Paneer!

“Paneer is my favourite ingredient to cook with.”

This is the much-appreciated dish by the lovers of paneer all over the world. This dish is for those people who either love to eat the paneer or cook the dish with paneer as the main component. The Paneer Butter Masala Recipe is made from one and only paneer with no other supporting side ingredients, unlike the other paneer dishes.

Paneer Butter Masala

  • Author:
  • Recipe Category: Punjabi Dish
  • Cuisine: Indian
  • Serves: 6

Description: Paneer Butter Masala : The name of the dish itself gives a blast of flavors to your taste buds. This is one of the most famous and liked dish of Indian food

Paneer Butter Masala Recipe

If you want to see the Jain Version of Paneer Butter Masala, Click here.

Ingredients for Paneer Butter Masala Recipe:

  • Onions – 3 units
  • Tomatoes – 2 units
  • Tomato Sauce- 1 heaped tbsp.
  • Green Chilli – 1 piece
  • Cashew Nuts – 8 to 10 piece
  • Butter – ½ tbsp.
  • Fresh Milk- 2 cups
  • Ginger Garlic Paste – 1 tbsp.
  • Cottage Cheese (Paneer)- 100 grams
  • Bay Leaf (Kadi Patta)– ¼ cup
  • Grated Ginger – 1 inch
  • Garlic Cloves – 3 pieces
  • Cinnamon Powder (Dalchini Masala) – ½ tsp.
  • Red Chilli Powder (Lal Mirch Masala) – 1 tsp.
  • Turmeric Powder  (Haldi)-1 tsp.
  • Coriander Powder (Dhania Masala)- 1 tsp.
  • Garam Masala Powder – ½ tsp.
  • Kasuri Methi (Fenugreek Leaves) – ½ tsp.
  • Coriander Leaves – ½ cup
  • Fresh Cream (Malai) – ¼ cup
  • Water – 1 to 1 ½ cup
  • Sugar – as per taste
  • Salt – as per taste

Note:  Instead of butter, oil can also be used or half oil and half butter can also be used. If you are using oil, use saffola oil but if you are using ghee, use patanjali’s cow ghee.

The cream is an optional ingredient. We are using the flavoring agent such as coriander leaves for garnishing. You can also use any other fresh herb as well. You can add cumin seeds as a variation and also mashed green peas.

Method of Making Paneer Butter Masala Recipe:

Follow the method to make the paneer butter masala at home. Prepare the restaurant style paneer gravy at home in minutes. It saves time if you do the little preparation before starting with the gravy.

Pre-Preparation for Paneer Butter Masala:

Chop the Veggies

  • Take the different veggies.
  • Wash the medium sized onions.
  • Chop them into very fine small pieces.
  • Rinse the medium sized tomatoes.
  • Chop them into small cubes.
  • Clean and deseed the green chillies.
  • Slit chop them or chop into small pieces
  • Take the coriander leaves in the strainer.
  • Wash under running water 1 to 2 times.
  • Strain the coriander leaves and chop them.

Note: Carefully wash all the veggies. You can use chopped for easily chopping the veggies. (click to buy chopper online)

Soak, Drain and Cut Cashews:

  • Take a bowl of warm water.
  • Soak the cashews for 15 minutes.
  • Wait till they become chewy.
  • The soaked cashew must be soft.
  • After a while, take the cashews.
  • Drain off the water and strain them.
  • Now, finely chop the cashews.
  • Cut them into small and tiny pieces.

Note: You can also add milk in the soaked cashew.

Cashew Paste:

  • Now, take the soft and tender cashews nuts.
  • Add them in the mortar pestle.
  • Pour in some water.
  • Also, add little fresh milk.
  • Grind the mixture at medium speed.
  • Make the smooth textured cashew paste.

Note:The final paste has to be creamy with a thick consistency.

Ginger-Garlic Paste:

  • Take ½ inch ginger.
  • Take few pieces of garlic cloves.
  • Finely grate the ginger.
  • Finely crush the cloves.
  • Take a mortar pestle.
  • Add the ginger and garlic.
  • Make a smooth paste from them.

Note: It is easy and simple to make the ginger-garlic paste at home.

Onion Paste:

  • Take the blender or small chutney jar.
  • Wash, clean and dry the blender or jar.
  • Take the finely chopped onions.
  • Add them to the blender.
  • Also, add the finely chopped chillies.
  • Now, add some grated ginger.
  • You have some garlic left, then add it.
  • Grind the mixture on medium speed.
  • Gind to form a coarse textured onion paste.
  • Transfer the onion paste to the bowl.
  • Keep this bowl of onion paste aside.

Note: Adding ginger and garlic in the onion paste is optional. Do not add water in the onion paste.

“Paneer is my favourite ingredient to cook with.”

Tomato Puree:

  • Do the preparation for tomato puree.
  • Take the roughly chopped tomatoes.
  • Blanch the roughly chopped tomatoes.
  • Transfer the chopped tomatoes to the mixer blender.
  • Blend them into the blender.
  • Add the tomato juice in the mixer.
  • Blend at a medium pace.
  • Pour some water into the mixer.
  • Blend the mixture to make the puree.
  • Make the smooth tomato puree.

Note: You can roughly dice chop the tomatoes to make the puree.

Frying the Paneer Cubes

  • If you are using the frozen paneer, then defrost it first.
  • Cut the whole paneer block into small tiny cubes.
  • Now, begin to shallow fry the small paneer cubes.
  • Heat oil or ghee in the nonstick pan.
  • Keep the pan on the low flame.
  • Wait till the oil becomes hot.
  • You must wait till it starts to crackle.
  • Add the paneer cubes gently in the heated oil.
  • Shallow fry them until edges turn brown.
  • Flip the side and fry.
  • Wait until they change the color.

Note: Frying the paneer cubes is optional. You can sauté the paneer pieces until golden brown its optional. While you do that, be cautious to not overcook otherwise they will become stiff and will not remain soft. When you remove the paneer, take a note that all the excess oil has been absorbed by the paper napkin.

Steps for Paneer Butter Masala:

  • Keep the pan or non-stick Kadai over the stove. (check this non-stick pan)
  • Heat it on the stove over the medium flame.
  • Add salted butter and let it melt.
  • When the butter melts, add the bay leaf.
  • Sauté the bay leaf for few minutes.
  • Wait for them to start releasing the aroma.
  • Now, add the Ginger garlic paste.
  • Mix in the ginger-garlic paste.
  • Sauté it for around 2 to 3 minutes.
  • Stir the mixture properly on low flame.
  • Cook until the raw smell of ginger garlic paste goes.
  • Fry the paste nearly for 1 minute.
  • Once again wait till it leaves the oil.
  • Now, transfer the thick onion paste to this pan.
  • Sauté it for some time over the medium flame.
  • Add a pinch of salt and stir everything.
  • Wait till the onion paste becomes translucent.
  • Keep stirring it at intervals over the low flame.
  • Let the oil start to release from the paste.
  • Now, add the sliced chopped green chillies.
  • Sprinkle the red chilli powder in the mixture.
  • Saute the mixture for fraction of seconds.
  • Then, add the cashew paste in the pan.
  • Stir and cook the mixture well on the medium flame.
  • Let the taste of each ingredient blend with rest.
  • All the ingredients must mix well with each other.
  • Wait for the mixture to be mixed properly mixed.
  • Then add the fresh tomato puree in this pan.
  • Cook this mixture for more than 5 minutes.
  • Stir and wait till the oil begins to separate.
  • Scrape the sides of the pan as well.
  • Cook till the moisture evaporates completely.
  • It will take 5 minutes or more for it to cook.
  • Now, till the time the gravy is frying, make a spice mix.
  • Take a bowl and add the tomato sauce.
  • In this bowl, sprinkle some red chilli powder.
  • Add the Kasuri Methi and ½ cup milk.
  • Mix these ingredients properly and keep aside.
  • When the gravy gets fried, add coriander powder.
  • Also add the leftover cashew paste which we prepared with milk.
  • Stir continuously and mix the ingredient properly.
  • Avoid the curdling of the gravy.
  • Simmer the gravy on stove for 2 minutes.
  • Now add the milk in the increment stages.
  • This will make the onion-tomato base gravy creamy.
  • Then again check for the taste.
  • Lastly add red chilli powder, Kasuri Methi, and milk mixture.
  • Add in the proportion only as required.
  • Stir the gravy continuously.
  • Now add 1 cup of water
  • Simmer for 3-4 minutes
  • Now add remaining 1 cup of milk.
  • Stir the paneer butter masala gravy.
  • Leave the pan and let it cook for 3 minutes
  • Now add some salt and stir once again.
  • Also, mix in the shallow fried paneer cubes.
  • Add the Garam masala powder and cook.
  • Simmer the gravy till you get the desired consistency.
  • Also, pour in some more fresh cream.
  • Then, simmer for 2 minutes and switch off the stove.
  • When it’s cooked, turn off the flame.
  • Wait for some time and let the curry settle.
  • Transfer the paneer butter masala gravy from the pan to the serving bowl.

And the rich, creamy, tasty Paneer Butter masala is ready!

Note: Do not keep the flame on for a long time after adding paneer as they will become hard.

Additional Information:

  • Calories: 1550 calories
  • Total Time: PT40M
  • Date Published:

It has a perfect balance of spiciness, tanginess, and creaminess in its taste. There is an irresistible combination of high and subtle flavours. The name of the dish itself gives a blast of flavours to your taste buds. This is one of the most famous and popular dishes of Indian food which a part of Punjabi Cuisine.

This tummy filling tasty dish is apt for lunch and dinner both. It is so much liked by people that almost every restaurant and Dabha serve this dish. It’s a unique mixture of paneer in a rich and creamy gravy. The creamy texture of the dish makes it less spicy. This restaurant style paneer butter masala recipe is easy and tastes great.

It is one of the ideal options when you are looking for a heavy and tummy filling complete meal. If you like Indian vegetarian food, and especially the Punjabi food, then this is the dish for you. This dish can be prepared in versatile manners and with a variety of spice powders. Follow the detailed instructions of each process and you will be able to make the dish in a restaurant style.

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  • It would nearly take half-an-hour to prepare the Restaurant Style Paneer Butter Masala.
  • You can add sugar if the tomatoes are sour and tangy.
  • Also, if your tomatoes are too tangy, you can skip using the tomato ketchup.
  • This paneer butter masala recipe can be double or tripled.
  • You reduce the proportion of sugar if you are adding cream.
  • You can buy paneer from the market, but it is better to use homemade paneer. It soft to eat and easily absorbs the flavors.
  • You can be flexible with the gauge of spice powders and the cream.
  • Another variation of the recipe can be to use the chopped onions rather than the paste form.
  • If you are calorie conscious, then skip frying the paneer and add the plain, raw and soft paneer into the gravy.
  • You can increase the proportion of water if you want thin and liquid curry.
  • If you like creamy gravy, then add more milk and use more cream. Whereas if you do not prefer creamy, then skip using cream.
  • If you are a vegan, you can use Tofu in place of paneer.


The alluring aroma of the Paneer Butter Masala is itself very tempting. But you can make your Butter Paneer Masala look more appealing to eyes with proper plating. Mentioned below are the few ideas:

  • Pour the delicious Paneer Butter Masala in a large bowl.
  • Ladle the Paneer Butter Masala in a nice and fancy serving bowl.
  • Serve the Paneer Butter Masala in the brass serving bowl.
  • You can also transfer Paneer Butter Masala in the fancy oval plate.

You can also garnish plate of paneer Butter Masala with:

  • Coriander leaves
  • Sliced Chillies
  • Chopped Cashews
  • Grated Cheese
  • White Cream
  • Onion Rings

Serving Suggestion:

There are many possible combinations of eating Paneer Butter Masala. Check below for the few serving ideas:

  • Generally, the Paneer Butter is eaten with warm paratha or roti. (Any kind of paratha will go with it)
  • Paneer Butter Masala tastes best when served with Methi Paratha and lemon pickle.
  • If you are heavy on the stomach, then you may eat paneer butter with paneer pulao.
  • The best rice dish to have with paneer butter masala is Plain Jeera Rice.
  • The side complement to your dish would be any one of the chilled Raita.
  • This north Indian dish can only be complete if you serve it with the glass Lassi.
  • It can be eaten with any type of rice, biryani or pulao of your choice.
  • To make a complete meal, you can pair it with your favorite sweet dish.
  • You can also roast or fry the Papad.
  • Even you can place a plate of salad for the crunch.
  • The best way to serve it is with Punjabi style Phulka Roti.
  • You can have it alone with Veg pulao or plain steamed basmati rice.
  • If you are making this dish for the party, hot and warm Tomato Soup would be a great appetizer.

All these different subzi made with paneer as core ingredient can be eaten with Paratha or Nan. You can have chutney or pickle as a side accompaniment. Any of these gravy dishes can be eaten with rice in place of the spicy Dal.

Quick Tip:
  • If you wish you can toast paneer and then add it to the gravy. Also, toasting the paneer is not compulsory.
  • The tomato puree has to be sautéed properly for the best taste of this dish.
  • You can use store bought or homemade fresh cream.
  • You can add half and half milk and fresh cream.
  • The Kashmiri Chillies infuse the strong red color to the gravy.
  • If you don’t have cream you can use milk ½ cup. But remember to stir continuously to avoid curdling.
  • The recipe tastes best when tomatoes are juicy and pulpy. Always use ripe, juicy, pulpy and fresh tomatoes.
  • If you want, you can substitute Magaz with cashew but it will change the taste of the dish.
  • The packet of garam masala is available in market. But, you can easily make it at home. (check how to make garam masala at home.)
Time Serving Calories
 40 minutes  5 to 6 people  1550 calories

This Paneer Butter Masala with rich gravy is extremely tasty. This creamy texture of gravy is due to the addition of Malai. The yummy Punjabi subzi gravy is made with sautéed onion, tomato puree, and cashew paste. The sprinkle of spice powders and other Indian condiments enriches the taste of the dish. The vibrant bright red color of the mixture is because of the red chilli powder. You may also use the dry red chillies if you want it spicier. This dish can be served along with any Kulcha or Nan and flavorful steamed rice to make a complete meal.

There is another version of this recipe for the Jain which is the paneer butter masala without onions and garlic. The recipe is almost similar to normal Paneer Butter Masala but there is no of onion paste and ginger-garlic paste. It has the same rich looks and tangy taste with creamy texture. This no onion and no garlic version of the Paneer Butter Masala Recipe is easy to make while. This recipe has the same taste like the restaurant style paneer butter masala. You can also prepare it at home for Vrat or when you are fasting. The garlic has been substituted by the Asafoetida and the onions by chillies.

This dish is also suitable for the fasts during the days of festivals if you skip the addition of spice powders and various other condiments. While using salt, add the rock salt. This Jain Paneer Butter Masala Recipe is for all the folk who do not eat onions and garlic. Even all those who dislike the pungent taste of onions or garlic can follow this recipe. The taste of this creamy, tangy and delicious paneer and tomato based dish is highly appreciated. Even without the addition of onion or garlic, there is not much change in the flavors of the restaurant style Paneer Butter Masala.

Jain Paneer Butter Masala:

It is not very tough to make the perfect gravy without these ingredients. But, it is little challenging to prepare this Punjabi dish with the same taste and texture. You just need to have the perfect blend of spices for a perfect taste. This Jain Style Recipe of paneer butter masala is a rich creamy gravy. This dish uses no onion, ginger or garlic. It very simple, easy, fast and quick to prepare. The addition of cream and a few spices give the delicious taste.

For the Jain Paneer Butter Recipe, you would need ingredients like:

  • Oil – ½ tbsp.
  • Dry Red Chili – 1 or 2 pieces
  • Green Chillies – 1 or 2 pieces
  • Bay Leaf – 1 to 2 pieces
  • Cumin Seeds – ½ tbsp.
  • Butter – 2 ½ tbsp.
  • Tomatoes Puree – 1 ½ cups
  • Salt – as per taste
  • Red Chili Powder – 1 ½ tbsp.
  • Garam Masala – 1 tbsp.
  • Kasturi Methi – 1 ½ tbsp.
  • Turmeric Powder – ½ tsp.
  • Cream / Milk – ¼ cup
  • Coriander or Cilantro Leaves – ¼ cup
  • Homemade Paneer Cubes – 200 grams
  • Kasuri Methi (Crushed) – 1 tsp.

The Method for Jain Paneer Butter Masala Recipe:

  • Clean and chop the veggies.
  • Make the tomato puree.
  • Make the cashew paste
  • Fry the paneer cubes.
  • Add the butter or oil in pan.
  • Heat the butter, let it melt.
  • Add the cumin seeds.
  • Add dried red chilies.
  • Add green chillies.
  • Add bay leaf.
  • Add salt to taste.
  • Add all the spice powders.
  • Add Kasuri Methi
  • Add water. (Add more water for thinner gravy.)
  • Add fresh herbs cilantro,
  • Mix the heavy cream or milk.
  • Stir & Cook for some time.
  • Add the fried paneer cubes.
  • Stir well and turn off the stove.