Paneer Makhani / Paneer Butter Masala

Hello foodies ! Today’s recipe is ‘Paneer Makhani’. Now enjoy paneer butter masala at home with this simple yet delicious recipe of paneer. You can have it as a side dish for lunch or dinner. Serve this dish with hot chapati/roti/paratha/butter naan.  This is one of my  favorite punjabi dish. I hope you all will love it too.

Paneer Makhani

Paneer Makhani

For this recipe you need paneer, onion , tomato and butter as main ingredients. In case you do not have tomatoes at home use tomato puree.

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For more paneer recipes, you can check Paneer Baida Roti (cottage cheese & egg parcel) , Dhaba Style Paneer Bhurji (scrambled cottage cheese) , Paneer Masala (Cottage cheese in tomato gravy with peas and capsicum) Jhatpat Shahi Paneer (Quick royal cottage cheese)   Paneer Paratha (Cottage cheese stuffed paratha)  Paneer Macaroni Pakodi (Cottage cheese pasta pakori) .

Serves: 3

Duration: 45 mins

Ingredients for Paneer Makhani

Paneer / Cottage cheese200 gms
Onion (chopped)3 medium
Tomato (chopped)4 medium
Cashew nuts8-10
Cinnamon stick1" piece
Ginger2" piece
Cardamom2 no.
Kasoori methi/dry fenugreek leaves2 tsp
Butter5 tbsp
Cream2 tsp
Oil1 tsp
Coriander leaves (chopped)for garnishing
Water1/4 cup
Bay leaf1
Sugar1/2 tsp
Red chilli powder1 tsp or as per taste
Turmeric1/4 tsp
Coriander powder2 tsp
Salt 1 tsp or as per taste
All spice powder / garam masala1/2 tsp
Black pepper corn / saboot kali mirch4-5

Procedure for Paneer Makhani

  • Wash and chop tomato and onion.


  • Cut paneer in cubes.


  • In a pan, heat butter.


  • When butter starts melting, add cumin seeds and let it crackle.


  • Add cardamom, cloves and cinnamon stick, stir fry for 1 min.


  • Now add garlic and ginger in the pan and fry till raw smell fades away.


  • Add chopped onion and cashew nuts in the pan and fry till translucent.



  • When onions are translucent add chopped tomatoes.


  • Cook for 2-3 mins, add 1/4th cup of water, cover the lid and cook on medium flame.


  • Cook till tomatoes are tender. Let it cool down.


  • Make a  smooth paste out of above tomato-onion mix.


  • In a pan add 1 tsp oil then add butter. This stop burning of butter.


  • Add red chilli powder and bay leaf, stir it continuously for only 30 secs.



  • Add tomato onion paste in the pan. Cook for few minutes.


  • At this point add coriander powder, salt, turmeric and all spice powder. Mix everything.


  • Cook the gravy till oil separates.


  •  Add kasoori methi, sugar and cream. Mix everything.




  • Add paneer cubes in the gravy. Coat cubes with gravy. Cook for 2-3 mins till the paneer cubes are cooked.



  • Garnish with coriander leaves and cream swirl. Your paneer makhni is ready to serve.



For red color of gravy you can add artificial edible color or kashmiri/deggi red chilli powder.


  1. Alisha paneer butter masala is my favourite. Thanks for the recipe darling.

  2. Yummmm.. it looks delicious

  3. Yummm, this lip-smacking dish is making me hungryyyyyy 😀 🙂 Loved it <3 Keep sharing such yum yum recipes Alisha 🙂

  4. So yummy recipe. loved it. will try this soon.

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