Step 1

Start by having all the ingredients ready to go, and near the stove (as sugar can burn quickly).

Step 2

In a medium heavy-bottomed saucepan (I use at least a 3-quart cast iron or stainless steel) heat the water and sugar over medium-low heat. Whisk constantly until the sugar has dissolved and the mixture starts to just bubble.

Step 3

Turn the heat to high and bring to a boil. Stop stirring and allow mixture to continue boiling until it turns an amber color, this could take anywhere from 4-12 minutes.

Step 4

Remove from heat and turn off the stove. Carefully and slowly whisk in the heavy cream as the mixture will bubble. Mix in the butter, one cube at a time until everything is incorporated.

Step 5

Add vanilla or salt if desired. Allow to cool in the pan for 10-15 minutes, stirring once or twice. The mixture will thicken up as it cools. *(SEE NOTE to prevent caramel from getting grainy,)

Step 6

Pour into a mason jar or airtight container in the refrigerator for up to 2 weeks. Warm for a few minutes in the microwave before serving.