Step 1

Prepare a baking dish: Butter an 8-x8-inch baking dish. Cut two strips of parchment paper, both 7 1/2 inches by  6 inches, and lay them across one another in the dish. This will make it easy to lift the set caramel out of the dish.

Step 2

Cook the sugar: Set a 4 1/2- or 5-quart Dutch oven (or another heavy-bottom pot) over a large burner on your stove but don’t turn it on. Add sugar, corn syrup, and water to the pot. Use a wooden spoon to stir together until the mixture resembles slushy snow. Rinse off the wooden spoon to remove any sugar crystals and set it aside to use later.

Step 3

Brush the sides of the pot: Use a pastry brush, dipped in water, to brush down any sugar crystals that may cling to the sides of the pot above the slushy sugar.Place the candy thermometer in the pot, making sure the bottom of the thermometer is covered by the sugar.

Step 4

Bring the mixture to a boil over medium heat: Set the burner under the pot to medium and bring the sugar mixture to a boil without stirring it. The sugar will go from a rapid, clear boil to a sludgy, slowly-moving boil. The sugar will begin to turn a golden yellow color.

Step 5

While the sugar cooks heat the cream: In a small saucepan set over medium heat add the cream. You don’t want the cream to simmer or boil. Once steam begins to rise from the surface of the cream, add the sliced butter, vanilla extract, and salt. It’s okay if the butter is not completely melted into the cream.

Step 6

Watch the sugar and add the cream: The sugar will go from a quick, rustling boil to a slow, languid one as the water in the mixture is cooked off. Don’t walk away or turn your attention from the sugar.As soon as the sugar takes on a deep amber color and reaches 320°F, carefully add the cream mixture in four parts, 1/4 cup at a time. Be careful not to put your arms or face over the pot as the mixture will boil and steam violently.Once the cream is all added, use a wooden spoon to stir just until no large slices of butter remain. Stop stirring and cook the caramel until you bring it back to 240°F.

Step 7

Pour the caramel into the dish: Once the caramel reaches 240°F, pour it into the center of the prepared dish. Tap the dish gently on the countertop to expel any large air bubbles and allow the caramel to cool on a baking rack until set, or three hours.

Step 8

Slice the caramel: Melt 1 tablespoon of butter. Then use your pastry brush to butter both the blade of your knife and the cutting board or surface where you’ll cut the caramels. This will prevent the caramels from sticking.Once the caramel is set. Use the sides of the parchment to lift the caramel from the dish and transfer it to your buttered cutting surface. Remove the parchment paper and cut the caramel into pieces that fit the size of your candy wrappers. You will press the knife down to cut them rather than drag it through.

Step 9

Wrap and store the caramels: Once cut, place a caramel on the center edge of a wax paper square, roll, and twist each end to close the wrapper completely. Store the wrapped candies in an air-tight container or storage bag, at room temperature, for three weeks or transfer to a freezer bag to keep for three months.