If you’re craving a dessert that’s comforting, rich, and irresistibly sweet, you’re going to love this Butterscotch Cake with Caramel Frosting Recipe. It’s a perfect celebration of buttery, caramelized flavors wrapped in a moist, tender cake that practically melts in your mouth. Whether you’re baking for a special occasion or just because you deserve something delicious, this cake delivers a warm hug of sweetness with every bite. Trust me, once you try this recipe, it’s going to become a beloved staple in your baking rotation.

Butterscotch Cake with Caramel Frosting Recipe - Recipe Image

Ingredients You’ll Need

This Butterscotch Cake with Caramel Frosting Recipe relies on simple, classic ingredients that come together to create remarkably rich and satisfying layers. Each element plays its part from the smooth butter and brown sugar to the tangy buttermilk and luscious caramel, building a perfectly textured and flavorful cake.

  • All-purpose flour: Provides the perfect structure for a soft yet sturdy cake crumb.
  • Baking powder and baking soda: Essential leavening agents that help the cake rise beautifully and remain light.
  • Salt: Balances the sweetness and enhances all the other flavors.
  • Unsalted butter, softened: Brings richness and moisture, ensuring a tender crumb.
  • Packed light brown sugar: Adds deep caramel notes and moisture to both cake and frosting.
  • Granulated sugar: Provides sweetness and helps with the texture of the cake.
  • Large eggs, room temperature: Bind everything together and contribute to the cake’s airy texture.
  • Vanilla extract: Infuses warmth and an alluring aroma that complements the butterscotch and caramel perfectly.
  • Buttermilk, room temperature: Gives a subtle tang and adds moisture, keeping the cake tender.
  • Butterscotch chips (optional): Introduces extra bursts of buttery sweetness throughout the cake.
  • Whole milk or heavy cream: Creates a silky, luscious caramel frosting.
  • Powdered sugar: Sweetens and thickens the frosting for that perfect spreadable consistency.
  • Salt for frosting: Adds a hint of savory contrast to balance the sweetness in the caramel.

How to Make Butterscotch Cake with Caramel Frosting Recipe

Step 1: Prepare Your Oven and Pans

Start by preheating your oven to 350 degrees Fahrenheit. This ensures the perfect baking temperature for even cooking. Grease and flour two 8-inch round cake pans, then line the bottoms with parchment paper to prevent sticking and make cake removal a breeze.

Step 2: Mix the Dry Ingredients

In a medium bowl, whisk together the flour, baking powder, baking soda, and salt. This step is crucial for evenly distributing the leavening agents so your cake rises uniformly with a lovely crumb texture.

Step 3: Cream Butter and Sugars

In a large mixing bowl, beat the softened butter with the brown and granulated sugar until the mixture becomes light and fluffy—this usually takes about 3 minutes. This creaming step is what traps air to produce a light, tender cake, so don’t rush!

Step 4: Add Eggs and Vanilla

Add eggs one at a time, fully incorporating each before adding the next, then stir in the vanilla extract. This gradual addition helps keep your batter smooth and well-blended.

Step 5: Combine Wet and Dry Ingredients

Alternate adding the dry ingredients and buttermilk into the creamed mixture in three additions, starting and ending with the dry ingredients. This method produces a silky batter with just the right consistency, preventing overmixing which can toughen the cake.

Step 6: Fold in Butterscotch Chips

If using, gently fold in the butterscotch chips so they’re evenly distributed without breaking up—a delightful surprise that melts into little pockets of sweet indulgence.

Step 7: Bake the Cake

Divide the batter evenly between the prepared pans. Smooth the tops with a spatula to ensure even rising. Bake for about 28 to 32 minutes or until a toothpick inserted in the center comes out clean. Let the cakes cool in the pans for 10 minutes, then transfer to wire racks to cool completely. This cooling period locks in moisture and prevents your frosting from melting later.

Step 8: Make the Caramel Frosting

In a saucepan over medium heat, melt the butter. Stir in the brown sugar and cook it for 2 minutes, stirring constantly until it’s smooth and bubbly. Add milk and salt, bringing the mixture to a gentle boil before removing from heat to cool slightly. Stir in vanilla, then gradually beat in sifted powdered sugar until your frosting is smooth and spreadable. If the frosting feels too thick, a splash of milk will loosen it right up.

Step 9: Assemble and Frost

Once your cakes are fully cooled, spread a generous layer of caramel frosting on one layer, then place the second on top. Frost the top and sides of the entire cake with the remaining caramel frosting, making sure every inch is covered in glossy, sweet caramel goodness.

How to Serve Butterscotch Cake with Caramel Frosting Recipe

Butterscotch Cake with Caramel Frosting Recipe - Recipe Image

Garnishes

Enhance your cake with a sprinkle of toasted pecans or a pinch of flaky sea salt right on the frosting. These simple garnishes add texture and a delightful salty contrast that highlights the cake’s rich butterscotch and caramel flavors.

Side Dishes

This cake pairs wonderfully with a scoop of vanilla ice cream or a dollop of freshly whipped cream. For a refreshing contrast, try serving alongside fresh berries or a simple berry compote that cuts through the sweetness with a tangy brightness.

Creative Ways to Present

For an extra festive touch, drizzle additional warm caramel sauce over the cake slices right before serving. You can also serve smaller, individual portions in elegant mini trifle cups layering pieces of cake, frosting, and whipped cream for a playful yet sophisticated dessert display.

Make Ahead and Storage

Storing Leftovers

Wrap leftover cake tightly in plastic wrap or store it in an airtight container at room temperature for up to 2 days. This keeps the cake moist and the frosting fresh. Refrigeration is optional but may firm up the frosting for a slightly different texture.

Freezing

You can freeze unfrosted cake layers wrapped securely in plastic wrap and then foil for up to 3 months. When ready to enjoy, thaw them overnight in the fridge before frosting. This Butterscotch Cake with Caramel Frosting Recipe is freezer-friendly and perfect for preparing ahead of time.

Reheating

For a freshly baked feel, warm individual slices gently in the microwave for 10 to 15 seconds. This melts the frosting slightly, enhancing the buttery, caramel experience—a small indulgence that makes every bite heavenly.

FAQs

Can I make this cake dairy-free?

Yes! You can swap the butter and milk with your favorite dairy-free alternatives like vegan butter and almond milk. Just be sure to use a buttermilk substitute such as almond milk mixed with a splash of vinegar to maintain the tender crumb.

Are butterscotch chips necessary?

The butterscotch chips add delightful bursts of flavor but are optional. If you don’t have any on hand, the cake will still be wonderfully moist and flavorful without them.

How long does this cake stay fresh?

When stored properly at room temperature, the cake stays fresh for up to 2 days. Refrigerated, it can last up to 5 days, though the texture of the cake and frosting may become firmer.

Can I double the recipe for a larger cake?

Absolutely! Just double all ingredients and bake in appropriately sized pans, keeping an eye on baking times which may vary slightly depending on pan size. Larger cakes can require extra baking time.

What makes this cake different from a regular butter cake?

Besides the rich infusion of butterscotch chips and the luscious caramel frosting, the use of brown sugar and buttermilk gives this cake a deeper flavor and moist, tender texture that sets it apart from your typical butter cake.

Final Thoughts

Now that you’ve got this amazing Butterscotch Cake with Caramel Frosting Recipe in your hands, it’s time to get baking! This cake is truly a celebration of buttery sweetness and melty caramel goodness that everyone will rave about. Whether it’s a holiday centerpiece or a simple weekend treat, it’s guaranteed to bring smiles all around. So go ahead, treat yourself and your loved ones to a slice of pure homemade happiness.

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Butterscotch Cake with Caramel Frosting Recipe

5 Stars 4 Stars 3 Stars 2 Stars 1 Star 4 from 74 reviews
  • Author: Mariam
  • Prep Time: 25 minutes
  • Cook Time: 30 minutes
  • Total Time: 55 minutes
  • Yield: 12 servings
  • Category: Dessert
  • Method: Baking
  • Cuisine: American
  • Diet: Vegetarian

Description

This Butterscotch Cake with Caramel Frosting is a rich and moist American dessert featuring a tender cake infused with butterscotch chips for extra sweetness, topped with a luscious homemade caramel frosting. Perfect for fall gatherings or special occasions, this layered cake balances buttery, caramelized flavors with a soft crumb and a creamy, smooth frosting.


Ingredients

Scale

For the Cake:

  • 2 1/2 cups all-purpose flour
  • 2 teaspoons baking powder
  • 1/2 teaspoon baking soda
  • 1/2 teaspoon salt
  • 3/4 cup unsalted butter, softened
  • 1 cup packed light brown sugar
  • 1/2 cup granulated sugar
  • 3 large eggs, room temperature
  • 1 tablespoon vanilla extract
  • 1 cup buttermilk, room temperature
  • 1/2 cup butterscotch chips (optional)

For the Caramel Frosting:

  • 1/2 cup unsalted butter
  • 1 cup packed light brown sugar
  • 1/4 cup whole milk or heavy cream
  • 1/2 teaspoon salt
  • 2 cups powdered sugar, sifted
  • 1 teaspoon vanilla extract


Instructions

  1. Prepare Pans and Oven: Preheat your oven to 350°F (175°C). Grease and flour two 8-inch round cake pans, then line the bottoms with parchment paper to prevent sticking.
  2. Mix Dry Ingredients: In a medium bowl, whisk together all-purpose flour, baking powder, baking soda, and salt to ensure even distribution of leavening agents and salt.
  3. Cream Butter and Sugars: In a large mixing bowl, beat the softened butter with light brown sugar and granulated sugar using a mixer until the mixture becomes light and fluffy, which should take about 3 minutes.
  4. Add Eggs and Vanilla: Incorporate eggs one at a time into the creamed butter and sugars, beating well after each addition. Then mix in the vanilla extract.
  5. Combine Batter: Add the dry ingredients and buttermilk alternately to the wet mixture in three additions, starting and finishing with the flour mixture. Gently stir in butterscotch chips if you are using them for an extra butterscotch flavor.
  6. Fill Pans and Bake: Divide the batter evenly between the prepared cake pans and smooth the tops. Bake in the preheated oven for 28–32 minutes or until a toothpick inserted in the center comes out clean.
  7. Cool Cakes: Allow the cakes to cool in the pans for 10 minutes, then turn them out onto wire racks to cool completely before frosting.
  8. Make Caramel Frosting: Melt butter in a saucepan over medium heat. Stir in brown sugar and cook for 2 minutes, stirring constantly. Add milk and salt, bring to a gentle boil, then remove from heat and let cool slightly. Stir in vanilla extract.
  9. Finish Frosting: Gradually beat in sifted powdered sugar until the frosting is smooth and spreadable. If the frosting is too thick, add a splash of milk to reach desired consistency.
  10. Assemble Cake: Frost the cooled cakes with the caramel frosting. Stack the layers and spread frosting evenly on top and around the sides. Optionally, drizzle additional caramel sauce or sprinkle toasted pecans or sea salt flakes over the cake for enhanced flavor.

Notes

  • For extra flavor, drizzle additional caramel sauce over the top of the cake.
  • You can bake the cake a day ahead—wrap the layers tightly and frost the next day to save time.
  • This cake pairs beautifully with toasted pecans or sea salt flakes for added texture and taste.

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