The desire to make this Southern Caramel Cake comes at least once a year, and it hits hard! So, of course I must comply in order to feel that I’ve satisfied my wish list! In this case, this recipe is a union of two sources. The fluffy yellow cake recipe comes from White Lily and the Caramel Frosting comes from a Cook’s Illustrated publication called Holiday Entertaining from 2010. It definitely meets the definition of specialty cake, and you’ll see why in your first bite into this fluffy, tender yellow cake with its oh so sweet and smooth caramel frosting.
The Cake:
Before Beginning:
- Eggs, butter and buttermilk should be at room temperature.
- Preheat the oven to 325 degrees F.
- Prep 8″ cake pans using butter and flour and line the bottoms with a parchment paper circle, as recommended by White Lily’s instructions. I spread softened butter inside the pan with my fingertips, ensuring complete coverage. Then, I put 1 T of flour in each pan and tossed it around until it attached to all the buttery spots. If there was any extra flour, I tossed it out.
Dry Ingredients:
Whisk together in a small bowl, the White Lily All Purpose Flour, baking powder and salt. Set aside. Why White Lily? According to information printed on their bag, it’s milled from 100% soft winter wheat which is low in protein content. It is perfect for delicate baked goods like cakes, cookioes, biscuits and pastries! I absolutely love its self-rising flour for homemade buttermilk biscuits! Yum!
Wet Ingredients:
The room temperature buttermilk will be added alternately with the dry ingredients once the initial mixture is blended.
Let’s Begin!
Beat the butter and sugar in a stand mixer using the paddle attachment on MEDIUM speed until fluffy, about 3-4 minutes. Scrap sides and bottom of the bowl as needed. Add in the room temperature eggs one at a time. Beat well after each addition. Scrape sides and bottom of bowl after every 2 eggs.
Blend in the vanilla.
On LOW speed, add to the butter mixture, the flour and buttermilk alternately, beginning and ending with flour. Scrape sides and bottom of bowl as needed to ensure all is incorporated.
Pour batter into the 2 prepared cake pans. Smooth out the tops.
Bake for 30-35 minutes on middle rack until toothpick comes out clean.
Place on cooling rack for 10 minutes. Run an offset spatula around the “crusty/crumbly” edges of the pan. Invert, remove parchment paper, and flip back to top side up. Feel free to take a nibble on any crumbs that fall. They are just inviting you to preview the taste of the cake. Cool completely before icing.
Penuche (Caramel) Frosting:
Pronunciation: peh-NOO-chee
For this frosting, I used the recipe from a Cooks Illustrated Holiday Entertaining publication from 2010. I’d recommend having everything laid out and ready before beginning the process. The frosting will harden quickly, so you will need to work fast.
- Put brown sugar, salt and butter in a saucepan on stove. ( Do not turn on yet.)
- Have a metal whisk ready to go.
- Place the measured heavy cream and vanilla on the side of the stove.
- Put mixing bowl on the counter with hand mixer (plugged in) along with the 4T butter sliced and ready to add in.
- The first cake layer should be placed on cake plate. You will need an offset spatula for spreading the frosting and a 3/4 cup measuring cup. The first layer requires 3/4 cup as well as the top layer once it is placed into position. The remaining frosting will spread on the sides.
- Option: To add texture and give it a rustic look, garnish the top with toasted pecans (or walnuts).
- Recommendation: If you have a bench scraper, you could use it to create sides that are more smooth than what’s evident in my pictures. After icing the sides quickly, you could rotate the cake plate while holding bench scraper in place. I’ll have to try this method on my next cake.
Now, let’s go make some Penuche Frosting!
The Stove:
In a saucepan, place the brown sugar, 8 T of butter cut into 1 T sections and the salt.
Cook on MEDIUM heat for 4-8 minutes, stirring occasionally as butter is melting. Once bubbles begin to appear on the perimeter of the pan. Then, blend in the heavy cream and cook until bubbles reappear on the perimeter. Remove from heat and whisk in the vanilla, then pour into mixing bowl.
The Bowl:
Pour the cooked brown sugar butter mixture into a mixing bowl along with the sifted confectioners sugar. Mix om LOW to start, then increase speed to MEDIUM. Mix just until all the sugar is incorporated. Continue to mix until it becomes pale brown in color and warm, about 5 minutes.
Add 1 T of the softened butter at a time until blended in, about 2 minutes.
TADA!
First layer: Spread 3/4 c of frosting evenly to outer edges.
Top layer: Spread an additional 3/4 c of frosting. over the top. Sprinkle on toasted nuts, if using.
Sides: Spread remaining frosting on the sides and smooth out with offset spatula or bench scraper quickly before it begins to harden. It’s not always perfect in looks, but it is in taste! Honestly, I could just peel it off and eat it by itself. It’s so fudge-like in texture!
Help yourself to a slice of cake and enjoy the fudgy caramel frosting!
A scoop of Butter Pecan ice cream, if desired, adds to its perfection! Truth be told, I made a second one just so I could try it with this ice cream.
To maintain its moist flavors, store a covered cake dish.

Southern Caramel Cake
Ingredients
- 3/4 c (12 T) butter, room temperature
- 1-1/2 c granulated sugar
- 3 large eggs, room temperture
- 2 t vanilla
Dry Ingredients
- 1-3/4 c White Lily All-Purpose Flour-fluffed, spooned and leveled I've subbed King Arthur if unavailable
- 2 t baking powder
- 1/8 t salt
Wet Ingredient:
- 3/4 c buttermilk, room temperature I used 1% fat
Penuche (Caramel) Frosting:
On Heat:
- 1/2 c butter (8 T-1 stick)
- 2 c dark brown sugar
- 1/2 t salt
- 1/2 c heavy cream
Off Heat:
- 1 t vanilla
- 2-1/2 c confectioner's sugar, sifted
- 4 T butter, cut into 4-1 T sections
Instructions
Prep:
- Have eggs, butter and buttermilk at room temperature BEFORE beginning process.
- Measure out and whisk together the dry ingredients in a small bowl. Set aside.
- Generously smear 2-8" cake pans with softened butter, then dust using 1 T flour per pan. Line the bottom of each with parchment paper.
- Preheat oven to 325℉.
First Steps:
- In stand mixer, beat butter and sugar at MED speed for about 3-5 minutes until light in color and fluffy; scrape down a couple of times.
- Add room temperature eggs one at a time followed by vanilla. Scrape down sides and bottom of bowl after every 2 egg additions.
Dry/Wet Additions:
- On LOW speed, in small additions, gradually add in the flour mixture and buttermilk, alternating and beginning and ending with flour.
Baking
- Divide batter evenly between 2 prepared pans. Weigh, if possible, to ensure more even baking.
- Bake for 30-35 minutes until lightly golden and toothpick tested.
- Place on cooling rack and run an offset spatula around the edges. Cool for 10 minutes in pan. Invert, peel off parchment paper and place back down on rack until completely cooled before icing.
Frosting:
- Before starting frosting, have one of the cake layers on your cake plate ready for the frosting as soon as you finish it.
On Heat:
- Stir butter, brown sugar and salt in a small saucepan over MED heat until butter is melted and blending with sugar. Continue to stir every few seconds until a ring of bubbles appears around the perimeter.
- Whisk in the heavy cream and cook until bubbles again appear on the perimeter. Remove from heat.
Off Heat:
- Whisk in vanilla and transfer hot frosting to a clean mixing bowl.
- On LOW speed, gradually mix in the sifted confectioner's sugar. Increase speed to MED and beat until frosting appear a lighter brown and just warm...maybe 5 minutes.
- Blend in 1 T of the butter at a time; beat until light and fluffy.
- Take 3/4 cup of the frosting and spread it evenly onto the first cake layer with an offset spatula.
- Place the second layer on top of first layer and quickly spread an additional 3/4 cup on the top. Garnish with toasted nuts, if desired. Spread remainder of frosting along the sides before it cools too much. You can use and offset spatula or a bench knife as described in post above.
- Allow it to sit at room temperature. The outside of the frosting will harden a bit, but will remain soft next to the cake. YUM. I store it in a cake dome. It's beautiful to admire and delightful to eat!




















