Caramel eggnog sauce is the perfect thing to have on hand for special occasions. This homemade caramel sauce with a holiday twist is perfect drizzled over vanilla ice cream, cheese cake, french toast, or my favorite way by the spoonful!

glass jar of caramel sauce sitting on a linen napkin with a vanilla bean and some cinnamon sticks off to the side, pan with caramel sauce dripping down the outside is in the background

Why I love making my own caramel sauce

Growing up if we wanted hot fudge or caramel sauce for our ice cream we would make it. And if there happened to be any leftovers they would get stored in a mason jar in the refrigerator, to be scooped out and reheated on the stove top, because DUH! we didn’t have a microwave until I was in high school. I know. I know. I’m old. This was the early eighties. Ancient history. Then I grew up and realized you could actually purchase these ice cream condiments in the grocery store. What a revelation. However, every time I purchase a caramel sauce or a hot fudge I think, I could have just made that myself. So all that to say, I think giving the gift of caramel sauce is a fabulous idea. You should do it. Save your jam jars, and whip some up. Put a bow on it, Voila! Gift for neighbor, teacher, pastor, friend done! Then may I suggest that you also make hot fudge sauce and give it to them as a pair! Anyway, the reason I love to make my own caramel sauce is one, it’s better, and two it’s nostalgic for me. I can see myself standing in my childhood home at our old electric stove top. I can also smell the burnt sugar, because trial and error as a kid is the best way to learn how to cook. Although I wouldn’t suggest letting your under ten year old trial and error cooking molten sugar. It was a different time. The wild west of sorts.

Gather these ingredients

granulated sugar
corn syrup
butter
eggnog
pure vanilla extract or dark rum

How to make Caramel Sauce

Add sugar to a medium saucepan over medium-low heat, using a wooden spoon continuously stir sugar while it melts and turns a golden color. If sugar seems to be burning turn heat down, and continue to stir until all the sugar is melted and golden brown in color.

For best results: If sugar crystals have formed on the sides of the pan take a pastry brush and dip it in water and brush down the sides of the pan until all of the sugar crystals have dissolved. You want to make sure sugar crystals have been dissolved to ensure smooth creamy caramel sauce.

Once granulated sugar is completely melted and sugar crystals have been eradicated (maybe thats a strong word…but just make sure you get rid of them), cut butter into small chunks and add to the melted sugar along with corn syrup. Whisk until sugar and butter come together.

Once butter and sugar and smooth and cooking at a low boil slowly add in eggnog and pure vanilla extract or a splash of dark or spiced rum. Whisk while mixture continues to cook at a low boil. Cook until temperature of the homemade eggnog caramel sauce is 220 degrees F. Remove from heat and allow to cool. Pour into small glass jars for gift giving or one 1/2 quart jar for yourself.

Tips & Variations

If you do not have eggnog on hand it can switch out easily, substitute heavy whipping cream. Same amount.
Doubling the recipe: Sometimes when you double a recipe things need to be adjusted a bit, not for this recipe. The only suggestion would be to use a larger pan, like a 6 quart pot instead of the 3 quart I suggest in the recipe card.
Extracts: If you want to get creative, you could substitute spiced rum for the vanilla in this recipe. Or Cointreau would give this recipe a citrus twist.
Cooking with hot sugar: If you have never melted sugar before, keep in mind that it literally is like molten lava. If you happen to get it on your skin run to the sink and get cold water running on it right away. This is also why it’s wise to stick close by if you are letting your children help you in the kitchen.
Storage: Allow caramel sauce to cool off and then pour into glass containers. I prefer to use glass for hot fudge and caramel sauce. Wait until it is room temperature to place in the refrigerator. If you put your caramel sauce in the refrigerator too early there will be condensation that forms inside the container and this will ruin your sauce, or at least alter it.
Ways to use caramel sauce: Ice cream, pancakes, french toast, over your apple pie. Quite honestly the sky is the limit!

whole caramel apple crunch pie sitting on a baking sheet with a spoon of caramel laying to the lower left of pie on the pan a gingham napkin in the bottom right corner

Look at that, Caramel Apple Crunch Pie! Another great way to use this caramel sauce. I hope that whoever you share this caramel sauce with they love it, and love sharing it. If you have time and could give this recipe a star rating below in the recipe card I would very much appreciate it! From my table to yours with love, Sheila