Learn how to make quick and easy Paneer Payasam recipe with a quick video tutorial and detailed step by step photos. Rich, fragrant and ready in under 20 minutes - this creamy paneer kheer is festive enough for celebrations yet simple enough for any day!

Paneer Payasam or Paneer Kheer is one of those desserts that feels fancy and festive, but is so simple to make. I first made it a whim with some leftover paneer and was mildly surprised by how creamy and delicious it turned out to be. Ever since, it has become one of my favorite quick desserts for sudden sweet cravings.
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What I really love about this recipe is how it tastes so much like Rasmalai but without all the effort. Freshly grated paneer/cottage cheese melts into warm, thickened saffron infused milk giving the payasam a silky, pudding like texture that feels indulgent without being overly heavy.
And the best part is that it comes together in less than 20 minutes, with store-bought paneer and a few basic pantry ingredients. With some slivered pistachios and almonds on top it feels extra special and every single time I make it, nobody can believe how easy it actually is.

Key Ingredients
- Milk - The base of any good kheer. Slowly reducing whole milk builds a naturally creamy texture without any fresh cream or condensed milk.
- Paneer/Cottage Cheese - Freshly grated paneer blends easily into the hot milk, adding richness and gives the payasam Rasmalai like texture.
- Sugar - Plain white sugar is used to keep the color of kheer a beautiful creamy white, adjust the quantity to suite the preferred level of sweetness.
- Saffron & Cardamom - A large pinch of saffron and a tiny amount of freshly ground cardamom powder gives the kheer its golden hue and aromatic depth respectively.
- Slivered Pistachios & Almonds - Add a beautiful crunch, richness and make the dessert feel extra special and festive.
For full list of ingredients and exact measurements, check the recipe below.

Step by Step Instructions
In a heavy bottomed pan, heat 3 cups milk on medium low flame. As the milk heats, a thin layer forms around the edges. Using the spatula, scrape these milk solids into the center of the pan, stirring gently allowing the milk to slowly reduce and thicken. It should take about 10-12 minutes.

Add a large pinch of saffron strands and then add ¼ teaspoon cardamom powder. Mix well, cooking on low flame for 2-3 mins.

Next add ¼ cup of sugar and continue cooking on low flame until the sugar has melted completely.

Add 1 cup paneer grated and mix it well.

As the mixture begins to thicken, add 2 tablespoon silvered pistachios and almonds.

Let the payasam/kheer boil on low flame for 2-3 mins and remove from heat.

Transfer the payasam/kheer to serving bowl and garnish with slivered pistachios, almonds and saffron strands. Serve immediately while warm or allow to cool and refrigerate to serve chilled.

Recipe Notes
- Use good quality fresh, soft paneer for the best texture - if using store-bought. Homemade malai paneer works best, if available.
- Always cook the milk and payasam on low flame - high heat can scorch the milk and burn at the bottom.
- The payasam thickens as it cools, so remove from heat as it begins to come together.
Top Tips
- When using store-bought paneer, immerse it in hot water for a minute and discard the water before grating the paneer. It keeps the paneer soft and removes any unwanted flavors in the payasam.
- Bloom the saffron in a teaspoon of warm milk before adding for a more vibrant color and intense flavor.
- Always add the sugar to milk only after it has been boiled considerably and it has thickened - it prevents the milk from curdling.
- Always cook the milk and payasam on low flame - high heat can scorch the milk and burn at the bottom.

Substitutions & Variations
- Use jaggery or coconut sugar instead of white sugar for a more earthy, caramel-like sweetness.
- Add a teaspoon of rose water at the end for a fragrant version of paneer kheer.
Storage & Serving Suggestions
Paneer Payasam is best served either warm straight from the pan or chilled for a couple of hours in the refrigerator as a decadent dessert. Store any leftovers in an airtight containing in the refrigerator for up to 2-3 days. The payasam will thickens when cold and can be enjoyed as is but if preferred, stir in a splash of warm milk to loosen it back to the desired consistency. It is not desirable to freeze this.
Video Recipe
I would be delighted to know if you have tried this recipe, don't forget to provide your rating for this recipe and do share your comments below. If you have any questions, you can always e-mail me! I am also available on Facebook, Pinterest, Instagram and Twitter 🙂
📖 Recipe

Paneer Payasam | Easy Paneer Kheer
Equipment
- Thick Bottomed Pan
MEASUREMENT
1 cup = 250ml, 1 tablespoon = 15ml, 1 teaspoon = 5ml
Ingredients
- 3 cups Milk
- 1 cup Paneer/Cottage Cheese grated
- ¼ cup Sugar
- ¼ teaspoon Cardamom Powder
- Large Pinch Saffron
- 2 tablespoon Slivered Pistachios
- 2 tablespoon Slivered Almonds
Instructions
- In a heavy bottomed pan, heat 3 cups Milk on medium low flame. As the milk heats, a thin layer forms around the edges. Using the spatula, scrape these milk solids into the center of the pan, stirring gently allowing the milk to slowly reduce and thicken. It should take about 10-12 minutes.
- Add a Large Pinch Saffron strands and then add ¼ teaspoon Cardamom Powder. Mix well, cooking on low flame for 2-3 mins.
- Next add ¼ cup Sugar and continue cooking on low flame until the sugar has melted completely.
- Add 1 cup Paneer/Cottage Cheese and mix it well.
- As the mixture begins to thicken, add 2 tablespoon Slivered Pistachios and 2 tablespoon Slivered Almonds.
- Let the payasam/kheer boil on low flame for 2-3 mins and remove from heat.
- Transfer the payasam/kheer to serving bowl and garnish with slivered pistachios, almonds and saffron strands. Serve immediately while warm or allow to cool and refrigerate to serve chilled.
Video
Notes
- Use good quality fresh, soft paneer for the best texture - if using store-bought. Homemade malai paneer works best, if available.
- Always cook the milk and payasam on low flame - high heat can scorch the milk and burn at the bottom.
- The payasam thickens as it cools, so remove from heat as it begins to come together.




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