Dissolve the sugar – In a heavy-bottomed saucepan, combine sugar and water. Stir gently until the sugar looks like wet sand. Place over medium-high heat and let it dissolve. Once simmering, stop stirring. (insert process photo)
Caramelize – Continue cooking until the sugar turns a deep amber color. Watch closely: pale gold turns to burnt in seconds. (insert process photo)
Add the cream – Warm the cream slightly before using (either on the stove or in the microwave for 20–30 seconds). Slowly stream it into the caramel while whisking constantly. This step helps prevent seizing and reduces the dramatic bubbling.
Whisk in butter – Add the butter pieces and whisk until fully melted and combined.
Finish with flavor – Remove from heat and stir in salt and vanilla extract. The caramel will thicken slightly as it cools.
Cool and store – Let cool for 10–15 minutes before transferring to glass jars. The sauce will continue to thicken as it sits.