This salted caramel butterscotch cake has three moist cake layers studded with crunchy toasted pecans, covered with creamy brown butter frosting and salted caramel sauce. It’s a rich and old-timey cake recipe that’s perfect for the festive season!

Looking for more easy layer cakes to bake for the holidays? Check out my Sweet Potato cake and this easy Snickerdoodle cake. And if you love the flavors in this butterscotch cake recipe, try these salted caramel butterscotch oatmeal cookies!

A slice of salted caramel butterscotch cake on a plate with a second slice in the background.

My Favorite Salted Caramel Butterscotch Cake

This salted caramel butterscotch cake is one of the best cakes I’ve ever made. And it starts with a box of white cake mix! I typically bake my cakes from scratch, but this recipe was originally published in 2016. Over the years, readers have raved about it, so I’ve made some minor tweaks but left the heart of the recipe as-is, cake mix and all.

You’ve got toasted pecans, three layers of butterscotch cake, plenty of salted caramel, and brown butter frosting (similar to the frosting I use on my banana cake). Not to mention, a little bit of bourbon because… why not? This butterscotch cake is a delicious and impressive dessert that’s perfect for the holidays.

What Makes This Butterscotch Cake Recipe So Special?

Super moist, tender cake layers. There are three glorious layers of cake, which I made in 8-inch pans, and it all begins with a cake mix to make prep quick and easy.
Butterscotch flavor throughout. I’ve shared slices of this butterscotch cake with a few people (to prevent myself from eating the entire cake) and one coworker said it reminded him of Werther’s Original Candy. I’ll take it!
A touch of bourbon. There’s lovely bourbon flavor in the cake and frosting, but you’re welcome to skip the alcohol if you prefer.
Salted caramel sauce. This cake gets decorated with thick, rich frosting and homemade (or store-bought) salted caramel sauce to really take it over the top.

Reader Review

“The recipe gets 5 stars before I even make it, as it justified the purchase of some bourbon. Yum! I used my own caramel buttercream recipe, but the cake was made just as you instructed and it was a big hit. I tested it on 5 people and everyone agreed that it’s a keeper. Thank you!”

A frosted butterscotch cake with a large slice missing on a cake stand.

Ingredient Notes

Using a cake mix in this recipe makes the prep slightly easier, but don’t worry, we doctor it up with additions like brown sugar, butterscotch pudding, butterscotch chips, and buttermilk. No one will know you started with cake mix!

Here are some notes on the important ingredients. See the printable recipe card for the full list along with the recipe measurements.

Pecans – I like to toast the pecans to bring out their flavor and fold them into the batter while using the leftovers to decorate the cake. You can also make this recipe without nuts, and leave them out.
White Cake Mix – Choose your favorite boxed white cake mix. Any brand will work.
Butterscotch Pudding – Make sure to buy an instant pudding mix, if all you can find is cook and serve, you can use that.
Butterscotch Chips – Melt the chips in the microwave before you start.
Buttermilk – If you don’t have buttermilk, you can substitute regular milk or make your own buttermilk.
Bourbon – I add a little bourbon to the cake and frosting for extra depth of flavor. Feel free to omit the bourbon in this recipe if you’d prefer.
Salted Caramel Sauce – I use my homemade salted caramel sauce rather than store-bought. You’ll want to adjust the salt level depending on your preference. You can also reduce the amount of heavy cream by ¼ to ⅓ cup for a thicker caramel. The cake is pretty sweet already, so the caramel is really more for aesthetics.

What is Flavor is Butterscotch?

Butterscotch is similar to caramel, but not quite the same. While caramel recipes use white sugar, butterscotch is made from butter and brown sugar. It has a warm, lightly nutty, and very aromatic flavor. Both caramel and butterscotch are used in this cake, and you can definitely notice the difference between the two!

Salted caramel butterscotch cake ingredients with text labels overlaying each ingredient.

How to Make Salted Caramel Butterscotch Cake

This salted caramel butterscotch cake comes together in two parts. First, you’ll bake and cool the cake layers, and then you’ll stack, frost, and decorate the cake. Follow the steps here, and scroll down to the recipe card for the printable recipe instructions.

Toast the pecans. Begin by lightly toasting the pecans in the oven at 350ºF for 5-8 minutes. Afterward, let the nuts cool before chopping them into pieces.
Melt the Chocolate. Melt the butterscotch chips in the microwave in 30-second increments, stir well,l and continue until melted and smooth.
Make the batter. In a large mixing bowl, combine the cake mix, pudding mix, and brown sugar. Mix the eggs, buttermilk, oil, sour cream, bourbon, and vanilla into the dry ingredients, mixing on low until that is incorporated. Lastly, add the melted butterscotch. Mix until everything is combined, then fold in a cup of toasted pecans.
Bake. Divide the batter evenly between three greased and lined 8” round cake pans. Bake at 350ºF for 21 to 25 minutes, until baked through.

Butterscotch cake batter in a mixing bowl. — Mix the batter.

Butterscotch cake batter in a round pan. — Mix the batter.

Brown Butter Frosting

The brown butter frosting is really what sets this butterscotch cake above the rest. It’s made with regular butter and browned butter for a slightly nutty flavor. You’ll also need additional butter that’s at room temperature. The frosting is definitely rich but it’s the perfect compliment to this cake.

Brown the butter. To brown the butter, cut the butter into cubes and melt it in a saucepan over medium heat. Allow the butter to boil and bubble, stirring frequently, as it turns an amber color and starts to smell nutty (follow my full tutorial on how to brown butter for details). Afterward, place the browned butter in the freezer for 20 to 25 minutes until it’s turned back to a solid but soft state, and then stir it until smooth.

Whip the butter. Next, whip room temperature butter for a few minutes, until it’s fluffy and spreadable. Then, beat in the cooled browned butter and whip for a couple of minutes until it is super fluffy and because much lighter in color (see the reference photo below).
Add the remaining ingredients. Gradually mix in the powdered sugar, alternating with the bourbon, vanilla, and salt until the frosting is smooth and fluffy.

Beaten frosting in a mixing bowl with a stand mixer attachment. — Whip the softened butter.

Close up of a spatula with frosting held over a mixing bowl. — Whip the softened butter.

Assemble and Frost

When frosting this cake, it can be a bit crumbly since the cake’s texture is very light and airy. I recommend adding a crumb coat first, chilling, and then adding the final layer of frosting. I normally do not chill or freeze my cake layers before frosting.

Trim the cake layers. Slice the domes off each cake so they’re flat for stacking.
Build the layers. Using 2 cups of frosting, pipe a layer of frosting over the first cake layer, starting at the outer edge and working into the middle. Smooth the frosting with a spatula. Place the second cake layer over the first, and repeat. Then, place the third layer on top, inverted. This gives you a nice, flat top for frosting. If you need extra guidance, I have a full tutorial on how to make a layer cake.
Add the crumb coat. Now, add an additional frosting to fill any gaps between the layers, and use an offset spatula to create a crumb coat. Pop the whole cake into the fridge to chill for 20 to 30 minutes.
Finish frosting the cake. Finally, use an offset spatula or icing smoother to frost the top and sides of the cake. You’ll end up with a rustic look.
Garnish and serve. Use your hands to press extra toasted pecans into the bottom edge of the cake (to create a “skirt”) and drizzle the cake with caramel sauce when serving.

Three butterscotch cake layers stacked and filled with brown butter frosting. — Stack and frost the cake layers.

Butterscotch cake partially frosted with a crumb coat on a cake stand. — Stack and frost the cake layers.

What Type of Salted Caramel Sauce Can I use?

The cake is pretty sweet already, so the caramel is not needed but is more of an aesthetic option. I’ve used both homemade and store-bought (I prefer Smuckers Salted Caramel sauce).Either way, you want to add this just before serving as it tends to run down the sides of the cake.

If you want to try making my homemade salted caramel sauce, you’ll want to adjust the salt level depending on your preference and opt for a thicker option by reduce the amount of heavy cream by ¼ to ⅓ cup for a thicker caramel.

Julianne’s Recipe Tips

Can I use 9-inch pans? Yes, though your layers will be thinner and you’ll need to adjust the bake time by a few minutes.
When browning the butter, be sure to stir the butter constantly. Once the butter starts to bubble, it’s essential to stir constantly. There is a fine line between nutty browned butter and burnt butter. Also, make sure it’s cooled before mixing it back into the frosting. Otherwise, it will melt completely!
Use a light hand when frosting. Since the cake layers are so soft, it can be difficult to frost. If you need to, you can always chill it for 15-30 minutes while assembling.
Chill the cake after the crumb coat. The crumb coat helps create a smooth, clean final coat of frosting. However, it needs to set and chill before adding the second layer of frosting.

A slice of butterscotch cake with a forkful missing on a plate.

How to Store

Refrigerate. I recommend storing the frosted caramel butterscotch cake in the fridge and serving it at room temperature. The refrigerated cake lasts for up to 3 days. A cake carrier is the easiest way to keep it covered.
Freeze. This cake can be frozen for up to 2 months. I find it’s better to freeze individual cake layers without the frosting. In this case, wrap the cakes tightly twice in plastic wrap and freeze. However, you can also freeze individual slices of frosted cake. Thaw the cake in the fridge before serving.

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