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Start by placing a good quality, thick-bottomed, non-stick pan on the stove.
Add the sugar and a tablespoon of water to the pan. Let the sugar melt completely over high heat. To prevent crystals from forming, avoid stirring with a spoon or spatula; allow the sugar to melt on its own.
Once the sugar has melted, continue cooking it over high heat. After about a minute, you'll notice it start to change color and bubble, like in the picture.
Keep a close eye on it, as caramel can burn easily if you're not careful.
Separately, boil ⅔ cup of water. A minute in the microwave usually does the trick.
When the melted sugar turns a beautiful amber color, turn off the heat and carefully pour the hot water over the caramel.
Now, set the heat to medium and cook for 3-4 minutes, allowing the caramel to dissolve into the water.
Again, try to avoid using a spatula; instead, gently swirl the pan to mix.
Finally, turn off the heat and let the slightly thick caramel syrup cool completely. Store it in a clean, sterilized glass jar for later.