Hungarian Goulash is a hearty beef stew with melt-in-your-mouth tender beef, perfectly sautéed onions, and a blend of delicious spices.

Traditionally you would serve this dish over egg noodles, Spätzle, or boiled potatoes ('Salzkartoffeln'). You can also serve Goulash with a side of red cabbage and a cucumber salad. And then round it out with some German Cherry Crumble for dessert!

This Goulash is what my entire family grew up on.

In Germany, we'd simply refer to it as 'Gulasch', in the United States you'll hear the term 'Hungarian Goulash'. To keep it easy, we'll just refer to it as 'Hungarian Goulash'.

In the United States, people associate 'Goulash' (also known as 'American Goulash') with tomato-based ground beef and elbow macaroni stew. And American Goulash is delicious.

This recipe is one I learned from my Oma. And I am blessed because she is still around loves talking recipes.

Although a lot of times her answer will say 'Oh, Kind' (oh, child) just add a bit of this and a dash of that. Me: 'Oma, can you please be more specific. Oma: 'No. You learn by cooking.'

LOL. She's a great cook. And had many years to perfect this and other recipes. I have converted her notes and turned them into a time-tested recipe.

This is a recipe to have fun with. Go ahead add a dash of 'this' and 'that'. You can make it spicier by adding 1 teaspoon of hot paprika, or chili powder, sweeter by adding sweet paprika.

But I like the subtle smokiness of smoked paprika.

Hungarian Goulash is also a great party dish because it's a real crowd pleaser and it keeps very well on a hot buffet.

Table of Contents show

Ingredients

¼ cup OLIVE OIL
2 pounds STEW MEAT, cubed
2 pounds ONIONS, sliced
1 tablespoon SUGAR
3 tablespoons TOMATO PASTE
3 tablespoons SMOKED PAPRIKA
2 cups WATER

Garlic Lemon Butter

2 tablespoons BUTTER, unsalted, softened
6 cloves GARLIC, minced
1 bay leaf, minced
2 tablespoons LEMON ZEST, from 2 large lemons

How To Make Hungarian Goulash

In a large pot (or Dutch Oven) heat the olive oil and sear the stew meat on medium-high heat until brown on all sides. About 5-7 minutes.
Add sliced onions and continue to cook for 5 minutes on medium heat.

Add tomato paste and combine well.
Next, add paprika, sugar, and 2 cups of water. Cover the dutch oven with a lid and continue to simmer for 45 minutes on medium-low heat. Stir occasionally.

Thicken The Goulash

Make garlic lemon butter. On medium cutting board set out softened butter, a finely diced bay leaf, lemon zest, and minced garlic. Use the flat side of a large knife and mash the ingredients until they turn into a thick paste.
Add in the lemon garlic butter. Stir until the butter has combined well and the goulash begins to thicken. Continue to simmer on low heat for an additional 3-5 minutes until the sauce has thickened. Season to taste with salt and pepper.

Recipe Notes and Tips

a closeup of Hungarian beef goulash in a white bowl

CARAWAY SEEDS: There are plenty of variations of Hungarian Goulash. One popular addition is caraway seeds. Chop the seeds until they turn to crumbs. For this recipe, you'd be adding 1 teaspoon of caraway seeds. Chop finely and add to the lemon-garlic compound butter.
WINE: If you enjoy a glass of wine during cooking, add a ½ cup of red wine (remove the same amount of water).
COMPOUND BUTTER: You can also make the lemon garlic butter by adding all of the ingredients to a small food processor. It's very similar to our parsley butter.
STORING: If you have leftovers you can store them in an airtight container and store them in the fridge for 4-5 days.
FREEZING: This Goulash recipe freezes very well. Allow the goulash to cool completely. Add it to a freezer-friendly container or a freezer bag and freeze for up to 3 months.

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