So for a while now, I have been obsessed with bread puddings and bread and butter puddings. They really do make great desserts and my creativity with developing new recipes has been unbelievable...so since I'm on a roll....what is bread and butter pudding? Bread and butter pudding is typically made by buttering the bread slices before saturating them in the milk, sugar, and egg mixture. Just like traditional bread puddings, bread and butter puddings may be served hot or cold with a cream or dessert sauce.