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In a large bowl mix sugar, cornstarch and nutmeg until well blended.
In a separate bowl mix together the egg yolks until smooth.
Add the egg yolks to the sugar mixture and mix thoroughly. Add the milk stirring constantly.
Using a medium size saucepan and candy thermometer on low heat, stirring constantly, heat the eggnog until temperature reaches 175.
Remove from the heat and stir in the 2 cups of half and half and vanilla.
Cool the eggnog for 2 hours uncovered, then cool and chill for at least 3 more hours. Serve cold.