1Pound steaks to about 1/4 inch thickness. Some butchers in your local grocery stores will run your cube steak through the tenderizing machine if you ask, if you do this skip the pounding.
2Place the flour and paprika in a shallow dish. I use an 8x8 baking dish to make dredging easier.
3Stir together baking powder, baking soda, pepper, salt, cayenne pepper and garlic powder in a medium bowl Stir in buttermilk and egg.
4Dredge each steak first in the flour, then the batter, and again in the flour. Pat the flour onto the surface of each steak so they are completely covered with dry flour.
5Heat the oil or shortening in a deep skillet (about 1/8 inch, you can eyeball this) to 325 degrees F over medium heat. Fry the steaks until evenly golden brown, 3 to 5 minutes per side. Place steaks on a plate with paper towels to drain.
6In a medium sauce pan melt butter over medium low heat. Once the butter is melted add the flour a little at a time whisking continuously. It will be one big clump, so be prepared. You are basically making a roux to start, so be careful not to burn.
7Slowly add the milk a little at a time whisking continuously to incorporate The gravy will go from big lump to gravy consistency once all of the milk is added.
8Add salt and pepper to taste. It's supposed to be a little peppery.
9If you prefer your gravy a little thinner add 1 tablespoon of milk at a time until you reach your desired consistency.