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In a bowl, mix the lukewarm milk and sugar.
Sprinkle the dry yeast over the milk mixture.
Let stand for about 5-10 minutes until it becomes foamy
In a large mixing bowl, crack the egg and add the vanilla sugar.
Pour in the yeast mixture and stir until well combined.
Add flour and salt. Mix until a dough forms.
Now add the soft butter to the dough and knead until the dough is smooth and elastic.
This takes about 5-7 minutes by hand or 3-4 minutes with a stand mixer with a dough hook.
Cover the dough with a kitchen towel and let it rest in a warm place for 30 minutes, or until it has doubled in size
Divide the dough into equal portions and form into balls or desired shapes.
Place them on a baking sheet lined with paper.
Heat oil in a deep fryer or large, deep saucepan.
Carefully place a few doughnuts in the hot oil.
Fry on one side until golden brown, then flip and fry the other side until golden brown, about 2-3 minutes.
Drain the doughnuts on paper towels
Once the doughnuts have cooled slightly, dust with powdered sugar.
