1-First step: prepare the pan Line an 8-inch by 8-inch baking dish with aluminum foil or overlapping parchment paper. Leave a little overhang on the sides so you can lift the fudge out easily later. This step makes cleanup easier and helps the fudge release without sticking.

2-Second step: combine the base ingredients In a medium saucepan, combine the chocolate chips and sweetened condensed milk. Place the pan over medium-low heat. Stir constantly so the mixture heats evenly and does not scorch on the bottom. The chocolate will begin to soften before it fully melts, which is exactly what you want.

3-Third step: melt until smooth Continue stirring until the chocolate is partially melted, then add the vanilla extract. Keep stirring over medium-low heat until the chocolate is fully melted and the mixture looks smooth and shiny. This usually takes about 5 minutes total, but keep an eye on the texture more than the clock. If you are making the vegan version, follow the same method with vegan chocolate chips and sweetened condensed coconut milk.

4-Fourth step: transfer to the pan Pour the mixture into the prepared pan. If it seems thick, gently shake the pan or use a rubber spatula to spread it into the corners. Smooth the top as best you can so the pieces look neat once cut. If you want to add chopped nuts, dried fruit, or other mix-ins, stir in about 1/2 cup right before pouring it into the pan.

5-Fifth step: let it set Allow the fudge to set at room temperature for about four hours. Try not to move the pan around too much while it sets. If your kitchen is very warm, a cooler spot in the house can help it firm up more evenly. There is no need to refrigerate it unless your room is especially hot.

6-Sixth step: remove and trim Lift the fudge out of the pan using the foil or parchment paper. Peel away the lining, then trim the rounded edges if you want even squares. This is optional, but it gives the final pieces a cleaner look and a more uniform shape.

7-Final step: cut into pieces Cut the slab into 36 equal pieces by dividing it into four large squares, then cutting each square into 9 smaller pieces. This method gives you neat, bite-size portions that are easy to serve, pack, or gift. If you prefer larger pieces, you can cut fewer squares, but 36 is the classic size for this batch.