Prepare the Dough:

• Activate the yeast by combining the warm water and yeast in a small bowl. Stir gently and let sit for 5-10 minutes until foamy.

• In a large mixing bowl, combine milk, granulated sugar, melted butter, salt, and egg. Add the yeast mixture and stir until well combined. Gradually add flour, one cup at a time, mixing until a dough forms.

Knead the Dough:

• Transfer the dough to a lightly floured surface and knead for 5 minutes until smooth and elastic. Add extra flour as needed to prevent sticking.

Let the Dough Rise:

• Place the dough in a greased bowl, cover with a clean towel or plastic wrap, and let it rise in a warm place for 1-1.5 hours, or until it doubles in size.

Shape the Beignets:

• Punch down the dough after it has risen and turn it onto a floured surface. Roll out the dough into a rectangle about 1/4-inch thick.

• Cut the dough into squares (2-3 inches wide).

Fry the Beignets:

• Heat vegetable oil in a deep skillet or Dutch oven to 350°F (175°C). You’ll need enough oil to submerge the beignets.

• Drop a few squares of dough into the hot oil and fry for 2-3 minutes on each side, or until golden brown and puffed up.

• Remove the beignets from the oil and drain excess oil on a paper towel-lined plate.

Serve:

• While the beignets are still warm, dust generously with powdered sugar and serve immediately.