Jump to Recipe Jump to Video Print Recipe

This is a classic recipe for crumbed schnitzel, served with your choice of homemade mushroom sauce or a German-style red pepper sauce, also known as gypsy sauce. Both are simple to make and pair beautifully with schnitzel when done right. And if you’re planning a full meal, this dish goes wonderfully with Scalloped Potatoes or a fresh side salad.

Crumbed Schnitzel with Mushroom or Gypsy Sauce

Prep Time: 30

Cook Time: 45

Servings: 4

A classic crumbed schnitzel recipe served with your choice of sauce — creamy mushroom or richly spiced gypsy sauce made with red capsicum. I’ll show you how to crumb the schnitzels properly, so the coating sticks beautifully, plus how to cook each sauce from scratch. Simple, flavourful, and just a delicious meal.

Print Recipe

Ingredients

For the Schnitzels (scale up or down as required)

4 pork loin steaks or pork scotch fillet steaks or chicken breasts or beef topside steak or veal escalope's flattened to an even thickness, no thinner than 3-4mm, if they are too thin, they'll be dry. If using beef topside, use the tenderizer section of the mallet.
Salt and pepper to taste
¼ cup plain flour or cornflour
2 eggs
2 tsp olive oil
2 tsp water
1½ cups fine breadcrumbs
Neutral Oil for shallow frying e.g. light olive oil, rice bran oil
Knob of butter optional, for flavour
Lemon slices to serve

Mushroom Sauce

2 medium onions sliced into half-moons
2 tbsp olive oil
500 g button mushrooms wiped clean and sliced
1 large clove garlic or 2 medium, minced
1 tsp beef stock powder heaped teaspoon
1 cup thickened cream plus extra if needed
Cracked black pepper to taste

Gypsy Sauce (method slightly adapted from essenrezept.de)

3 medium red capsicums or 2 large, sliced
1 medium onion sliced into half moons
2 cloves garlic chopped
2 tbsp olive oil
3 tsp sweet paprika
½ –1 tsp chili powder optional, to taste
2 tbsp tomato paste
375 ml vegetable stock or water + 2 tsp veggie stock powder
1 –2 tsp sugar to balance
1 –2 tsp lemon juice to brighten
Cracked pepper to taste
1 –2 tbsp cornflour mixed with water to thicken

Instructions

Crumbing the Schnitzels

Flatten meat to even thickness if too thick.
Pat the meat dry using a clean towel or paper towel. Lightly score the edges of pork, beef or veal to prevent curling, (not necessary with chicken breasts). If the chicken breasts are too thick, cut them in half horizontally with a sharp knife.
Lightly season both sides with salt and pepper.
Set up three bowls:
Flour
Eggs whisked with 1 tsp oil and 1 tsp water per egg
Breadcrumbs
Coat each piece: flour → egg mixture → breadcrumbs (press crumbs on firmly).
Refrigerate crumbed schnitzels to firm up before frying.

Mushroom Sauce

In a heavy pan, heat olive oil and cook onions over medium-low heat until soft (10 min).
Add mushrooms and begin cooking gently. Stir occasionally.
The key to flavour: allow the base of the pan to brown slightly before stirring.
Wait a few minutes between stirs to let a golden “frond” build up.
Then gently stir, scraping the frond into the mixture.
Repeat this a few times — it develops deep flavour without rushing.
Once mushrooms are well browned (approx. 45 min total), add garlic and cook for 1–2 minutes.
Stir in beef stock powder, then add cream. Lower heat and stir gently.
Add extra cream if needed. Season with pepper. Turn off heat and cover until ready to serve.

Gypsy Sauce

Heat oil in a heavy pan. Add onions and cook over a moderately low heat for 3–4 minutes.
Add capsicum and cook for 5 more minutes, stirring often.
Stir in garlic, paprika, and chili powder. Cook for 1 minute until fragrant.
Add tomato paste and cook off for 1–2 minutes.
Add stock, bring to a boil, then reduce heat to a gentle simmer.
Simmer uncovered for ~20 minutes or until capsicum is tender.
Stir in sugar, lemon juice, and pepper. Taste and adjust seasoning.
Thicken with cornflour slurry to your preferred consistency.

Frying the Schnitzels

Heat a shallow layer of oil in a frying pan over medium heat. Add a knob of butter.
Once hot, add schnitzels in batches. Cook for about 3 minutes on each side, until golden brown and cooked through. You may need to add a little more oil to each batch, also if you are frying more than 2 batches, you may need to wipe out pan and start again with fresh oil.
Drain on a wire rack to keep them crispy.

Video

Notes

You can use pork, chicken, or beef for schnitzel — all work beautifully.
Crumbing tip: a teaspoon of oil in the egg wash really helps the crumbs stick better.
Both sauces reheat well and can be made in advance.
The mushroom sauce is full of flavour on its own, but sometimes I add a little fresh thyme, or a teaspoon of Worcestershire sauce if you’re a fan.
Serve with lemon wedges, scalloped potatoes, or coleslaw for a complete meal.

How to Make Crumbed Schnitzel with Two Sauces – Mushroom & Pepper