Directions:

Preheat the oven to 350°F (175°C) and grease and flour two 9-inch round cake pans.

Toast the pecans:

In a skillet, melt 1/2 cup butter over medium heat. Add the chopped pecans and cook, stirring frequently, until the pecans are toasted and fragrant, about 5 minutes. Remove from heat and set aside to cool.

Make the cake batter:

In a large mixing bowl, cream together the softened butter and granulated sugar until light and fluffy. Add the eggs, one at a time, beating well after each addition. Stir in the vanilla extract.
In a separate bowl, whisk together the flour, baking powder, and salt.
Gradually add the dry ingredients to the butter mixture, alternating with the milk, beginning and ending with the dry ingredients. Mix until just combined.
Gently fold in the toasted pecans.

Bake the cake:

Divide the batter evenly between the prepared cake pans and smooth the tops.
Bake for 25-30 minutes, or until a toothpick inserted into the center comes out clean.
Allow the cakes to cool in the pans for 10 minutes, then turn them out onto a wire rack to cool completely.

Make the cream cheese icing:

In a large bowl, beat the softened cream cheese and butter until smooth and creamy.
Gradually add the powdered sugar, 1 cup at a time, beating until smooth. Stir in the vanilla extract. If the icing is too thick, add 1-2 tablespoons of heavy cream to achieve your desired consistency.

Assemble the cake:

Place one cake layer on a serving plate and spread a thick layer of cream cheese icing on top.
Place the second cake layer on top and frost the top and sides of the cake with the remaining icing.
Garnish with additional toasted pecans, if desired. Enjoy!