This vegan mushroom sauce is pure magic! It's a lightened-up dairy-free sauce with earthy mushrooms and creamy cashews that's perfect on everything from pasta to potatoes. It's quick and easy to make, and it's ready in 25 minutes!

If you love mushrooms as much as we do, also try our vegan mushroom gravy and cashew cream of mushroom soup.

looking down on a pan of Vegan Mushroom Sauce

While the mushrooms in this sauce won't make you feel funny, it does taste quite magical. It's a dairy-free mushroom sauce that tastes like it has whipping cream in it, but it doesn't. It's so rich, creamy, and delicious that you may not even know the difference!

It's an easy vegan sauce that's perfect for quick and healthy weeknight meals. Toss it with pasta, pour it over mashed potatoes, or add in some chunks of tempeh and serve it over brown rice for a completely vegan meal.

To make it, simply brown some mushrooms in a pan with olive oil then transfer some to your blender along with the soaked cashews, garlic, salt, pepper, and water. Blend it all until smooth and creamy. Add the sauce back to the pan with the rest of the mushrooms, and warm it on the stove. That's it!

One thing to keep in mind is the cashews need to soak either overnight or using our quick-soak method. You'll also need a good blender for that extra smooth texture.

Stirring Vegan Mushroom Sauce in a pan

Magic mushroom sauce ingredients

You only need a few simple ingredients and most of them you're likely to have on hand. Here's what you need to make this healthy mushroom sauce:

  • Cashews – look for raw un-roasted and unsalted cashews for this recipe. They need to be soaked either overnight, or using our quick-soak method (see below).
  • Olive oil – for sautéing the mushrooms. You can also use a vegan butter alternative if you prefer.
  • Mushrooms – we use a mix of cremini mushrooms but you can use button mushrooms or a mix of your favorites.
  • Garlic – because garlic and mushrooms belong together, and because garlic adds lots of flavor to the earthy mushrooms.
  • Sea salt + pepper – for seasoning, to taste.

The cashew quick-soak method

Don't worry if you didn't plan ahead and soak your cashews overnight. This easy quick-soak method is here to save the day!

Here's how to quick-soak cashews in just two simple steps:

  1. Place cashews in a heat-safe bowl or dish.
  2. Cover them with boiling water for at least 1 hour. That's it! Now they will be soft enough to blend into a creamy sauce.
a wooden spoon with cashew vegan healthy mushroom sauce

How to make magic mushroom sauce

This vegan mushroom cream sauce is a versatile creamy sauce with lots of different uses from pasta, to mashed potatoes, and even burgers. It's quick and easy to make, and it's completely dairy-free. Here's how to make it in a couple of simple steps:

  1. To start, sauté the mushrooms in olive oil until they look nice and browned.
  2. To your blender, add the soaked cashews, garlic, sea salt, and pepper along with some water and a scoop of the mushrooms. Give it whiz until it's smooth.
  3. Pour the sauce mixture into the pan with the rest of the mushrooms, and heat it on the stove until it's warmed through. Enjoy this magical mushroom sauce on anything your heart desires!

Full recipe instructions are in the recipe card below.


Can I use a different type of nut instead of cashews?

Unfortunately no, cashews are the only nut (that we know of) that are neutral flavored and become super creamy when blended.

How long does it keep in the refrigerator?

This sauce will stay fresh in the fridge in an airtight container for 3 days.

Can I freeze it?

Yep! It will keep in your freezer for up to 6 months. When it's thawed, give it a good whisk to remove any lumps.

Ideas for serving this mushroom sauce

There are so many delicious ways to enjoy this cashew mushroom sauce. Here are some simple ideas to get you started:

  • Use it in a casserole. It's the sauce we use to make our vegan green bean casserole, and it tastes great in tuna noodle casserole, or baked pasta dishes, too.
  • Pair it with potatoes. Serve it with mashed potatoes, baked potatoes, or any other kind of potatoes you can think of.
  • Make a grain bowl. Serve it with some tempeh or cooked chicken chunks and spinach over brown rice for a healthy complete meal.
  • Toss it with pasta. Fusilli, spaghetti, penne, you name it. Use gluten-free pasta if needed, or veggie noodles for a lighter meal.
  • Turn it into soup. In our cashew cream of mushroom soup, we add vegetable or chicken broth to thin it and some thyme and black pepper for flavor. In just 20 minutes, you can wrap your hands around a mug of this not-from-a-can mushroom soup.
a close up of vegan cashew mushroom sauce

More healthy sauce recipes

looking down on a pan of Vegan Mushroom Sauce

Magic Mushroom Sauce

Get ready to taste pure magic with this vegan mushroom sauce! It's a lightened-up dairy-free version with earthy mushrooms and creamy cashews that's perfect on everything from pasta to potatoes. It's quick and easy to make, and it's ready in 25 minutes!

If you love this recipe as much as we do, let us know with a 5-star rating!

4.84 stars (30 ratings)
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  • 1 cup cashews, soaked
  • 1 tablespoon olive oil
  • 1 ½ lb crimini or button mushrooms, sliced
  • 1 large garlic clove, minced
  • 1 teaspoon sea salt
  • ¼ teaspoon pepper


  • Add the olive oil to a large frying pan over medium-high heat. Add the mushrooms and cook, stirring occasionally, until they are brown, about 15 minutes.
    1 tablespoon olive oil, 1 ½ lb crimini or button mushrooms
    image for recipe instruction
  • Add the soaked cashews, garlic, sea salt, pepper, 1 ½ cups of water and a scoop of the cooked mushrooms to a food processor or blender and blend on high until smooth.
    1 cup cashews, 1 large garlic clove, 1 teaspoon sea salt, ¼ teaspoon pepper
    image for recipe instruction
  • Pour the sauce into the pan with the rest of the mushrooms. Bring the sauce to a boil then remove it from the heat.
    image for recipe instruction


Soak cashews in water for 4 to 24 hours.
If you have a high-powered blender you can get away with soaking the cashews for less than 4 hours.
Serving: 1 serving = ¼ of the recipe, Calories: 248kcal, Carbohydrates: 16g, Protein: 11g, Fat: 18g, Saturated Fat: 3g, Polyunsaturated Fat: 3g, Monounsaturated Fat: 10g, Sodium: 594mg, Potassium: 759mg, Fiber: 3g, Sugar: 5g, Vitamin A: 1IU, Vitamin C: 4mg, Calcium: 19mg, Iron: 3mg
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