Wash the dal well in water and drain.
Heat a vessel, pour ghee and fry the dal until golden colour.
Remove 3/4 of the fried dal out the vessel, keep aside and continue frying the remaining dal until dark brown.
Remove the dal and keep aside along with the first set.
In the same vessel used for frying dal, pour milk and heat.
When the milk becomes warm, add the fried dal.
Let the milk boil, until the dal is cooked.
Add sugar and a pinch of salt.
Mix well and cook until it becomes thick.
Remove from fire.
Fry cashews, raisins and coconut pieces in ghee and add to the payasam.