Peanut Butter Marshmallow Squares – Confetti Squares
These Peanut Butter Marshmallow Squares – AKA Confetti Squares are one of my favourite nostalgic childhood treats. Creamy peanut butter and butterscotch chips mixed in with rainbow coloured marshmallows are truly a match made in heaven!

**This post was originally published December 13, 2017 and updated July 30, 2024**
PEANUT BUTTER MARSHMALLOW SQUARES
You know that dessert your grandma brought to every potluck in the ’90s that somehow disappeared in five seconds flat?
Yep, weโre talking about Peanut Butter Marshmallow Squaresโthe ultimate no-bake, gooey, rainbow-hued butterscotch mixture blast from the past.
These babies are chewy, sweet, salty, and colorfulโbasically, everything you could ever want in a dessert. You only need a handful of ingredients (and no oven), which means theyโre dangerously easy to whip up at any time.

SIMPLE INGREDIENTS YOU NEED FOR THE PEANUT BUTTER MARSHMALLOW SQUARES RECIPE -AKA CONFETTI SQUARES
You will need the following ingredients listed below to make these peanut butter butterscotch marshmallow squares (the exact measurements, nutritional information and full recipe are in the recipe card at the bottom of this post):
- Peanut Butter (Creamy or Crunchy) โ for this recipe my grandmother used to always use creamy peanut butter. Can also use natural peanut butter, unsalted peanut butter, or crunchy peanut butter.
- Butterscotch Chips โ I typically use the Chipits butterscotch chips. There are lower sugar options like Lilys butterscotch candies, and Iโm sure you could also find vegan butterscotch chips as well! Some individuals who have tested out this recipe have also substituted some of the butterscotch chips for regular chocolate chips to cut down the sweetness.
- Butter โ regular unsalted butter. You could try this recipe using vegan butter as well if you like or if youโre sensitive to dairy.
- Rainbow Marshmallows โ can also use regular mini white marshmallows.
- Vanilla extract
- Optional – Rice Krispies for a crunch, brown sugar, dark chocolate chips, coconut, etc.
HOW TO MAKE PEANUT BUTTER CONFETTI SQUARES
In a large pot over medium-low heat, combine the butterscotch chips, peanut butter and butter. Stir frequently until the mixture is completely melted.
Let cool, and fold in marshmallows and vanilla extract quickly. I like to throw my marshmallows in the freezer for 10 minutes before this step to prevent them from melting all together.
Pour the mixture into a lined 8×8 or 9ร9 inch square pan and spread evenly. Refrigerate for 1 hour minimum to set, then cut into bars. Store in refrigerator or freezer in an airtight container (I actually prefer my confetti bars straight from the freezer).
Pro Tip: Freeze your marshmallows first. This keeps them from melting when mixed with the warm peanut butter mixture.
Serve them cold or frozen โ the peanut butter + chilled marshmallow combo is unreal. Trust me, theyโre even better straight from the freezer instead of room temperature.
CAN I USE CRUNCHY PEANUT BUTTER INSTEAD OF SMOOTH IN THESE NO BAKE PEANUT BUTTER MARSHMALLOW SQUARES?
Yes! Crunchy peanut butter will give the squares a little extra texture and nutty bite. Smooth peanut butter makes them creamier, so it really comes down to preference.
CAN I FREEZE THESE PEANUT BUTTER MARSHMALLOW BARS?
Absolutely. Cut them into squares, place them in a single layer on a baking sheet to freeze, then transfer to a freezer bag or container. Theyโll last up to 2โ3 months. Just thaw at room temp before eating.
WHY ARE MY MINI MARSHMALLOWS MELTING?
If the peanut butter mixture is too hot when you add the marshmallows, theyโll melt into the squares. To avoid this, let the mixture cool slightly before folding in the marshmallows.

Other Easy Recipes To Curb A Sweet Tooth!
- 3 Ingredient Funfetti Cake Pops
- Chocolate Peanut Butter Crunch Bites
- 5 Ingredient Easy Biscoff Cheesecake
- Chocolate Caramel Shortbread Millionaire Bars
- Christmas Cookie Fudge Recipe
- Easy Chocolate Peppermint Truffles
- Gluten Free Chocolate Fudge Crinkle Cookies
- The Best Brown Butter Rice Krispie Treat
- Chocolate Peanut Butter Pie
- 3-Ingredient Chocolate Peanut Butter Fudge
Peanut Butter Marshmallow Squares Recipe
Ingredients
- 1 package butterscotch chips 300g package (I used Chipits)
- 1 cup crunchy or creamy peanut butter
- ยฝ cup butter
- 1 package rainbow miniature marshmallows 250g package
- 1 tsp vanilla extract
Instructions
- Put bag of marshmallows in the freezer and line an 8ร8 pan with parchment paper.
- Melt butterscotch chips, peanut butter, and butter in a medium saucepan over low heat, stirring until smooth. Remove from heat, and let cool to ensure the marshmallows don't melt in next step.
- Quickly fold in vanilla and marshmallows.
- Spread mixture into 8ร8 or 9x9 inch pan and gently spread with a spatula or spoon.
- Refrigerate until firm. Approximately 1 hour.
- Remove from pan and slice into squares. Store squares in refrigerator or freezer.
Notes
Nutrition
The nutrition information provided is calculated based on industry-standard software and should be used as a general guide only. The information may vary depending on ingredient substitutions, cooking techniques, and individual serving sizes. It is the responsibility of the reader to ensure the accuracy and appropriateness of the nutritional information provided. Always consult a qualified healthcare provider for personalized medical or nutritional advice.












My grandmother used to make these every Christmas as well! I never ended up getting the recipe. Just made these are they taste JUST like them. Thank you so much for this recipe itโs amazing and makes me so happy!!!
My grandmother used to make these every Christmas as well! I never ended up getting the recipe. Just made these are they taste JUST like them. Thank you so much for this recipe itโs amazing and makes me so happy!!!
Love this recipe so easy and super yummy
Hi Tehwauna,
Thank you so much for the 5 star review! So glad you love them!! ๐
Love this recipe so easy and super yummy
Love this. I added a few handfuls of corn flakes to mop up the extra sauce and cut the sweetness a bit. Nice crunch.
I love this substitution! My grandmother actually used to do that with these occasionally too! Great minds think alike ๐
Great recipe; my Gramma also added 1 cup coconut which was very nice. The vanilla is great too Meet Christmas everyone!
Hi Karen,
That sounds delicious! Thank you for the review! ๐
My Grandmother also always made these for Christmas with the cocoanut. Now I make them at Christmas time, my Granddaughter loves these, the only treat will eat.
Making for my daughter, she loves them. My mom used to make them but put coconut and walnuts in them but my daughter doesn’t want walnuts. Thanks for the recipe
Hi Kathy!
Thank you so much for the 5 star review! I’m so glad your daughter enjoyed the recipe! Happy Holidays and Happy New Year! ๐
I have been using your great recipe for a while now and love them!
What do you think of a chocolate chip butterscotch chip combo? Would it work or do they have too much of a contrast taste.
Thank you
Tony
Hi Tony!
My grandmother used to make some with solely semi sweet chocolate chips instead of the butterscotch chips. We all agreed as a family that the butterscotch ones are better, but chocolate ones are still good! A combo might be really tasty! Let me know if you try it and your thoughts! ๐
Thanks for the idea Karen.. I’ve made it a few times and it always turned out great!!.. then I seen that you added corn flakes, and thought that would add a little crunch.. I didn’t have corn flakes, but I had rice crispies… good idea!!!
Hi Darwin,
Thank you so much for the 5 star review! Love that addition you made! ๐
Love this. I added a few handfuls of corn flakes to mop up the extra sauce and cut the sweetness a bit. Nice crunch.
Loved how these turned out. I added Rice Krispies.
So glad you loved them Christine! Thank you so much for taking the time to leave me a 5 star review it is SO appreciated! ๐
Loved how these turned out. I added Rice Krispies.
Terrific recipe! Loved the hint about putting the colored marshmallows into the freezer for 1/2 hour or so before so they don’t melt in the peanut butter mixture. I put my hot pan into a sink of very cold water, just a few inches, and then kept stirring, added the vanilla and the marshmallows when the mixture got a bit cooler, and put into the 9 x 9 ” pan lined with parchment paper. Then into the fridge for an hour – and they are absolutely delicious! I cut into 25 squares, and even at that size, they could be smaller. Extremely sweet !
I appreciate the 5 star review and your comment so so much! Thank you!! ๐
I find them sweet as well, I use mini muffin pans with liners, I get more portions and they are the perfect bite sized treat
Hi Mia,
This is a great idea! Thank you for the 5 star review!!
I absolutely love these, I like to use real butter and kraft smooth peanut butter, and the butterscotch chips with coloured marshmallows.
I have tried using chocolate chips and I didn’t like it as much, also I have used margarine and no name peanut butter, but not to my liking.
I all for the melt in your mouth, sweetness.
Thank you for sharing your recipe
Hi Donna,
Thanks so much for sharing and for the 5 star review! I agree, I don’t like them as much with chocolate chips either. So glad you enjoy them!!
Terrific recipe! Loved the hint about putting the colored marshmallows into the freezer for 1/2 hour or so before so they don’t melt in the peanut butter mixture. I put my hot pan into a sink of very cold water, just a few inches, and then kept stirring, added the vanilla and the marshmallows when the mixture got a bit cooler, and put into the 9 x 9 ” pan lined with parchment paper. Then into the fridge for an hour – and they are absolutely delicious! I cut into 25 squares, and even at that size, they could be smaller. Extremely sweet !
Omg!! My momma makes these and this recipe is a copycat ! 5 stars!!
Thank you so so much Kayleen! I used to make this recipe with my grandmother all the time so it’s also very nostalgic for me! ๐
I totally forgot the vanilla ๐ข in fridge rite now hopefully Thier still yummy! Was so excited to find this recipe reminds me of Christmas years ago with my gramma!
Hi Lisa,
So funny, that’s exactly what this recipe reminds me of too! So glad you enjoyed it and thank you for the 5 star review!! ๐
I’ve been looking for this recipe ever since I tasted them about 2 weeks ago. They are delicious. I can now make them for my tray of goodies an after dinner treat. My family never seems to want dessert after Christmas dinner, so I thought a tray of smaller treats would hit the spot! Thank you for the freezer tips of the marshmallows, before and after the bars are made.
Hi Linda,
Thank you so much for the 5 star review! They are always so popular on dessert trays!! So glad the freezer tip helped you, Happy Holidays!! ๐
Omg!! My momma makes these and this recipe is a copycat ! 5 stars!!
Awesome!!!
Thajk you f9r the tip about freezing the marshmallows
No problem at all! Thank YOU so much for the 5 star review!
Awesome!!!
Thajk you f9r the tip about freezing the marshmallows
These are just like my Baba’s…only I’ve had to use white marshmallows instead of the yummy coloured ones! โคโคStill delicious tho’ !!!
Hi Velda!
Thank you so so much for your 5 star review and I’m so glad to hear that you liked them!! ๐
These are just like my Baba’s…only I’ve had to use white marshmallows instead of the yummy coloured ones! โคโคStill delicious tho’ !!!
Awesome! I loved them! So easy to make and they taste just like my grandma used to make them! They bring back so many good memories!โค๏ธ
Awesome! I loved them! So easy to make and they taste just like my grandma used to make them! They bring back so many good memories!โค๏ธ
I use mini muffin tins lined with festive papers, they are perfect and bite sized. Traditional Christmas treats.
I use mini muffin tins lined with festive papers, they are perfect and bite sized. Traditional Christmas treats.