If you would like to make a traditional donut glaze you will need 6 tablespoons of unsalted butter, 2 cups of powdered sugar, 2 teaspoons of vanilla extract and 4 tablespoons of hot tap water. Melt the butter in a small saucepan. Mix in the powdered sugar and the vanilla. Remove the mixture from the heat and stir in the hot water (do this one tablespoon at a time until desired consistency. You want the glaze to be thin but not watery. To glaze donuts: Dip them in the glaze and flip them over (use a fork or tongs). Remove and let excess drip off on a wire rack.