Add the ⅓ cup of water and the sugar into a saucepan over low heat.
Stir the mixture gently with either a rubber spatula or a wooden spoon just until the sugar is dissoved.
Stop stirring and allow the sugar to simmer over medium-low heat until it turns a golden color.
Turn off the heat and carefully add the remaining water to the pot, stirring until the caramel is dissolved into the water yielding a syrup.
Sprinkle in the salt (if using) and then allow the mixture to cool.
Transfer it a container and store in the fridge for up to a month.
When you are ready to use just add a teaspoon or so to your drink for some easy caraeml flavor.
Be CAREFUL adding in the water, caramel can steam and splatter when it is warm.If your caramel hardens when you add the water, don't worry it just means the water was cold. Keep stirring it and it will dissolve.Store it in a sealed container in the fridge until you are ready to use it.