Preheat the oven to 325 degrees F.
Melt 2 cups sugar in saucepan over low heat and cook until golden brown, about 5 to 8 minutes. Watch the sugar carefully as it can burn quickly. Put the caramel into custard cups to cover the bottom.
In mixing bowl add remaining sugar, eggs, and vanilla. Boil the milk, then slowly add to sugar egg mix whisking well. Strain through a fine strainer. Ladle the mixture into the caramel coated custard cups, filling 3/4 full. Put the filled cups into a water bath and cover. Cook for about 35 to 40 minutes. Check after 30 minutes. Cool to room temperature.
To serve, run a knife around the edges to loosen and invert onto plates.
