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Making a layered cake is easier than you'd expect. Give it a go. The taller the better.

Making a layered cake

Start by putting a large dollop of frosting in the middle of the cake. Use an offset spatula (IMPORTANT) to spread to the sides. Offsets are the best for frosting.

Start with a good standard cake recipe. Make it in round cake pans, and let cool on wire racks.
I'm sure you've seen Ace of Cakes. To get the cake flat or the shape you want - you have to carve it. Yes that is a ginsu knife. It is awesome for cake carving.
Now start stacking like there's no tomorrow. Frost, stack, frost stack.
Now you go around with a first layer of frosting. Think of this as a primer paint, like when you paint your house. It is just to fill the cracks and give you a base to work off of for the rest of the frosting.

Big Martha Stewart tip here: Put parchment or waxed paper around the edges of the cake. It will catch any frosting or sprinkles and when you pull it away - TOTALLY CLEAN. Awesomeness.

Finish it off with a final 'coat' of frosting. A good tip to cover your sides if they are uneven - is to add nuts or sprinkles around the sides of the cake. It also is pretty, especially when you leave a clean top, but the Kid wanted gumdrops, so there you go.