Best Ever Baked Doughnuts

1 cup butter or margarine softened( divided use)
1-1/2 cups sugar
2 eggs
3 cup flour
4-1/2 tsp baking powder
1/2 tsp salt
1/2 tsp nutmeg
1 cup milk
1/2 tsp cinnamon

Blend one stick (1/2 cup) plus 2 Tbl butter with 1 cup of the sugar. Add the eggs and mix well. Sift together flour, baking powder, salt and nutmeg. Add the eggs and mix well. Add to the butter and sugar mixture. Blend in the milk and mix together thoroughly. Fill greased muffin tins 2/3 full. Bake until doughnuts are golden brown about 15 to 20 minutes. (May use tiny muffins tins.) Combine remaining 1/2 cup of the sugar with the cinnamon. Melt remaining 6 tbl of the butter. While doughnuts are still warm roll them in melted butter then in cinnamon sugar or just dip the tops.