Gather all ingredients. Preheat the oven to 350 degrees F (175 degrees C). Butter the bottoms and sides of a 9x13-inch pan.

Chop nuts and toss with cinnamon. Set aside.

Unroll phyllo dough. Cut whole stack in half to fit the pan. Cover phyllo with a dampened cloth to keep from drying out as you work.

Place two sheets of dough in the pan, butter thoroughly with a pastry brush. Repeat until you have 8 sheets layered.

Sprinkle 2 to 3 tablespoons of nut mixture on top. Top with two sheets of dough, melted butter, nuts, layering as you go. The top layer should be about 6 to 8 sheets deep.

Using a sharp knife, cut into diamond or square shapes all the way to the bottom of the pan. You may cut into 4 long rows then make diagonal cuts.

Bake for about 50 minutes until baklava is golden and crisp.

While baklava is baking, make the sauce. Boil sugar and water until sugar is melted. Add vanilla and honey. Simmer for about 20 minutes.

Remove baklava from the oven and immediately spoon sauce over it. Let cool.

Serve in cupcake papers. This freezes well. Leave it uncovered as it gets soggy if it is wrapped up.