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Wash and soak the rice and lentils in the same bowl for at least 30 minutes. Drain before using.
Heat the ghee/butter in a pot and fry the onions, cinnamon, cumin seeds and bay leaf on medium heat and till the onions are soft and translucent. We don't want to brown them too much.
Once the onions are soft, add the drained rice, lentils, spices and 4 cups of water. Bring to a boil and then cook on high till most of the water dries up and the Khichdi is at a consistency you like. Stir often from the sides and bottom to ensure the Khichdi doesn't stick to the pan.
Once the Khichdi is at your desired consistency, turn the heat down to the lowest, cover and steam for 5-10 minutes.
Serve warm with a dollop of yogurt and a knob of butter.