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Line an 8x8 or 7x9½ baking dish with parchment paper. Set aside.
Melt butter in a large glass bowl in microwave.
Add all other ingredients and stir until combined.
Return to microwave for 6 minutes and 30 seconds.
Carefully remove bowl and drop a spoonful of the caramel into a glass of ice water to check the consistency.
If too soft, return to microwave for another 30-60 seconds.
Pour caramel into prepared baking dish.
Allow time to cool and set on the counter, or place the pan in the refrigerator to cool.
Once fully cooled and set, remove parchment and slice or cut caramels into squares.
Melt Wilton Candy Melts and dip the caramels, then drop them on a parchment sheet.
Allow to set on a parchment sheet until dry.