Preheat oven to 375 degrees, grease a 8 x 8 pan.

1/4 c. soft butter
1/2 c. sugar
1 c. flour
2 tsp. baking powder
1/4 tsp. salt
1/2 c. milk
1 can sliced peaches, drained (reserve 1 cup of juice)
1/2 c. sugar

Cream butter until light and fluffy. Sift dry ingredients together. Alternate dry ingredients, creamed ingredients with 1/2 cup milk. Beat until smooth. Pour into 8 x 8 greased pan. Spoon over batter drained sliced peaches. Sprinkle 1/2 cup sugar over fruit. Pour one cup of peach juice, over fruit. Bake 45 to 50 minutes. Serve with whipped cream or Cool Whip.