Gather all your ingredients before starting the recipe, including whole milk, white chocolate chips, sweetened condensed milk, vanilla extract, and a pinch of salt.

In a medium saucepan, warm the whole milk over medium-low heat, stirring occasionally until steaming, about 5 minutes.

Remove from heat and stir in the white chocolate chips and sweetened condensed milk until fully melted and smooth, about 1-2 minutes.

Incorporate the vanilla extract and salt into the hot chocolate, returning to low heat for 30 seconds if needed.

Pour the hot chocolate into mugs and top with whipped cream, white chocolate shavings, mini marshmallows, or crushed candy canes.