Prepare the Apples: Peel, core, and finely chop the apples. You want them in small pieces so that they cook down easily.

Combine Ingredients: In a large, heavy-bottomed saucepan, add the chopped apples, granulated sugar, brown sugar, lemon juice, cinnamon, nutmeg, and salt. Stir everything together until well combined.

Cook the Mixture: Set the saucepan over medium-high heat and bring the mixture to a boil, stirring frequently to prevent the sugars from burning.

Simmer to Thicken: Reduce the heat to medium-low and let the mixture simmer for about 25 minutes, or until the apples are soft and the jam has thickened. Continue to stir occasionally to prevent sticking.

Add Vanilla and Caramel: Once the mixture has thickened, remove the pan from the heat. Stir in the vanilla extract and caramel sauce, mixing well to incorporate the caramel’s rich flavor throughout the jam.

Check Consistency: If you prefer a smoother texture, use a potato masher or immersion blender to slightly break down the apple chunks. For a chunky jam, leave it as is.

Jar the Jam: Carefully ladle the hot jam into sterilized jars, leaving about ¼ inch of headspace at the top. Wipe the rims, seal tightly, and allow the jars to cool to room temperature.

Store: Store the jam in the refrigerator for up to 3 weeks or process in a water bath for 10 minutes to make it shelf-stable.