Preheat Oven: Preheat your oven to 350°F (175°C). Grease and flour a 9-inch round cake pan.
Prepare Dry Ingredients: In a bowl, whisk together flour, baking powder, and salt. Set aside.
Cream Butter and Sugar: In a large mixing bowl, beat the softened butter and sugar until light and fluffy.
Add Eggs and Vanilla: Beat in the eggs, one at a time, then stir in vanilla extract.
Combine with Dry Ingredients: Alternately mix in the dry ingredients and sour cream until just combined.
Fold in Chopped Peaches: Gently fold the chopped peaches into the batter.
Bake: Pour the batter into the prepared cake pan and smooth the top. Bake for 35–40 minutes or until a toothpick inserted comes out clean.
Cool and Top: Let the cake cool in the pan for 10 minutes, then transfer to a wire rack. Arrange the thin peach slices on top and drizzle with caramel sauce before serving.
Serving and Storage Tips
