Prepare the Dough: In a saucepan over medium heat, combine water, butter, salt, and sugar. Bring to a boil, then reduce heat and stir in the flour until the dough forms a smooth ball.
Incorporate the Egg: Let the dough cool slightly before mixing in vanilla essence and the egg until fully combined. The dough should be smooth and pipeable.
Pipe and Fry: Transfer the dough to a piping bag with a star tip. Heat oil in a pan to 375°F (190°C). Pipe strips of dough directly into the oil, cutting with scissors if needed.
Cook Until Golden: Fry churros for 2-3 minutes per side until they are crispy and golden brown. Remove and drain on paper towels.
Coat in Cinnamon Sugar: While still warm, roll the churros in a mixture of sugar and cinnamon until fully coated.
Serve and Enjoy: Serve immediately with your favorite dipping sauce, such as chocolate or caramel.
