Preheat oven to 350°F and grease and flour (2) 8" inch round pans. I use baking spray.
Heat 2 tablespoon of butter over low heat in a skillet until melted.
Add the chopped pecans to the skillet and lightly toast. Stir occasionally, about 3 minutes.
Remove from heat and allow to cool.
In a large bowl, cream the softened butter and the sugars together.
Add the eggs, one at a time.
Stir in the vanilla.
In a separate bowl, sift together the flour, baking powder, and salt.
Mix in half of the flour, then half of the milk.
Repeat with the rest of the flour and milk.
Stir in 2 cups of the toasted pecans.
Pour half of the batter into one of the 8-inch rounds and repeat with the other 8-inch round pan.
Bake in the preheated oven for 25-30 minutes. Check the center of the cakes with a toothpick to make sure it comes out clean.
Remove from the oven and allow the cake to cool for 10 minutes before removing from the pan.
Allow the cakes to cool completely before frosting to prevent the icing from sliding and melting.
Cream Cheese Frosting
In a large bowl, beat together the softened cream cheese and butter.
Add in the vanilla extract and beat until smooth.
Slowly beat in the confectioner's sugar.
Add the milk 1 tablespoon at a time until the frosting is smooth and the right consistency to frost the cake.
Notes
When frosting the cake, make sure both of the cakes are completely cool. Start by frosting the top of one of the 8 inch cakes and then lay the unfrosted layer on top. Frost the top and sides. Garnish with toasted pecans.