Grandma's Old Fashioned Bread Pudding with Vanilla Sauce

Pudding:
4 c (8 slices) cubed white bread
1/2 c raisins
2 c milk
1/4 c butter
1/2 c sugar
2 eggs, slightly beaten
1 TBS vanilla
1/2 tsp nutmeg

Sauce:
1/2 c butter
1/2 c sugar
1/2 c firmly packed brown sugar
1/2 c heavy whipping cream
1 TBS vanilla

Pudding:
Heat oven to 350 degrees.
Combine bread and raisins in large bowl.
Combine milk and 1/4 c butter in saucepan.
Cook over medium heat until butter is melted (4 to 7 minutes).
Pour milk mixture over bread. Let stand 10 minutes.
Stir in remaining pudding ingredients.
Pour into greased 1/2 quart casserole.
Bake 40 to 50 minutes until set in center.

Sauce:
Combine all ingredients except vanilla in saucepan.
Cook over medium heat, stirring occasionally, until mixture thickens and comes to full boil (5 to 8 minutes).
Stir in vanilla.
Spoon warm pudding into individual dessert dishes. Serve with sauce.

Refrigerate leftovers.