Preheat oven to 350 degrees F.

Grease and flour a 9x9 inch pan or line a muffin pan with paper liners.

In a medium bowl, cream together the sugar and butter.

Beat in the eggs, one at a time, then stir in the vanilla.

Combine flour and baking powder, add to the creamed mixture and mix well.

Stir in the milk until batter is smooth.

Bake for 30 to 40 minutes, or until golden brown and toothpick comes out clean.