In a medium saucepan, melt the butter over medium heat.
Add the flour and whisk continuously for 1-2 minutes until it forms a smooth paste (roux). Avoid browning.
Slowly pour in the milk while whisking constantly to prevent lumps.
Cook for 5-7 minutes, stirring frequently, until the sauce thickens to a creamy consistency.
Add salt, pepper, and nutmeg (if using). Adjust seasoning to taste.
Use immediately in recipes or cover with plastic wrap (touching the surface to prevent a skin from forming) and refrigerate for up to 3 days.