Boil 1-1/4 cup sugar and ¾ cup water until light amber (see photos below) Be careful not to burn the sugar, and do not touch! When light amber, pour sugar mixture into the bottom of the custard cups and tilt so the sugar mixture goes up the custard cup walls slightly
Meanwhile, bring milk to a boil. Beat eggs, 2 cups sugar, vanilla extract, and salt. Gradually add boiling milk and beat again.
Strain the egg/milk mixture into the custard cups (you want to make sure you're not pouring any cooked egg into the cups)
Place cups in a pan filled with water and bake 30-45 minutes. Be careful to not let the water boil. You'll know the custard is done because when you wiggle the tray, the custard won't jiggle.
Cool in refrigerator.
To serve, gently loosen flan from side of the custard cup. Turn upside down on a serving plate. To get the remaining sugar out of the cup, microwave for just a few seconds. Drizzle and serve!
Recipe by Modern Martha at http://modernmartha.com/2012/03/homemade-flan-de-leche-photo-tutorial/