Mom and Dad's Gourmet Mac and Cheese

Adapted from the old Betty Crocker recipe - dad says it's the best ever!

8 oz macaroni, cooked
2 tbsp butter, cut into cubes
1 1/4 cups gouda, cut into 1/2 inch cubes
3/4 tsp salt, divided
1/4 tsp pepper
2 cups milk
paprika for garnish

Preheat oven to 350. Butter a 12x8 baking dish. Place all ingredients except paprika in alternating layers in the dish. Sprinkle with paprika. Bake 40 minutes, or until golden brown on top.