1 box white cake mix
1 1/4 c. water
1/3 c. oil
1 box 4 serving size peach flavored gelatin (1/3 c)
1 c. finely chopped peaches
1 c. peaches
1 (8-oz.) package cream cheese, softened
1/2 c. butter, softened
4 c. confectioners' sugar
1 tsp. vanilla extract
1 T. milk
1 box (4-serving size) peach flavored gelatin
Heat oven to 350ºF. Grease bottoms and sides of two 8 or 9 inch round cake pans with shortening (do not use cooking spray); lightly flour. In large bowl, beat cake mix, water, oil, eggs, 1 box gelatin and 1 c. peaches with electric mixer on low speed 30 seconds. Beat on medium speed 2 minutes. Divide batter between pans. Bake 8 inch rounds 29 - 34 minutes, 9 inch rounds 25 - 30 minutes, or until toothpick inserted in center comes out clean.
For filling place peaches in blender, then heat in pan with sugar and cornstarch, until thick. Cool.
Cool cake 10 minutes. Run knife around sides of pans to loosen cakes; remove from pans to cooling racks. Cool completely, about 1 hour.
For frosting; place cream cheese and butter in large mixing bowl, beat with electric mixer on medium-high speed until creamy. Gradually beat in confectioners' sugar and 1 box peach gelatin, until smooth. Beat in vanilla. Add milk, if a thinner consistency is desired.