In a small pot, stir together sugar and cocoa powder. Add water and heat over medium heat, whisking constantly until well mixed. Add chocolate and stir until chocolate is completely melted.
Slowly whisk in milk and heat until steaming. Do not let mixture come to a simmer!
Remove from heat and stir in the Bailey’s. Pour into an 8-ounce mug, top with whipped cream and chocolate sauce if desired, and enjoy!
Notes
Approximate nutritional information is for hot chocolate only and does not include optional toppings.