Learn to prepare butternut squash for cooking! It is a nutrient rich, low calorie food. When you buy your squash, make sure its free of blemishes and looks healthy. This is very important. At home, feel free to store it however you like, but it does fine in room temperature, non humid places. Lay it down on its side and slice off the ends, this will make it easier to. Peel! Peel using either a knife or a vegetable peeler, as this will give you a nice smooth surface. Slice the squash in half lengthwise. Chop to the size you need for whatever dish you are serving.