Combine ½ cup sugar with the cinnamon in a shallow bowl. Set aside. Line a plate with paper towels.
In a medium saucepan, pour water and add sugar, butter and salt. Place saucepan over medium heat.
Bring the butter mixture to a boil, then quickly remove the saucepan from the heat. Whisk in the flour and continue mixing with a whisk or wood spoon until it forms a soft ball. Let it cool for 2-3 minutes. Transfer to a bowl, if the saucepan is not large enough.
Add eggs and vanilla to flour mixture. Use an electric mixer to blend together the ingredients. Don’t be alarmed if the mixture would start to break apart. Keep mixing until thoroughly mix and mixture is smooth.
Heat 3 to 4 inches of vegetable oil in a large, heavy-bottomed pot then set over medium-high heat until it reaches 375ºF.
Add the dough into a piping bag with a star tip. If a piping bag is not available, you can use a ziploc or sandwich bag that have a fold-over top. Place dough into bag and push it to one corner.
Holding the piping bag a few inches above the oil, carefully pipe churros into long ropes, about 4- 5 inches, directly into the oil. Use kitchen scissors with one hand or knife to cut off the dough. Be careful when piping the churros, you do not want it to splatter.
Add about 3-4 churros or more, depending on your fry pan and the oil. You do not want to overcrowd the pan, if you do, it will soak up oil resulting in soggy churros. Let the dough fry for about 2 minutes per side until golden brown and cooked through.
Remove the churros and place on paper towel-lined plate, to drain. Roll them in cinnamon-sugar mixture. Continue frying until all the dough has been used up.