Preheat oven to 350.

Line an 8x8" dish with aluminum foil.

Cream the butter and 1/4 cup sugar until creamy.

Beat in the flour until well blended.

Press into bottom of prepared pan and bake 25 minutes or until lightly brown on edges.

Allow to cool.

Beat together cream cheese and 1/2 cup sugar until well blended.

Spread over cooled crust.

In another bowl combine pudding mix and milk and beat for 3 minutes until barely thickened.

Spread over the cream cheese.

Refrigerate until pudding is set.

Remove from pan by lifting foil.

Cut into bars.

Spread whipped topping over bars.