Add water to a medium saucepan. Sprinkle gelatin on top of the water and allow it to sit for 5 minutes to allow the gelatin to "bloom".
Heat over medium heat, whisking until the gelatin powder is dissolved, about 2 minutes. Do not let the water come to a boil!
Remove the pot from the heat and stir in the Baileys, butterscotch schnapps, and Kahlua. Pour evenly into shot cups and refrigerate until set, about 2-3 hours (or overnight).
Before serving, top each shot with whipped cream and sprinkles.
Notes
I recommend making your jello shots the day before your party to give/celebration to give them plenty of time to set.Place your jello shot cups in a baking pan to make them easy to carry to and from the fridge.Refrigerate jello shots until serving.This recipe yields enough for about 22 (2-ounce) plastic jello shot cups. If you are using large cups or glass shooters the recipe will yield less.You can halve the recipe for a smaller batch by using 1 cup of water, 2 packets of gelatin, 1/2 cup Baileys, and 1/4 cup each of Kahula and the schnapps.The recipe was revised on 12/16/22 after further testing to improve the texture and taste of the jello shots.