Prepare a baking sheet with parchment paper.

Wash and dry the apples thoroughly. Insert a stick into the stem end of each apple.

In a microwave-safe bowl, melt the caramel squares with water in 30-second intervals, stirring in between until smooth.

Dip each apple into the melted caramel, turning to coat evenly. Place on the parchment-lined sheet to set.

In another microwave-safe bowl, melt the chocolate chips in 30-second intervals, stirring until smooth.

Dip the caramel-coated apples into the melted chocolate, then set on the baking sheet.

Sprinkle chopped nuts or toppings onto the chocolate while still wet, if desired.

Refrigerate the apples for at least 15 minutes until the chocolate is firm.