Preheat your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans.
In a large mixing bowl, cream together the softened butter and granulated sugar until light and fluffy.
Add the eggs one at a time, mixing well after each addition. Stir in the vanilla extract.
In a separate bowl, whisk together the flour, baking powder, and salt. Gradually add this dry mixture to the wet ingredients, alternating with the milk. Mix until just combined.
Gently fold in the chopped pistachios and fresh raspberries.
Divide the batter evenly between the prepared cake pans.
Bake in the preheated oven for 25-30 minutes, or until a toothpick inserted into the center comes out clean.
Allow the cakes to cool in the pans for 10 minutes before transferring them to a wire rack to cool completely.
For the frosting, whisk together the powdered sugar, milk, and vanilla extract in a small bowl until smooth.
Once the cakes are completely cool, place one layer on a serving plate and spread a layer of frosting on top. Place the second layer on top and frost the top and sides of the cake.
Garnish with additional chopped pistachios and fresh raspberries if desired.