Add peaches and 3/4 cup sugar to a large saucepan and bring to a boil over medium heat. Reduce heat and let simmer 5 minutes. Remove from heat and stir in lemon juice.
In a medium bowl, mix together flour, remaining sugar, baking powder, and salt. Stir in milk.
Pour batter into prepared baking dish.
Using a small measuring cup (1/4 cup works well), drop peaches evenly over the batter.
Bake until golden brown and set, 40-50 minutes. Serve with whipped cream or ice cream. Enjoy!