How to scale background with text in Unity

In this post, I will show how to scale background according to some text.

To make the background scale with text, follow the below steps:

1. Make sure the Background and Text are in separate UI Objects.
2. Nest the Text object inside the Background
3. Add the following two components to the object with Background:
   

Now the image will scale with the content inside it. Adjust the padding as needed.

Please leave a comment if there are better ways of doing this. Thank you!