Melt butter. Add diced onion and ham. Stir back and forth for two minutes. Do not burn. Add water and diced potatoes. Cover and cook until potatoes are tender. Blend in flour, salt, and pepper. Add milk and beans. Let simmer until slightly thickened. Add crackers and serve at once. Sprinkle each serving with a generous amount of paprika. Use a 2 qt. saucepan for the chowder and you will not have to use more than the one pan. Cut the potatoes quite small and they will cook quickly. Since potatoes vary in texture and the amount of starch, you may have to increase the amount of flour. This is very simple to do; stir some of the chowder into two tablespoons of flour, mix well until smooth. Stir this back into the chowder and cook chowder to desired thickness. Chowders should have the consistency of thick soup.