Place the chipped beef in a colander and pour boiling water over it. Pull beef apart with the fingers and let stand until ready to use.
Melt the butter and stir in the flour with a wire whisk. Add the milk, stirring rapidly with the whisk. When the mixture is thickened and smooth, cook, stirring, for three or four minutes. Add the cream and seasonings to taste. Add the chipped beef and stir just enough to mix the meat with the sauce. Heat thoroughly and serve on toast points.