An optical system and a method of manufacturing an optical system are provided. The optical system includes a carrier, a light emitter, a light receiver, a block structure and an encapsulant. The light emitter is disposed on the carrier. The light receiver is disposed on the carrier and physically spaced apart from the light emitter. The light receiver has a light detecting area. The block structure is disposed on the carrier. The encapsulant is disposed on the carrier and covers the light emitter, the light receiver and the block structure. The encapsulant has a recess over the block structure.