Cut the bagel in half. If the hole isn't very big—ie, you can't imagine a yolk fitting in it—tear out some of the bagel around it. You could also use a biscuit cutter or cup to cut out a perfectly round center.
In a skillet over medium heat, melt 1/2 tablespoon of butter. Place the bagel, inside down, on the skillet.
Crack one egg into a little bowl (or a container with a spout) and gently transfer the egg to the middle of the bagel. It might run out a bit; that's okay. Season the egg with salt and pepper.
Cover the skillet and let the toad cook for about 3 minutes, or until the egg is done to your liking. Using a spatula, transfer it to a plate and repeat with the other bagel half.