There is no "proper way". The way you define your variables depends on a few factors - the main being javadoc. In your first example, you can give each variable its own javadoc, while in the second, all the buttons would share a javadoc comment. For example:
/**
* I am button a.
*/
Button a;
/**
* I am button b.
*/
Button b;
/**
* I am button c.
*/
Button c;
Each button above has its own javadoc comment.
/**
* These are some buttons.
*/
Button a, b, c;
While in this example all of the variables above share a javadoc comment, so which method you use depends on what you want to do.
Although in the specific example you gave, @DontKnowMuchButGettingBetter is correct, an array would work best for storing your buttons.
For an unknown amount of buttons:
List<Button> buttons = new ArrayList<>();
For a known amount of buttons:
Button[] buttons = new Button[]{new Button("A"), new Button("B")};
or
Button[] buttons = new Button[numberOfButtons];