Learn how to make creamy, indulgent Cheesy Scalloped Potatoes with caramelized onions, cheddar cheese, and Yukon Gold potatoes. Perfect for any occasion!
If there’s one dish that screams comfort food, it’s Cheesy Scalloped Potatoes. This classic side dish is a crowd-pleaser, loved for its creamy, cheesy layers and tender potato slices. Whether you’re serving it at a holiday feast, a family dinner, or just craving something cozy, this recipe is a winner. What sets it apart? The addition of caramelized onions that add a sweet, savory depth to the dish, and a rich cheddar cheese sauce that’s downright irresistible. But don’t let the decadence fool you—this recipe is surprisingly easy to make from scratch. So, grab your apron and let’s dive into what makes this dish so special!
What Makes These Cheesy Scalloped Potatoes Special?
Let’s be real—scalloped potatoes are already a beloved dish, but this recipe takes things to a whole new level. It’s not just about the cheese (though, let’s be honest, the cheese is a huge deal). It’s the little details that make this version stand out. Here’s why you’ll want to make this recipe your go-to:
- Caramelized Onions: These aren’t your average scalloped potatoes. The addition of caramelized onions adds a sweet, umami-rich flavor that elevates the dish from good to unforgettable.
- Creamy Cheese Sauce: A blend of sharp cheddar and cream cheese creates a velvety, luxurious sauce that clings to every slice of potato.
- Perfectly Balanced Seasonings: A hint of mustard powder and a pinch of cayenne pepper add a subtle kick without overpowering the dish.
- Yukon Gold Potatoes: These potatoes are the MVP—they hold their shape while becoming tender and buttery in the oven.
- Make-Ahead Friendly: You can prep this dish ahead of time, making it a lifesaver for busy hosts.
Ingredient Notes
Great dishes start with great ingredients, and this recipe is no exception. Here’s a breakdown of the key players and why they matter:
- Butter & Olive Oil: The combo of butter and olive oil ensures the onions caramelize beautifully without burning.
- Yellow Onion: Sweet and mellow when caramelized, it adds a depth of flavor that’s hard to beat.
- Garlic: Because everything’s better with garlic. It’s sautéed briefly to infuse the sauce with its aromatic goodness.
- Flour: This is the backbone of your cheese sauce, helping to thicken it into a luscious, creamy consistency.
- Milk: Whole milk works best for a rich, creamy sauce.
- Cheddar Cheese: Sharp cheddar brings a bold, tangy flavor, while the cream cheese adds a silky smoothness.
- Mustard Powder & Cayenne: These spices add a subtle complexity without overwhelming the dish.
- Yukon Gold Potatoes: Their thin skins and buttery texture make them ideal for scalloped potatoes.
How To Make Cheesy Scalloped Potatoes
Don’t let the layers of creamy, cheesy goodness intimidate you—this recipe is surprisingly straightforward. Follow these steps, and you’ll have a dish that’s as impressive as it is delicious.
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- Preheat the Oven: Start by heating your oven to 350°F. This ensures it’s ready to go once your casserole is assembled.
- Caramelize the Onions: Thinly slice the onions and cook them low and slow in butter and olive oil with a sprinkle of thyme. This step takes about 30 minutes, but the sweet, golden result is worth every second.
- Make the Roux: Melt butter in the same skillet, add garlic, and whisk in flour to create a roux. This is the base of your cheese sauce, so take your time to cook out the raw flour taste.
- Add the Milk: Gradually whisk in the milk to create a smooth, creamy base. Bring it to a gentle boil, then remove it from the heat.
- Season and Add Cheese: Stir in the mustard powder, salt, pepper, and cayenne. Let the sauce cool slightly before adding the shredded cheddar and cream cheese. This prevents the sauce from becoming grainy.
- Slice the Potatoes: Peel and thinly slice the Yukon Gold potatoes (about ⅛ inch thick). Even slices ensure even cooking.
- Layer the Casserole: Arrange half the potatoes in a greased baking dish, top with half the cheese sauce, and repeat. Finish with a generous sprinkle of reserved cheddar.
- Bake to Perfection: Cover and bake for 45 minutes, then uncover and bake for another 40 minutes until the potatoes are tender and the top is golden.
- Broil (Optional): For an extra crispy top, broil for a few minutes—but keep an eye on it!
- Rest and Serve: Let the dish sit for 5-10 minutes before serving. This allows the sauce to set slightly, making it easier to slice.
Keeping It Fresh: Storage and Reheating Tips
Got leftovers? Lucky you! Here’s how to store and reheat your Cheesy Scalloped Potatoes to keep them tasting as good as new.
Storage Tips:
- Refrigerator: Store leftovers in an airtight container for up to 4 days.
- Freezer: While you can freeze this dish, the texture of the potatoes may change slightly. If you do freeze it, thaw overnight in the fridge before reheating.
Reheating Tips:
- Oven: Reheat in a 350°F oven, covered with foil, for about 20-30 minutes. Add a splash of milk if the sauce seems dry.
- Microwave: For a quick fix, microwave individual portions in 30-second intervals, stirring in between, until heated through.
Variations and Substitutions
This recipe is delicious as-is, but it’s also incredibly versatile. Here are some ways to make it your own:
- Cheese Swap: Try using Gruyère, Gouda, or a mix of cheeses for a different flavor profile.
- Add Protein: Layer in cooked bacon, ham, or shredded chicken for a heartier dish.
- Vegetable Add-Ins: Mix in spinach, mushrooms, or roasted red peppers for extra veggies.
- Gluten-Free: Use a gluten-free flour blend for the roux.
- Dairy-Free: Substitute plant-based butter, milk, and cheese for a vegan version.
If you’re looking for a dish that’s equal parts comforting and impressive, these Cheesy Scalloped Potatoes are it. The creamy cheese sauce, tender potatoes, and sweet caramelized onions come together in a way that feels like a warm hug on a plate. Whether you’re serving it at a holiday gathering or just treating yourself to a cozy night in, this recipe is guaranteed to be a hit. So, what are you waiting for? Grab those potatoes and get cooking—your taste buds will thank you!
Cheesy Scalloped Potatoes
Ingredients
- 6 tablespoons unsalted butter divided
- 1 tablespoon olive oil
- 1 large yellow onion thinly sliced into ¼-inch strips
- ½ teaspoon dried thyme
- 2 cloves garlic minced
- 4 tablespoons all-purpose flour
- 3 cups whole milk
- 3 ½ cups shredded sharp orange cheddar cheese divided
- 2 tablespoons cream cheese softened
- ½ teaspoon mustard powder
- ½ teaspoon salt
- ¼ teaspoon freshly ground black pepper
- 1 pinch cayenne pepper
- 2.5 pounds Yukon Gold potatoes approximately 6 medium potatoes, peeled and thinly sliced to ⅛-inch thickness
Instructions
- Preheat the Oven: Begin by preheating your oven to 350°F (175°C). This ensures the oven reaches the proper temperature by the time the casserole is assembled and ready to bake.
- Caramelize the Onions: In a large skillet over medium-low heat, melt 2 tablespoons of butter along with the olive oil. Add the thinly sliced onions and dried thyme. Cook the onions slowly, stirring occasionally, for approximately 30 minutes, or until they are deeply golden brown and caramelized. Once done, remove the onions from the skillet and set them aside.
- Prepare the Roux: Increase the heat to medium and add the remaining 4 tablespoons of butter to the skillet. Once melted, add the minced garlic and cook for 1 minute, stirring frequently. Use a silicone spatula to scrape the bottom and sides of the skillet to incorporate any flavorful bits. Add the flour and whisk continuously for about 1 minute, or until the raw flour aroma dissipates.
- Create the Cheese Sauce Base: Gradually add the milk to the skillet, pouring it in small splashes while whisking constantly to ensure a smooth mixture. Adding the milk too quickly may cause the roux to thin out unevenly. Once all the milk is incorporated, bring the mixture to a gentle boil, then remove it from the heat.
- Season the Sauce: Stir in the mustard powder, salt, black pepper, and cayenne pepper until fully combined. Allow the sauce to cool slightly before proceeding to the next step.
- Incorporate the Cheese: Reserve 1 heaping cup of shredded cheddar cheese for topping the casserole later. Gradually sprinkle the remaining shredded cheddar into the sauce, stirring until melted and smooth. Avoid adding the cheese to an overly hot base, as this may cause the dairy to separate and result in a grainy texture. Once the cheddar is fully incorporated, stir in the softened cream cheese until the sauce is velvety and uniform. Finally, fold in the caramelized onions.
- Prepare the Potatoes: Peel the Yukon Gold potatoes and rinse them thoroughly. Pat them dry with a clean kitchen towel. Using a sharp knife or mandoline slicer, cut the potatoes into thin, even slices approximately ⅛-inch thick.
- Assemble the Casserole: Lightly grease a 9 x 13-inch baking dish. Arrange half of the potato slices in an even layer on the bottom of the dish. Pour half of the cheese sauce over the potatoes, spreading it evenly. Repeat with the remaining potatoes and cheese sauce. Finally, sprinkle the reserved 1 cup of shredded cheddar cheese over the top.
- Bake the Casserole: Cover the baking dish with aluminum foil and bake in the preheated oven for 45 minutes. After 45 minutes, remove the foil and continue baking for an additional 40 minutes, or until the potatoes are tender and the top is golden brown.
- Optional Broiling Step: For a more deeply browned and crispy top, switch the oven to broil at 400°F (200°C) and broil the casserole for 2-3 minutes. Monitor closely to prevent burning.
- Rest and Serve: Remove the casserole from the oven and allow it to rest for 5-10 minutes before serving. This resting period helps the sauce set slightly, making it easier to slice and serve. Garnish with fresh parsley, if desired, and enjoy.
