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Cheesy Scalloped Potatoes with Caramelized Onions Recipe

5 Stars 4 Stars 3 Stars 2 Stars 1 Star 4.4 from 20 reviews
  • Author: Kimberly
  • Prep Time: 25 minutes
  • Cook Time: 1 hour 25 minutes
  • Total Time: 1 hour 50 minutes
  • Yield: 8 servings
  • Category: Side Dish
  • Method: Baking
  • Cuisine: American
  • Diet: Vegetarian

Description

This Cheesy Scalloped Potatoes recipe features thinly sliced Yukon Gold or Russet potatoes layered with a creamy, cheesy sauce enriched with caramelized onions, garlic, and a hint of spice. Baked to golden bubbly perfection, this comforting dish makes a perfect side or hearty centerpiece for any meal.


Ingredients

Potatoes

  • 2.5 lbs. Yukon Gold or Russet Potatoes (about 6 medium), peeled and sliced into 1/8-inch thick rounds

Sauce & Seasonings

  • 6 tablespoons butter, separated
  • 1 tablespoon olive oil
  • 1 large yellow onion, cut into 1/4-inch strings
  • 1/2 teaspoon dried thyme
  • 2 cloves garlic, minced
  • 4 tablespoons flour
  • 3 cups milk
  • 3 1/2 cups shredded orange cheddar cheese, divided
  • 2 tablespoons cream cheese, softened
  • 1/2 teaspoon mustard powder
  • 1/2 teaspoon salt
  • 1/4 teaspoon pepper
  • 1 pinch cayenne pepper


Instructions

  1. Prepare Ingredients: Preheat your oven to 350°F (175°C). While you start caramelizing the onions, measure out and prepare all remaining ingredients for a smooth cooking process.
  2. Caramelize Onions: Heat 2 tablespoons butter and the olive oil in a large skillet over medium-low heat. Add the sliced onions and dried thyme, cooking for about 30 minutes while stirring often until the onions become golden brown and caramelized. Remove from heat and set aside.
  3. Make Roux: Increase the skillet heat to medium and melt the remaining 4 tablespoons of butter. Add the minced garlic and cook for about 1 minute, scraping up any browned bits from the skillet. Add the flour next, whisking continuously for about another minute until the raw flour smell disappears.
  4. Add Milk: Slowly pour in the milk while whisking constantly to create a smooth and thick sauce. Bring it to a gentle boil, then remove from heat.
  5. Season Sauce: Stir in the mustard powder, salt, pepper, and a pinch of cayenne pepper to boost the flavor of the sauce.
  6. Add Cheese & Cream Cheese: Let the sauce cool slightly. Reserve 1 heaping cup of shredded cheddar for the topping and gradually whisk the remaining cheese into the sauce until melted. Mix in the softened cream cheese and stir until well combined. Then fold in the caramelized onions.
  7. Slice Potatoes: While the sauce cools, peel, rinse, and pat dry the potatoes. Slice them thinly to about 1/8-inch thickness for even cooking and layering.
  8. Layer Potatoes and Sauce: Lightly grease a 9×13-inch baking dish. Arrange half of the potato slices in an even layer at the bottom, then cover with half the cheese sauce. Repeat the layers with the remaining potato slices and cheese sauce. Sprinkle the reserved cheddar cheese evenly over the top.
  9. Bake: Cover the dish tightly with foil and bake in the preheated oven for 45 minutes. Remove the foil and continue baking uncovered for another 40 minutes, or until the potatoes are tender when pierced with a fork and the top is golden and bubbly.
  10. Broil and Rest: (Optional) For an extra browned top, broil the scalloped potatoes at 400°F for a few minutes, watching carefully to avoid burning. Let the dish rest for 5 to 10 minutes before garnishing with fresh parsley and serving.

Notes

  • Use Yukon Gold potatoes for a creamier texture or Russet for a sturdier dish.
  • Thinly slicing potatoes ensures even cooking and better layering.
  • Caramelizing onions slowly enhances the depth of flavor in the sauce.
  • Broiling at the end is optional but adds a beautiful golden crust.
  • Letting the dish rest before serving helps the sauce thicken for cleaner slices.
  • Use full-fat milk for a richer sauce, but you can substitute 2% milk if needed.