
Imagine turning basic potatoes into a cheesy, bacon-packed comfort dish everyone begs for at family get-togethers and holidays. Creamy sauce snuggles between stacks of tender slices while caramelized onions and gooey cheese sneak into every bite. I gotta warn you: make a big batch because it vanishes in minutes.
I came up with this after batch after batch of potato casseroles that just didn’t cut it. My family kindly powered through all the tests and, after endless tweaks, even started asking me to make “the good one” over and over. You know something’s right when everyone wants seconds.
Irresistible Ingredients
- 3 pounds potatoes, sliced thin: Yukon Golds are buttery and smooth, while russet potatoes give you lighter slices. Aim for whole, unblemished potatoes with no green patches.
- 2 medium onions, sliced thin: Sweet onions, like Vidalia, bring out a mild, sugary flavor as they brown up.
- 12 ounces bacon: Thick, chunky cuts make every forkful a treat. For lighter bites, center-cut does the trick with less grease.
- 8 ounces cheese: Try half cheddar for bold taste and half Gruyère for melt-factor. If you grate the cheese yourself, it’ll turn out extra gooey.
- Salt and black pepper: Go for kosher salt so it spreads nicely and keeps everything tasty.
For Your Creamy Sauce
- 2 tablespoons nice olive oil: Choose a flavorful one—it sets the stage for your caramelized onions.
- 4 tablespoons real butter: Butter makes your roux richer and tastier than anything else.
- 4 tablespoons flour (all-purpose): It thickens the sauce just enough so it hugs each potato slice.
- 3 cups whole milk: The more fat in your milk, the creamier the sauce. Skim milk just won’t work the same.
Easy Step-by-Step
- Rest and Serve:
- Hold off for about 10 minutes once it’s out of the oven. The bubbling sauce settles, cutting is easier, and everyone avoids burning their tongues from jumping in too soon.
- Bake Away:
- Seal the dish snug with foil—that way the potatoes won’t dry out or brown too soon. Pop it in your preheated oven at 350°F for an hour. Then pull the foil and let it bake for 30 minutes more till bubbly, golden, and the edges look perfectly crispy. Stick a fork or knife in the middle—if it slides in smooth, you’re good.
- Build It Up:
- Start with half your potato slices, overlapping, in the buttered dish. Sprinkle over half the onions and bacon, then top with half your cheese. Pour half the cream sauce all over so it seeps into the gaps. Repeat everything with the rest of your stuff—all your cheese goes on top for that ultimate crunch.
- Make That Sauce:
- Heat butter in a pot till it’s frothy but not browned. Add flour, whisk right away, and keep going for two minutes. You’ll smell a warm, nutty scent. Slowly pour in the milk while whisking like crazy—no lumps allowed. Let it simmer gently till thick and smooth, about three minutes. Add salt and pepper last.
- Fix the Bacon:
- As the onions finish, fry your bacon till crispy all over. You can bake it on a tray at 400°F for about 15–20 minutes for less mess. Cool it on paper towels, crumble into chunks, and stash some for sprinkling on top if you want.
- Brown Those Onions:
- Warm your olive oil in a frying pan on medium till it shimmers. Toss in the onions, plus a bit of salt and pepper to draw out the juice. Let them cook down and turn golden brown, stirring now and then for about 20 minutes. When they’re soft and rich with flavor, they’re ready. These will give your dish a sweet bite.
- Get Prepped:
- Set your oven to 350°F. Slather your 9x13 pan with butter all over so nothing sticks. Slice potatoes about 1/8 inch thick—if you have a mandoline, even better. This keeps them all cooking just right, so you never get a weird batch of mushy or raw bites together.

The first time I made this, it was my father-in-law’s birthday, and he’s asked for it every year since. Best feeling in the world is seeing someone take a bite and just close their eyes because it’s that good. Secret tip: the caramelized onions totally make it, bringing just enough sweetness to balance out all that rich cheesy goodness.

Recipe FAQs
- → Can I prepare loaded scalloped potatoes ahead of time?
Yep! Go ahead and build the whole thing up to a day before. Keep it covered in the fridge. Take it out and let it sit on the counter for about 30 minutes before baking. If it’s still cold, you might need to add about 10-15 extra minutes to the first bake with the foil on.
- → What's the best way to slice potatoes evenly?
Mandoline is your best friend for perfectly even slices—shoot for 1/8-inch. This way, everything cooks the same. If you don’t have one, use your sharpest knife and slice slowly so the pieces are nice and thin.
- → Can I make this dish vegetarian?
You bet! Skip the bacon and maybe toss in more caramelized onions or some cooked mushrooms for a punch of flavor. Smoked paprika also copies a bit of that bacon taste. The rest—cheese and cream—stays just as tasty.
- → Why is my sauce lumpy and how can I fix it?
Lumps usually show up if you pour milk in too fast when mixing with the flour and butter. Pour it in slowly, whisking the whole time. If lumps already formed, keep whisking hard or blend the sauce for a few seconds. Or, you could strain it using a fine mesh strainer to smooth things out.
- → How do I know when the potatoes are fully cooked?
Stick a fork or small knife into the middle. If it slides through easily, you’re good! If it feels tough, keep it in for another 5-10 minutes and check again. Time varies depending how thick the slices are, so poke to be sure.
- → What sides pair well with loaded scalloped potatoes?
This one’s rich, so lighten things up with green salad and vinaigrette, roasted asparagus, or just simple steamed broccoli. For meats, serve next to roast chicken, steak, or some ham. They’re also a star at holiday dinners with other classics.