September 29, 2023
Review RecipeBacon Scalloped Potatoes

Table of Contents
Comfort food doesn’t get better than these cheesy bacon scalloped potatoes for an irresistible side dish. Imagine warm, tender potato slices coated in a flavorful, creamy cheese sauce and crispy pieces of bacon.

Bacon Scalloped Potatoes Ingredients

With layers of creamy potatoes topped with melted cheese and salty bacon, this baked side dish creates an explosion of flavor that leaves your taste buds tingling.
The perfectly cooked slices of potato provide a pleasant texture alongside the crunchy bacon, while the cheese creates a rich, savory experience. It’s no wonder scalloped potatoes have become such a classic.
You’ll need:
- ½ pound (½ cup when cooked) of thick sliced bacon, cut into small diced pieces
- 3 tablespoons of unsalted butter
- ¼ cup of all-purpose flour
- 1½ cups of whole milk
- 1 teaspoon of salt
- ¾ teaspoon of onion powder
- ½ teaspoon of black pepper
- ½ teaspoon of garlic powder
- 4 cups (about 2 pounds) of Yukon gold potatoes, cut into ⅛-¼-inch thick slices
- 1 cup of shredded sharp cheddar cheese
- 1 cup of shredded Monterey jack cheese
- 1 tablespoon of chopped chives, optional garnish
Substitutions And Additions
POTATOES: You can use russet potatoes for these scalloped potatoes with bacon and cheese, but I do suggest peeling them first as their skin can be a bit tough. The skin of the Yukon Gold is very thin, so I find that there is no need for peeling them, but you can if you desire. When slicing the potatoes, I discard the end pieces. You can also use a mandoline to get nice, even, thin slices.
CHEESE: You can use a number of substitutions for the cheese in this loaded scalloped potatoes with bacon, cheddar, and chives recipe. You can use Colby jack, gruyere cheese, pepper jack, or any combination of these. This is a very forgiving recipe.
MILK: You can use 2% milk instead of whole milk if that is what you keep on hand in your refrigerator. I would not suggest low-fat or fat-free milk as the texture of the cheesy sauce will be too runny and alter the outcome of this dish.
How To Make This Bacon Scalloped Potatoes Recipe
Not only is it easy enough to prepare on weeknights when time is tight, but also impressive enough for company dinners.
A secret to getting the best flavor is to use Yukon Golds because their slight sweetness balances out the sharpness of the cheese and bacon.
To get started, peel and slice potatoes into thin rounds with a sharp knife or mandoline slicer, then place them in a pan with the creamy sauce, cheese, bacon, and your favorite seasonings. Bake the dish until the potatoes are soft and golden brown on top for an eye-catching finish.
Follow along with our simple instructions to learn how to prepare the ultimate comfort dish:
STEP ONE: Preheat the oven to 350°F. Spray an 8×8 (1.5-quart) casserole dish with cooking spray. Set aside.
OUR RECIPE DEVELOPER SAYS
When cooking your bacon crumbles, use thick sliced bacon that is pre-chopped before cooking in the skillet. You do not want to cook them to the crispy stage. The bacon crumbles still need to be soft as they will continue to cook and crisp in the oven.
STEP TWO: In a medium skillet, add the diced thick-cut bacon. Cook on medium heat for 8 to 9 minutes or just until the bacon crumbles are slightly crisped. You do not want to overcook your bacon crumbles. Transfer the bacon crumbles to a paper towel-lined plate and remove the bacon grease from the pan. You can pour the hot bacon grease into a heat-safe bowl to cool it before discarding it.
PRO TIP:
While your bacon crumbles are cooking, you can slice your potatoes. Be sure you use a sharp knife to get nice thin slices.

STEP THREE: Add the unsalted butter to the skillet that you used to cook the bacon and melt butter over medium heat. Once melted, whisk in the all-purpose flour until the melted butter has absorbed all the flour.
STEP FOUR: Slowly pour the whole milk into the skillet while whisking constantly. Be sure to whisk out all the lumps of flour to get a smooth sauce.

STEP FIVE: To the sauce, whisk in the salt, onion powder, black pepper, and garlic powder. Allow the sauce to bubble and thicken for 2 to 3 minutes. Be sure to whisk often to prevent the sauce from clumping and burning. Remove from the heat.

STEP SIX: Layer half the sliced potatoes on the bottom of the prepared baking dish. Be sure to fan them out and not pack them too tightly to allow the sauce to get between the slices when baked.
PRO TIP:
Make sure the potatoes are VERY thinly sliced, or you may have to increase the bake time to make sure they are soft and tender.
STEP SEVEN: Pour half the sauce over top of the potatoes and spread it out as evenly as possible. Try to push some of the sauce between the potatoes.

STEP EIGHT: Layer ½ cup of the sharp cheddar cheese and ½ cup of the Monterey jack cheese, and ¼ cup of the reserved crumbled bacon evenly over the sauce.

STEP NINE: Repeat with a final layer of sliced potatoes and sauce. Tightly cover the top of the dish with aluminum foil and bake for 40 minutes. Put your baking dish onto a rimmed baking sheet for easy transport to and from the oven. This will also protect your oven if any of the sauce bubbles out, as this is a very full dish.
PRO TIP:
Oven temperatures vary and may need to be recalibrated periodically to ensure they are accurate. Make sure to keep a close eye on your potatoes as the suggested baking time approaches.

STEP TEN: After the first 40 minutes of baking, remove the foil and top the potatoes with the remaining shredded cheddar and Monterey jack cheese. Return to the oven to bake for another 30 minutes.

STEP ELEVEN: After your bacon scalloped potatoes have been baking for an hour, you can check them for doneness. They should be fork tender. If they are done, you can top the melted cheese with the remaining ¼ cup bacon crumbles and place your dish back into the oven for an additional 5 minutes to finish crisping the bacon and allowing the top layer of cheese to get lightly golden and bubbly.
STEP TWELVE: Allow the bacon scalloped potatoes to cool for 10 to 15 minutes before serving to allow the creamy sauce to thicken up slightly.
How To Serve
Serve your cheesy scalloped potatoes alongside roasted, pan-seared, or grilled chicken to create a hearty meal that is sure to satisfy everyone. For an even heartier meal, serve steak bites with your bacon scalloped potatoes for an added dose of protein.
To complement the savory dish, serve it with a sweet and crunchy classic coleslaw or a tangy cucumber salad. For additional sides, asparagus or roasted broccoli is always a winner.
If you are looking for our original version, check out our scalloped potatoes recipe. Our cheesy bacon ranch potatoes are made in a slow cooker and are so delicious!
MORE SIDE DISH RECIPES
Storage
One of the best things about this bacon scalloped potatoes dish is not just the tantalizing taste it offers on the first day, but also the flexibility it affords for later enjoyment.
MAKE AHEAD: This bacon scalloped potatoes recipe is a perfect contender for making ahead of time. To do so, simply follow the recipe through the step of assembling the ingredients in your baking dish, but hold off on baking. Wrap your dish tightly with cling film, then again with a layer of aluminum foil to seal in moisture.
This can be stored in the refrigerator for up to 2 days ahead of time. When you’re ready to enjoy, remove the dish from the fridge and let it sit at room temperature while your oven preheats. Remove the wrapping, bake as directed, and voila!
IN THE FRIDGE: You can store any leftover scalloped potatoes with bacon in an airtight container, in the refrigerator, for up to 3 to 4 days.
IN THE FREEZER: I do not suggest freezing these cheesy potatoes as the sauce tends to separate once frozen and then thawed. It is best when made fresh.
REHEATING: Whether you’re pulling your scalloped potatoes from the fridge or the freezer, reheating is straightforward. For oven reheating, transfer the potatoes to an oven-safe dish if they’re not in one already, cover with foil to prevent drying out, and heat at 350°F for 20-25 minutes, or until hot and bubbly.
If you’re in a hurry, the microwave also works fine. Place your serving in a microwave-safe dish, cover, and heat on high for 2-3 minutes. Check to make sure it’s heated through, and if not, continue heating in 30-second intervals until piping hot.

With crunchy bacon on top, savory flavors, and the creamy interior of these bacon scalloped potatoes, this side dish will surely be a hit at your next gathering or family dinner. There is nothing better than a comforting side dish to complete your meal.
FREQUENTLY ASKED QUESTIONS
You can definitely prepare this dish ahead of time. Store in the fridge covered in plastic wrap for up to 3 days before baking.
Yukon gold or russet potatoes are traditionally used to make scalloped potatoes. This is because these types of potatoes hold their shape well when baked.
If you’d like to add extra veggies or small pieces of ham or chicken, it would be delicious.
Potatoes will not soften if they are cooked with something acidic. So if you have sour cream in your sauce, they may not soften properly. This is why we recommend using milk or heavy cream in your sauce instead.
You’ll know that scalloped potatoes are done when you can easily pierce them with a fork.
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Bacon Scalloped Potatoes
Ingredients
- ½ pound thick sliced bacon, cut into small diced pieces (½ cup when cooked)
- 3 tablespoons unsalted butter
- ¼ cup all-purpose flour
- 1½ cups whole milk
- 1 teaspoon salt
- ¾ teaspoon onion powder
- ½ teaspoon black pepper
- ½ teaspoon garlic powder
- 4 cups Yukon gold potatoes, cut into ⅛ to ¼-inch thick slices (about 2 pounds)
- 1 cup sharp cheddar cheese, shredded
- 1 cup Monterey jack cheese, shredded
- 1 tablespoon chopped chives, optional garnish
Instructions
- Preheat oven to 350°F. Spray an 8×8 (1.5-quart) baking dish with cooking spray. Set aside.
- In a medium skillet, add the diced thick-cut bacon. Cook on medium heat for 8 to 9 minutes or just until the bacon crumbles are slightly crisped. You do not want to overcook your bacon crumbles. Transfer the bacon crumbles to a paper towel-lined plate and remove the bacon grease from the pan. You can pour the hot bacon grease into a heat-safe bowl to cool it before discarding it.
- Add the unsalted butter to the skillet that you used to cook the bacon and allow it to melt over medium heat. Once melted, whisk in the all-purpose flour until the melted butter has absorbed all the flour.
- Slowly pour the whole milk into the skillet while whisking constantly. Be sure that you whisk out all the lumps of flour so that you get a smooth sauce.
- To the sauce, whisk in the salt, onion powder, black pepper, and garlic powder. Allow the sauce to bubble and thicken for 2 to 3 minutes. Be sure to whisk often to prevent the sauce from clumping and burning. Remove from the heat.
- To the bottom of the prepared baking dish, layer half the sliced potatoes. Be sure to fan them out and not pack them too tightly to allow the sauce to get between the slices when baked.
- Pour half the sauce over the potatoes and spread it out as evenly as possible. Try to push some of the sauce between the potatoes.
- Layer ½ cup of the sharp cheddar cheese and ½ cup of the Monterey jack cheese, and ¼ cup of the reserved bacon crumbles evenly over the sauce.
- Repeat with a final layer of sliced potatoes and sauce. Tightly cover the baking dish with aluminum foil and bake for 40 minutes. You may want to put your baking dish onto a rimmed baking sheet for easy transport to and from the oven. This will also protect your oven if any of the sauce bubbles out, as this is a very full dish.
- After the first 40 minutes of baking, remove the foil and top the potatoes with the remaining shredded cheddar and Monterey jack cheese. Return to the oven to bake for another 30 minutes.
- After your bacon scalloped potatoes have been baking for an hour, you can check them for doneness. They should be fork tender. If they are done, then you can top the melted cheese with the remaining ¼ cup bacon crumbles and place your dish back into the oven for an additional 5 minutes to finish crisping the bacon and allowing the cheese to get lightly golden and bubbly.
- Allow the bacon scalloped potatoes to cool for 10 to 15 minutes before serving to allow the sauce to thicken up slightly.
Notes
- When cooking your bacon crumbles, use thick sliced bacon that is pre-chopped before cooking in the skillet. You do not want to cook them to the crispy stage. The bacon crumbles still need to be soft as they will continue to cook and crisp in the oven.
- While your bacon crumbles are cooking, you can slice your potatoes. Be sure you use a sharp knife to get nice thin slices.
- Make sure the potatoes are VERY thinly sliced, or you may have to increase the bake time to make sure they are soft and tender.
- Oven temperatures vary and may need to be recalibrated periodically to ensure they are accurate. Make sure to keep a close eye on your potatoes as the suggested baking time approaches.
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