Cheesy Layered Potatoes

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Some people call these Scalloped potatoes others call it Potatoes Au Gratin but I like to call them Cheesy Layered Potatoes. Really the difference is that scalloped potatoes are made with just a cream sauce while the au gratin is made with a cheese sauce. I like to call it Cheesy Layered Potatoes because I add in a few extra layers of cheese and onion for more decadent flavor.

Cheesy Layered Potatoes
Cheesy Layered Potatoes

You may have noticed that I did not list “peel the potatoes” in the recipe. It is not a typo or accidental omission. I do not peel my potatoes for this recipe. I like the extra flavor you get from the skin of the potato, plus you get more nutrients in the end. So I just clean them and slice. It is also a time saver (there a reason the military uses potato peeling as a punishment, you know😉).

Cheesy Layered Potatoes

If you do not like to have larger pieces onions, you could dice or mince them. My family prefers to have the thin slices of onions mixed in with the potatoes. The onions give this recipe another texture and the added flavor.

Cheesy Layered Potatoes

This recipe is a great side dish for all sorts of meals – great for a weeknight or for a big dinner shindig. You can serve it up with beef, pork, chicken, ham, turkey – whatever you have on the menu. They also travel and save well, so you can bring them as a side dish to the potluck or next family holiday meal.

Now Let’s Get Cookin’!


Cheesy Layered Potatoes

Sliced potatoes and onions with layer upon layer of cheesy goodness
Course Side Dish
Cuisine American
Keyword cheese sauce, cheesy potatoes, potato, potatoes
Prep Time 10 minutes
Cook Time 50 minutes
Servings 6


  • 3 lbs Russet Potatoes ¼ inch slices
  • ½ Medium Yellow Onion thinly sliced
  • 3 cups Cheddar Cheese shredded
  • 1 tbsp Parsley

For the Cheese Sauce

  • 3 tbsp Butter
  • 1 tsp Garlic Powder
  • 3 tbsp Flour
  • 2 cups Milk at least 2% milkfat
  • 1 tsp Paprika
  • 1 tsp Salt
  • 1 tsp Ground Mustard
  • 1 tsp Pepper
  • 1 cup Heavy Cream
  • 2 cups Cheddar Cheese shredded


  • Preheat oven to 375degF.
  • In sauce pan over medium heat, add butter and garlic powder. Once melted whisk in flour. Let cook for 2 minutes.
  • Then whisk in milk and let cook for 2 minutes. Add salt, pepper, paprika and ground mustard. Then add heavy cream and cook for 2 minutes. Last add the cheese and stir until fully incorporated.
  • In a 13×9 baking dish, place half of potatoes in an even layer. top with onions, and half of cheese. Then add remaining potatoes. Pour cheese sauce over top and jiggle pan to help evenly disperse. Top with remaining cheese and parsley. Cover with foil and place in oven for 30 minutes.
  • Remove foil and bake an additional 10 minutes. Remove from oven and let rest for at least 5 minutes (allows sauce to thicken back up) before serving.

Custom Instacart Link for this Recipe

Estelle Forrest self-published this cookbook after a lot of playing around in the kitchen. You can purchase your own copy here:


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