Creamy caramelized onion and crispy bacon dip served with fresh tortilla chips.

Caramelized Onion and Bacon Dip

This Caramelized Onion and Bacon Dip is a creamy, flavorful treat that combines the sweetness of slowly cooked onions with the smoky crunch of crispy bacon. It’s rich, a little…

By Riley Reading time: 6 min
Tip: save now, cook later.
Serves 4–6

This Caramelized Onion and Bacon Dip is a creamy, flavorful treat that combines the sweetness of slowly cooked onions with the smoky crunch of crispy bacon. It’s rich, a little bit tangy, and perfect for parties or just a cozy snack at home. The soft, buttery caramelized onions add a deep, sweet taste that pairs perfectly with the salty, savory bacon bits.

I love making this dip because it’s pretty simple but feels special every time. I usually caramelize the onions gently on the stove while the bacon crisps up in the oven—both smells fill the kitchen and make me even more excited to dig in. Mixing them into a creamy base, like cream cheese or sour cream, pulls everything together, and I always find myself double checking the pan for any leftover bits to add in.

My favorite way to enjoy this dip is with crunchy crackers or fresh veggie sticks. It’s fantastic as a party appetizer, but also just a fun snack when you’re relaxing with friends or family. Honestly, I think this dip is one of those things everyone secretly loves, and once you try it, you’ll understand why it’s so hard to stop eating!

Key Ingredients & Substitutions

Onions: Yellow onions work best for caramelizing because of their natural sweetness. If you don’t have yellow onions, sweet onions like Vidalia are a great choice. Avoid using red onions since they’re less sweet and can change the dip’s color.

Bacon: Bacon gives this dip its smoky crunch. If you want to skip pork, try turkey bacon or a smoked vegetarian bacon substitute. Cooking the bacon until crispy is key for texture.

Cream Cheese & Sour Cream: These make the dip creamy and rich. You can replace cream cheese with Neufchâtel for fewer calories or use Greek yogurt instead of sour cream for a tangy twist and added protein.

Cheddar Cheese: Sharp cheddar adds tang and depth. You can swap for Gouda or Monterey Jack if you prefer a milder flavor or a bit of extra meltiness.

How Do You Get Perfectly Caramelized Onions Without Burning Them?

Caramelizing onions is all about patience and heat control. Here’s how to do it right:

  • Slice onions evenly so they cook uniformly.
  • Use medium-low heat and cook slowly — this helps sugars break down and onions turn golden without burning.
  • Stir every few minutes, scraping the bottom of the pan to keep onions from sticking.
  • If onions start to stick or brown too fast, add a splash of water to loosen them and lower the heat.
  • Cook for around 30-40 minutes until onions are soft and a deep golden brown.

Taking your time makes the difference — those sweet, rich flavors really make this dip shine!

Equipment You’ll Need

  • Large skillet – perfect for slowly caramelizing onions evenly without burning.
  • Baking sheet – great for crisping bacon in the oven without mess.
  • Mixing bowl – you’ll combine all creamy ingredients here for a smooth dip.
  • Oven-safe baking dish – to bake and serve the dip warm and bubbly.
  • Sharp knife and cutting board – for slicing onions and chopping cooked bacon easily.

Flavor Variations & Add-Ins

  • Swap bacon for diced pancetta for a slightly different smoky flavor.
  • Add chopped roasted garlic for an extra layer of rich, mellow taste.
  • Mix in shredded Gruyère cheese instead of cheddar for a nuttier, creamier dip.
  • Stir in chopped fresh herbs like thyme or rosemary to brighten the flavor.

Easy Caramelized Onion Bacon Dip

How to Make Caramelized Onion and Bacon Dip?

Ingredients You’ll Need:

For the Dip:

  • 4 large onions, thinly sliced
  • 4 tablespoons unsalted butter
  • 8 ounces cream cheese, softened
  • 1 cup sour cream
  • 1 cup shredded sharp cheddar cheese
  • ½ cup mayonnaise
  • 10 slices bacon
  • 2 teaspoons Worcestershire sauce
  • 1 teaspoon garlic powder
  • Salt and freshly ground black pepper, to taste

For Garnish and Serving:

  • Fresh chives or green onions, chopped
  • Crackers, carrot sticks, or fresh vegetable sticks

How Much Time Will You Need?

The whole process takes about 1 hour. Plan on 30–40 minutes for caramelizing the onions, 15 minutes to cook the bacon, and another 20–25 minutes to bake the dip. This timing includes prep and cooking, making it a wonderful dish to start early and enjoy warm later.

Step-by-Step Instructions:

1. Caramelize the Onions:

Heat the butter in a large skillet over medium-low heat. Add the thinly sliced onions and stir occasionally, cooking slowly for 30 to 40 minutes until they turn a deep golden brown and become soft. This slow cooking draws out their sweet flavor. Set the onions aside to cool a little.

2. Cook the Bacon:

While the onions cook, preheat your oven to 400°F (200°C). Lay the bacon slices on a baking sheet lined with parchment paper. Bake for about 15 minutes or until the bacon is crispy. Remove the bacon from the oven and let it cool before chopping into small pieces.

3. Mix the Dip Base:

In a large bowl, combine the softened cream cheese, sour cream, mayonnaise, cheddar cheese, Worcestershire sauce, garlic powder, and a pinch of salt and pepper. Stir everything together until smooth and creamy.

4. Combine Ingredients:

Fold the caramelized onions and most of the crispy bacon into the creamy mixture. Save a small handful of bacon bits to sprinkle on top later.

5. Bake the Dip:

Spread the mixture evenly into an oven-safe baking dish. Sprinkle the reserved bacon bits over the top. Bake in the preheated oven for 20 to 25 minutes until the dip is hot, bubbly, and golden on top.

6. Garnish and Serve:

Remove the dip from the oven and sprinkle with chopped fresh chives or green onions. Serve the warm dip with crackers, carrot sticks, or your choice of fresh vegetable sticks for dipping. Enjoy!

Can I Use Frozen Onions for This Dip?

It’s best to use fresh onions for caramelizing, as frozen onions can release excess moisture and won’t caramelize as well. If you only have frozen, thaw and pat them dry before cooking to help reduce moisture.

Can I Make the Dip Ahead of Time?

Absolutely! You can caramelize the onions and cook the bacon a day ahead. Mix and bake the dip just before serving for the freshest flavor and best texture.

How Should I Store Leftovers?

Store any leftover dip in an airtight container in the refrigerator for up to 3 days. Reheat gently in the oven or microwave until warmed through before serving.

Can I Substitute the Bacon?

Yes, you can use turkey bacon or a vegetarian bacon alternative. Just be sure to cook it until crispy to maintain that smoky, crunchy texture in the dip.

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Writes practical, weeknight-friendly recipes.

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