Outback Steakhouse Potato Soup is a creamy, comforting bowl filled with tender potatoes, crispy bacon bits, and a rich cheesy flavor that feels like a warm hug on a chilly day. It’s the kind of soup that brings together smooth textures and satisfying heartiness in every spoonful.
I love making this soup when the weather cools down and I want something that feels like a little treat but is still easy to whip up. The mix of creamy potatoes and those crunchy bacon pieces gets everyone at the table smiling, and adding a sprinkle of green onions on top gives it a nice fresh touch. It’s a simple recipe that feels almost fancy without any fuss.
My favorite way to serve Outback Steakhouse Potato Soup is with a slice of crusty bread or some buttery crackers on the side. It’s perfect as a cozy lunch or an easy dinner when you’re craving something warm and filling. Whenever I make it, it reminds me of those relaxed nights where good food and good company make everything just right.
Key Ingredients & Substitutions
Potatoes: Use russet potatoes for a creamy texture when cooked. Yukon gold works too and adds a slightly buttery flavor. Avoid waxy potatoes as they can stay firm and less creamy.
Bacon: Regular bacon adds a nice smoky crunch. For a lighter version, try turkey bacon or omit it altogether for a vegetarian option.
Cheddar Cheese: Sharp cheddar gives a nice tangy flavor. If you want a milder taste, use mild cheddar or a blend with Monterey Jack.
Sour Cream & Heavy Cream: These add richness and creaminess. You can swap sour cream for Greek yogurt to reduce fat, but add it off heat to prevent curdling.
How Do I Make a Smooth, Thick Soup Without Lumps?
Creating the creamy soup base starts with making a roux—a mix of butter, onions, and flour:
- Cook onions in butter until soft so their sweetness blends in.
- Add flour and stir continuously for 1-2 minutes to cook out the raw taste.
- Slowly whisk in cold milk to avoid lumps, stirring constantly until thickened.
When adding this mixture to the cooked potatoes and broth, mash a few potatoes to naturally thicken the soup while leaving chunks for texture. Stir gently when adding cheese to melt it smoothly. This process ensures your soup is creamy and lump-free every time.
Equipment You’ll Need
- Large pot – I use this to cook the potatoes, broth, and soup all in one place and it’s big enough for stirring easily.
- Frying pan – this is perfect for crisping the bacon until golden and crunchy.
- Wooden spoon – helps stir the ingredients without scratching the pot and feels comfy in hand.
- Whisk – makes it easy to blend the milk and flour into a smooth, lump-free mixture.
- Mash masher or fork – for giving the potatoes a slight mash for that thicker, creamy texture.
Flavor Variations & Add-Ins
- Replace bacon with sautéed mushrooms for a meaty, earthy flavor and added texture.
- Mix in shredded cooked chicken or turkey to make it more filling and perfect for leftovers.
- Use smoked cheddar or pepper jack cheese instead of regular cheddar for a spicier twist.
- Stir in cooked corn or chopped green peppers for extra sweetness and crunch.
Outback Steakhouse Potato Soup
Ingredients You’ll Need:
Main Ingredients:
- 6 large potatoes, peeled and cubed
- 1/2 cup onion, finely chopped
- 4 cups chicken broth
- 1 cup heavy cream
- 1 cup shredded cheddar cheese (plus extra for garnish)
- 6 slices bacon, cooked and crumbled (plus extra for garnish)
- 1/4 cup all-purpose flour
- 4 cups milk
- 1/2 cup sour cream
- 2 tbsp butter
- 1 tsp salt (adjust to taste)
- 1/2 tsp black pepper (plus more for garnish)
- 1/4 cup chopped green onions (for garnish)
How Much Time Will You Need?
This recipe takes about 10 minutes to prep and roughly 25-30 minutes to cook and combine everything. In under 40 minutes, you’ll have a warm, comforting bowl of creamy potato soup ready to enjoy.
Step-by-Step Instructions:
1. Cook the Potatoes:
Put the peeled and cubed potatoes into a large pot with the chicken broth. Bring it to a boil and then simmer until the potatoes are tender, about 15-20 minutes.
2. Prepare the Bacon:
While the potatoes cook, fry your bacon slices in a pan until nice and crispy. Let them drain on paper towels, then crumble them into small pieces. Save a little for garnish.
3. Make the Creamy Base:
In a separate saucepan, melt the butter over medium heat. Add the chopped onions and cook them until they’re soft and see-through—about 3-4 minutes. Stir in the flour and cook it for 1-2 minutes, stirring constantly to get rid of that raw flour taste and create a roux.
4. Thicken the Soup:
Slowly whisk in the milk to the roux, stirring all the time so it thickens smoothly without lumps. This should take about 5-7 minutes.
5. Combine and Add Flavors:
Back in the potato pot, mash some potatoes lightly to add body to the soup without losing all the texture. Then pour in the thickened milk and onion mixture, stirring well.
Add the heavy cream, sour cream, shredded cheddar cheese, salt, and black pepper. Stir gently until the cheese melts completely and the soup looks rich and creamy.
6. Add Bacon and Warm Through:
Mix in most of the crumbled bacon, reserving a little for topping. Keep the soup warm on low heat for a few minutes, stirring every now and then to prevent sticking.
7. Serve and Enjoy:
Ladle the soup into bowls and top with extra cheddar cheese, bacon crumbles, chopped green onions, and a sprinkle of freshly ground black pepper. Serve with warm bread or crackers for the perfect cozy meal.
Can I Use Frozen Potatoes for This Soup?
Yes, you can use frozen diced potatoes to save time! Just thaw them completely before cooking, and reduce the boiling time slightly since they may cook faster than fresh potatoes.
How Can I Make This Soup Vegetarian?
Simply omit the bacon and use vegetable broth instead of chicken broth. You can also add sautéed mushrooms or smoked paprika for a smoky flavor without the meat.
What’s the Best Way to Store Leftovers?
Store leftover soup in an airtight container in the fridge for up to 3 days. Reheat gently on the stove over low heat, stirring occasionally. If it thickens too much, add a splash of milk to loosen it up.
Can I Make This Soup Ahead of Time?
Absolutely! Make the soup completely, then cool it and refrigerate. When ready to serve, reheat slowly on the stove and add any fresh garnishes just before serving to keep them crisp.