Outback Steakhouse Potato Soup is a creamy, comforting bowl filled with tender chunks of potato, bits of bacon, melted cheddar cheese, and a touch of green onion for a little pop of color and flavor. It’s rich and hearty but still smooth enough to make every spoonful warm you up from the inside out. If you like soups that feel like a big, cozy hug, this one hits the spot perfectly.
I love making this soup on chilly evenings when I want something simple but satisfying. What makes it really special is how the bacon adds just the right amount of smokiness without overpowering the creamy potatoes. I usually stir in a handful of extra cheese on top before serving, because who can say no to even cheesier potato soup? It’s a comfort food classic that feels fancy without much fuss.
Whenever I serve this soup, I like pairing it with some crusty bread or simple buttered rolls to help scoop every last bit from the bowl. It’s the kind of dish that brings everyone to the table, whether it’s a weekend family dinner or midweek treat. Outback Steakhouse Potato Soup is one I keep coming back to when I need something both filling and friendly.
Key Ingredients & Substitutions
Potatoes: Russet or Yukon Gold work best for a creamy texture. Yukon Gold are a bit sweeter and hold their shape nicely. If you can’t find these, red potatoes can work, but they may be less creamy.
Butter & Flour (Roux): These thicken the soup and add richness. For a gluten-free option, use cornstarch instead of flour. Just mix cornstarch with cold water before adding to avoid lumps.
Half-and-Half or Heavy Cream: Heavy cream makes the soup richer, but half-and-half keeps it lighter. For dairy-free, try coconut milk or oat milk, though it will change the flavor slightly.
Cheddar Cheese: Sharp cheddar gives the soup its classic tang. Mild cheddar or a blend with Monterey Jack can also work well. Use good quality cheese for the best melt and taste.
Bacon: Bacon brings a smoky crunch that complements the creamy soup. For a vegetarian version, try smoked paprika or add smoked tofu for flavor.
Green Onions (Scallions): Freshness and a mild onion bite brighten the soup. If you don’t have green onions, use chives or finely chopped mild yellow onion added at the end.
How Do You Make the Soup Thick and Creamy Without It Becoming Clumpy?
Thickening the soup evenly is key to that smooth texture. The roux made from butter and flour is essential. Here’s the best way to do it:
- Cook butter, onions, and garlic first to build flavor.
- Add flour and stir constantly for 2 minutes to cook off the raw taste. This step helps avoid a floury or gummy texture.
- When adding chicken broth, pour slowly while whisking to stop lumps from forming.
- Simmer potatoes until very tender. Partially mash some in the pot — this naturally thickens the soup without extra ingredients.
- Add cream slowly and heat gently. Avoid boiling after adding cream to prevent separation.
- Stir the cheese in slowly and fully melt it before serving.
Taking these steps will give you a rich, velvety soup without clumps or graininess.
Equipment You’ll Need
- Large pot or Dutch oven – I recommend this because it heats evenly and lets you cook everything in one place.
- Wooden spoon or spatula – makes stirring easy and gentle on your cookware.
- Whisk – helps you stir in the broth smoothly and prevent lumps when adding flour or cream.
- Potato masher or fork – perfect for gently mashing some potatoes for extra creaminess.
- Measuring cups and spoons – for adding ingredients precisely, especially salt, pepper, and cream.
Flavor Variations & Add-Ins
- Swap bacon for cooked sausage or ham — they add a hearty twist and still complement the creamy base.
- Mix in sautéed mushrooms for earthy flavor and extra texture.
- Stir in chopped jalapeños or a dash of hot sauce for a spicy kick.
- Sprinkle with smoked paprika or cayenne pepper to boost smoky or spicy notes.
How to Make Outback Steakhouse Potato Soup
Ingredients You’ll Need:
- 4 cups peeled and diced potatoes (about 4 medium potatoes)
- 1/2 cup diced onion
- 2 cloves garlic, minced
- 4 cups chicken broth (low sodium)
- 2 cups half-and-half or heavy cream
- 4 tablespoons butter
- 1/4 cup all-purpose flour
- 1 cup shredded sharp cheddar cheese, plus extra for garnish
- 6 slices bacon, cooked and crumbled, plus extra for garnish
- 1/4 cup chopped green onions (scallions), plus extra for garnish
- 1 teaspoon salt (or to taste)
- 1/2 teaspoon black pepper
- 1/2 teaspoon dried parsley (optional, for garnish)
How Much Time Will You Need?
This creamy potato soup takes about 10 minutes to prep and 30 minutes to cook. It’s ready in under 45 minutes, perfect for a cozy meal that doesn’t take all day!
Step-by-Step Instructions:
1. Cook Onions and Garlic
Melt the butter in a large pot over medium heat. Add the diced onions and cook them until they’re soft and see-through, about 3-4 minutes. Then add the minced garlic and cook for one more minute, careful not to let it burn.
2. Make the Roux
Sprinkle the flour over the onions and garlic. Stir constantly for 2 minutes. This will cook out the raw flour taste and create a thick base for your soup.
3. Add Broth and Potatoes
Slowly whisk in the chicken broth to avoid lumps. Then add the diced potatoes, bring the soup to a boil, lower the heat to a gentle simmer, cover, and cook for 15-20 minutes until the potatoes are tender.
4. Mash Potatoes for Creaminess
Use a potato masher or fork to partially mash some of the potatoes in the pot. Keep some potato chunks for a nice texture while thickening the soup.
5. Add Cream and Cheese
Stir in the half-and-half or heavy cream and shredded cheddar cheese. Mix until the cheese melts smoothly, making the soup rich and creamy.
6. Season and Add Bacon & Green Onions
Season with salt and pepper to taste. Stir in half of the cooked, crumbled bacon and chopped green onions for flavor.
7. Finish and Serve
Warm the soup gently for 5 more minutes—don’t let it boil after adding the cream to keep it smooth. Serve in bowls topped with the remaining bacon, extra cheddar cheese, green onions, and a sprinkle of dried parsley if you like. Enjoy with warm bread or crackers!
Can I Use Frozen Potatoes for This Soup?
Yes, you can! Just make sure to thaw them completely before cooking to avoid excess water in the soup. Adjust the cooking time slightly, as frozen potatoes may cook a bit faster or softer.
How Do I Store Leftover Potato Soup?
Store leftovers in an airtight container in the refrigerator for up to 3 days. Reheat gently on the stove over low heat, stirring occasionally to keep the soup creamy and smooth.
Can I Substitute the Bacon for a Vegetarian Option?
Absolutely! You can skip the bacon or use smoked paprika or liquid smoke to add a smoky flavor. Alternatively, sautéed mushrooms or smoked tofu work well to add depth.
Is It Okay to Use Milk Instead of Half-and-Half or Cream?
You can, but the soup will be less rich and creamy. To thicken it, consider adding a bit more flour during the roux step or stirring in some cream cheese or sour cream.
