Name: Tennessee Onion Dip Recipe
Prep time: 20 min
Cook time: 25 min
Total time: 45 min
Cuisine: American
Ingredients: 2 large chopped sweet onions (Vidalia preferred); 2 tablespoons unsalted butter; 1 cup mayonnaise; 4 ounces softened cream cheese; 1 teaspoon garlic powder; 1 teaspoon dried thyme; ½ teaspoon salt; 1 cup shredded cheddar cheese; 1 cup shredded smoked gouda cheese; Chopped parsley for garnish

There's something incredibly comforting about a warm, cheesy dip that fills the kitchen with that irresistible aroma of caramelized onions and melted cheese. This Tennessee Onion Dip Recipe is a game-changer—rich, flavorful, and perfect for every gathering or a cozy night in.

The image shows a close-up of a black pan filled with a baked dip that has a golden-brown top layer of melted cheese sprinkled with small green herb pieces. Underneath the cheese layer, there are visible chunks of cooked onions and creamy dip. A woman's hand is dipping a toasted, golden-brown slice of bread into the creamy mixture, lifting some of it from the pan. The background surface is a white marbled texture with more slices of toasted bread softly blurred behind the pan. photo taken with an iphone --ar 2:3 --v 7

Jump to:

Why You'll Love This Recipe
Ingredients & Why They Work
Make It Your Way
Step-by-Step: How I Make Tennessee Onion Dip Recipe
Top Tip
How to Serve Tennessee Onion Dip Recipe
Make Ahead and Storage
Frequently Asked Questions:
Final Thoughts
Tennessee Onion Dip Recipe

Why You'll Love This Recipe

I've made this Tennessee Onion Dip more times than I can count, and each time, it’s a total hit. What I adore most is how it balances sweet, smoky, and cheesy flavors without fuss. If you're after a dip that’s both cozy and crowd-pleasing, this one ticks all the boxes.

Simple ingredients: Uses everyday pantry staples with no complicated steps.
Hands-off cooking: The oven does most of the work while you prep and relax.
Perfectly balanced flavors: The sweet onions and smoked gouda bring a unique Southern twist.
Versatile serving: Pairs beautifully with a variety of chips, breads, or veggies.

The image shows a round black skillet filled with a thick, creamy dip that has a golden-brown top layer of melted cheese with a slightly crispy texture and scattered bits of herbs. The cheese layer is uneven, revealing a softer, cheesy and chunky inside with visible pieces of onions. Light golden toasted bread slices are placed on the side of the skillet and some are partially dipped into the cheese mixture. The skillet is set on a white marbled surface with extra toasted bread slices scattered around, and the edge of a beige cloth is seen in the corner. photo taken with an iphone --ar 2:3 --v 7

Ingredients & Why They Work

Each ingredient in this Tennessee Onion Dip Recipe plays a crucial role in building that irresistible depth of flavor. The sweet onions melt into creamy cheeses, while garlic powder and thyme add a gentle kick that’s just right.

Flat lay of two large sweet Vidalia onions, a small pat of unsalted butter, a dollop of creamy mayonnaise, a block of soft cream cheese, a sprinkle of dried thyme and garlic powder, a pile of shredded sharp cheddar cheese and smoky gouda cheese side by side, and fresh chopped parsley scattered lightly around, all beautifully arranged and placed on a white marble surface, photo taken with an iphone --ar 2:3 --v 7

Sweet onions: I always go with Vidalia onions here; their natural sweetness caramelizes beautifully without turning bitter.
Unsalted butter: It helps soften the onions perfectly without overpowering the dish.
Mayonnaise: Adds creaminess and tang, helping the dip stay smooth and luscious.
Cream cheese: Softened for easy mixing, it makes the dip velvety and rich.
Garlic powder: Gives just the right aromatic depth without being too sharp.
Dried thyme: A subtle herbaceous note that hints at Southern flavor traditions.
Salt: To enhance and balance all the other flavors.
Cheddar cheese: Sharp and melty, it complements the sweetness of the onions perfectly.
Smoked gouda cheese: Adds a delicious smoky creaminess that makes this dip uniquely Tennessee.
Chopped parsley: For a fresh, vibrant finish that brightens the plate.

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Note: You'll find the complete list of ingredients, along with their exact measurements, in the printable recipe card at the bottom of this post.

Make It Your Way

Once you've made this Tennessee Onion Dip Recipe a couple of times, feel free to tweak it to your taste. I love adding a pinch of cayenne for a little heat or swapping in smoked paprika for a different smoky twist. It’s your dip—make it yours!

Variation: I once swapped smoked gouda for pepper jack cheese and it gave the dip a zingy kick that surprised everyone in the best way.

Step-by-Step: How I Make Tennessee Onion Dip Recipe

Step 1: Sauté the Sweet Onions

Start by melting the butter in a large oven-safe skillet over medium heat. Add your chopped sweet onions and cook them slowly until they’re golden and tender—about 15 minutes. Stir often so they don’t brown too fast; you want them soft and caramelized but not burnt. This step is where the magic really happens, because those sweet onions form the heart of your dip.

Step 2: Mix in Creamy Goodness

Take the skillet off the heat, then add the mayonnaise, softened cream cheese, garlic powder, dried thyme, and salt. Stir everything gently but thoroughly until you have a smooth, rich base. It helps the flavors marry perfectly before the cheese goes in.

Step 3: Add the Cheese and Bake

Stir in the shredded cheddar and smoked gouda cheese until evenly combined. Then pop the skillet straight into your preheated 375° F oven. Bake for about 25 minutes or until the dip is bubbling hot and the cheese is golden on top. This warm finish brings it all together in that ooey-gooey way we all love.

Step 4: Garnish and Serve

Once out of the oven, sprinkle chopped parsley on top for a fresh touch of color and flavor. Serve immediately with your favorite crackers, crostini, or crusty bread. Trust me, it disappears fast!

Top Tip

From my experience making this Tennessee Onion Dip Recipe, the secret to nailing that perfect texture and flavor is all in how you handle the onions and cheese. Here are a few pointers I wish I’d known on day one.

Low and Slow Onions: Cooking the onions gently over medium heat for the full 15 minutes helps them become sweet and tender, not bitter or mushy.
Softened Cream Cheese: Make sure the cream cheese is softened to room temperature; it mixes easier and ensures your dip won’t have lumps.
Oven-Safe Skillet: Using an oven-safe pan means fewer dishes and a faster finish—you’re mixing and baking in one.
Don’t Overbake: Watch the dip near the end so the cheese browns beautifully but doesn’t dry out.

How to Serve Tennessee Onion Dip Recipe

Tennessee Onion Dip - Serving Suggestion

Garnishes

For garnishes, I’m a big fan of fresh chopped parsley because it adds a lovely pop of green and brightness against the creamy dip. Sometimes I sprinkle a little smoked paprika on top for color and an extra smoky aroma.

Side Dishes

We usually serve this Tennessee Onion Dip with sturdy crostini, pita chips, or thick-cut crackers that can hold a big scoop. Roasted veggies like crispy cauliflower or even raw bell pepper strips are a refreshing contrast that I highly recommend trying.

Creative Ways to Present

Once, for a holiday party, I baked the dip in mini cast iron skillets and served them as individual portions—everyone loved the personal touch. You could also use hollowed-out bread bowls for a festive presentation that’s sure to impress your guests.

Make Ahead and Storage

Storing Leftovers

I store leftovers in an airtight container in the fridge and enjoy them within two days. Since this dip has so much cheese, it tends to firm up but magically comes back to life with a quick reheat.

Freezing

Honestly, I don’t recommend freezing this Tennessee Onion Dip Recipe because the texture changes and the cheese can separate. It’s best enjoyed fresh or refrigerated.

Reheating

When reheating, I use the microwave on low power in short bursts, stirring between intervals, or warm it gently in the oven at 300°F until it’s bubbly again. This keeps the creamy texture and prevents it from drying out.

Frequently Asked Questions:

Can I use other types of onions in this Tennessee Onion Dip Recipe?

Absolutely! While Vidalia onions provide a wonderful sweetness, you can use other sweet onions or even yellow onions, but be mindful that sharper onions will give a slightly different flavor profile.

Can I make this dip ahead of time?

You can prepare the onions and dip base ahead of time and keep it refrigerated. However, I recommend baking it just before serving to maintain that fresh cheesy texture and aroma.

What should I serve this Tennessee Onion Dip with?

This dip goes wonderfully with crackers, toasted bread, pita chips, or crisp vegetables like carrots and bell peppers. For parties, I love offering an assortment for everyone to find their favorite pairing.

Is this Tennessee Onion Dip Recipe difficult to make?

Not at all. It's straightforward—just cook the onions slowly, mix with the creamy ingredients, then bake. It’s a perfect recipe if you're comfortable sautéing and mixing, and a great one to impress friends with minimal effort.

Final Thoughts

This Tennessee Onion Dip Recipe has a special place in my recipe box because it’s simple but feels so indulgent. I love sharing it with friends, watching it disappear with little more than laughter and good conversation. When you try it, I hope you feel that same warmth and satisfaction—it’s a dip that really brings people together.