Return of the Old Fashioned Caramelized Onion Dip Recipe

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Old fashioned caramelized onion dip served in a small bowl with a platter of Lay's potato chips.

Return of the old-fashioned caramelized onion dip is a thing. I’m as shocked as anyone, but it’s true: onion dip is back, and it’s not the onion soup mix version of our childhood; it’s even better, and it’s one of my Sunday favorites with Cindy and Mary Ann.

When I was growing up, my mom always had a box of Lipton Onion Soup Mix in the pantry. I’m pretty sure the small square box contained three packets: one packet and some sour cream. That’s it—two ingredients, and you have a dip—the kind of dip from the 1950s and 60s. I remember it having so much flavor. It also reminds me of the movie Julie & Julia, in which Julia Child and Simone Beck try to convince their publisher that their cookbook is what American women want. Their publisher, however, said, “Women are looking for easy recipes, something with a mix.”

So, what is in the updated version of homemade caramelized onion dip? 

The updated version of the onion soup dip has slightly more than two ingredients, but it is still easy and delicious. The only thing that takes a little time and a little patience is caramelizing the onions. But trust me, it’s well worth it.

Simple ingredients

All the ingredients are in small containers on a kitchen counter ready to make the old fashioned caramelized onion dip.
  • Onions (yellow onions, sweet onions, or sweet Vidalia onions)
  • Cream cheese
  • Mayonnaise
  • Sour cream
  • Unsalted butter
  • Vegetable oil (or olive oil)
  • Salt
  • Black pepper
  • Cayenne pepper
  • Fresh chives

Instructions for making easy caramelized onion dip

  1. Peel the onions, cut them in half, and slice them into about 1/8″ thick slices.
  2. Add the butter and vegetable oil to a large skillet set on medium heat until the butter is melted and covers the bottom of the pan. Add the sliced onions, salt, pepper, and cayenne and cook until soft, about 10 minutes.
  3. Reduce heat to medium-low and cook for about 20 more minutes, always giving them a quick stir, until the onions are a deep golden brown color. Set aside to cool.
  4. Once the onions are cool, place them in a food processor and pulse a few times to roughly chop them. Alternatively, you can chop them on a cutting board with a sharp knife. Reserve a few caramelized onion bits for sprinkling on top of the dip as a garnish.
  5. Using a stand mixer fitted with the paddle attachment, add the cream cheese, mayonnaise, and sour cream and beat until the mixture is smooth.
  6. Add the onions to the mayonnaise, cream cheese, and sour cream mixture and beat again until smooth.
  7. Transfer the mixture to a serving bowl, top with chopped chives, and serve at room temperature.

What can I serve with the creamy caramelized onion dip?

The creamy base makes this the perfect dip for serving with almost anything. I like to place it in the center of a serving platter and surround it with potato chips (or pita chips), some sliced cucumbers, baby carrots, sliced bell peppers, and other favorite vegetables.

Can I make any substitutions for this recipe?

If sour cream and mayonnaise is too rich for you, you could try substituting with some plain Greek yogurt. I have seen that in some other recipes, although I haven’t tried it, so I can’t say how it would taste. 

Storing the caramelized onion dip

If you have leftovers, place them in an airtight container or in a bowl covered tightly with plastic wrap and store them in the refrigerator for up to a few days.

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The Return of the Old Fashioned Caramelized Onion Dip Recipe

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I’m as shocked as anyone, but it’s true: onion dip is back, and it’s not the onion soup mix version of our childhood; it’s even better.

  • Prep Time: 10
  • Cook Time: 30
  • Total Time: 40 minutes
  • Category: Appetizer
  • Method: Assemble

Ingredients

Scale
  • 2 large yellow onions
  • 4 oz. cream cheese (at room temperature)
  • 1/2 cup mayonnaise
  • 1/2 cup sour cream
  • 4 tablespoons unsalted butter
  • 1/4 cup vegetable oil
  • 1 teaspoon salt
  • 1/2 teaspoon black pepper
  • 1/4 teaspoon cayenne pepper
  • Fresh chopped chives

Instructions

  1. Peel the onions, cut them in half, and slice them in about 1/8″ thick slices.
  2. Add the the butter and vegetable oil to a large skillet set on medium heat until the butter is melted and covers the bottom of the pan. Add the sliced onions, salt, pepper, and cayanne and cook until soft, about 10 minutes.
  3. Reduce heat to medium low and cook for about 20 more minutes, always giving them a quick stir, until the onions are a deep golden brown color. Set aside to cool.
  4. Once the onions are cool, place them in a food processor and pulse a few times to roughly chop them. Alternatively, you can chop them on a cutting board with a sharp knife. Reserve a few caramelized onion bits for sprinkling on top of the dip as a garnish.
  5. Using a stand mixer fitted with the paddle attachment, add the cream cheese, mayonnaise, and sour cream and beat until the mixture is smooth.
  6. Add the onions to the mayonnaise, cream cheese, and sour cream mixture and beat again until smooth.
  7. Transfer the mixture to a serving bowl, top with chopped chives, and serve at room temperature.

Did you make this recipe?

Share a photo and tag us — we can’t wait to see what you’ve made!

Other Sunday favorites include a Father’s Day gift guide, an outfit of the week, and some new books!

Quince Compression Hard-Shell Cary-On Suitcase // Adidas Gazelle Sneakers // Vuori Sunday Element Sweatshirt // Quince Passport Holder and Luggage Tags // Quince Key Tag // Vuori Banks Shorts // Vuori All Ways Chino

All of the above are things Brent has and loves, or I’ll be getting him for Father’s Day. Our entire family is a fan of the brand Vuori. Vuori pants and really everything. They’re great for wearing every day and for travel. It’s like wearing really comfortable athletic wear that doesn’t necessarily look like you’re on your way to the gym.

Quince has great luggage options at amazing prices. Mary Ann has been raving about hers, so we ordered this carry-on with the compression feature.

Have you tried the Apple AirTags to keep track of everything from keys to luggage? They come in a set of four, and they’re so easy to set up with one tap on your iPhone. We always use them for travel.

Outfit of the Week Featuring Lemlem

Mariam Shirt from Lemlem // Sleevless Top // Black Chain Bracelet/Necklace // CORA Pouch from Lemlem // Black Linen Pants // Black Slides

Are you familiar with the Lemlem brand? I only recently understood the name. Lemlem means to bloom and flourish in the Ethiopian language of Amharic. It’s an artisan-driven brand made entirely and responsibly in Africa. Their core mission is to preserve the local art of weaving in Ethiopia and inspire economic growth on the continent. 

Lemlem is all about happy, colorful stripes, creating pieces that can be worn everywhere. I’m wearing the MARIAM Shirt in Genet Berry. It’s a beautiful woven shirt that I know I will be wearing for years. I’m wearing it today with a column of black. Linen pants, a sleeveless top, and these slides from Eileen Fisher. I love it when I find something that I know I can wear multiple ways the minute I try it on. You’re going to be seeing a lot of this gorgeous shirt. For reference, I’m 5’10” and wearing a size medium. It’s quite long and has pockets, so for some people, it could be worn as a dress or a swim coverup for sure.

What I’m Reading + Book of the Month

I just finished reading The Women- by Kristin Hannah. I could not put this book down…or I should say, take out my Airpods. The story of a girl from Coronado, California, enlists as a nurse in the army during the Vietnam War. It’s a beautiful story about family, friendships, the complexity of war, and so much more.

I recently joined Book of the Month. Have you heard of it? It’s a great way to find new books. BOTM has been around since 1926 and has a pretty good track record of promoting the top books.

The great thing about BOTM is that you can skip a month with no problem, and if you decide it’s not for you, you can easily cancel.

On a much lighter note, I am enjoying Beach Life, Lauren Liess’s newest book. I love all her books, but this one about beach life is really special.

Let’s see what Cindy and Mary Ann found this week!

Cindy Hattersley Design

Classic Casual Home

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Old fashioned onion dip on platter with mounded Lay's potato chips.

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13 Comments

  1. Isn’t that crazy about the carmelized onion dip? I have to be honest I usually cheat and buy Trader Joe’s version and put carmelized onions on top! I am going to try this one. Steve loves Vuori too. That shirt from Lem lem is beautiful!!

  2. I make French onion soup a lot and always use the slow cooker to caramelize the onions since I don’t have to stand at the stove, so convenient! I make this dip as well. Excellent!

  3. Annie! There’s nothing better during the summer (or anytime) than onion dip and chips. But homemade onion dip kicks it up a notch … I’m going to try your recipe! Happy weekend! xo

  4. Ahhh Annie!
    I always look forward to a post from you. I’m going to try your onion dip recipe the next time we have guests.
    Be well,
    Georgia

  5. Oh yes! Our family always had Lipton onion soup mix on hand. Yes to the dip! My parents loved to mix it into ground beef for charcoal grilled burgers. Yum!
    Another classic, back in the day was clam dip. There a delicious recipe on Bon Appetit’s website. It gets mixed reviews there, but I give it a big thumbs up!

  6. Annie,
    I too belong to book of the month! You are right, it is a great place to find something good to read.
    French Onion Dip!!!! My favorite. Actually I like any kind of dip and chips but this nostalgic dip makes me smile.
    You look beautiful in your outfit! Love the colors on you.

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