Outback Steakhouse Potato Soup

The easiest way to make creamy Outback Steakhouse Potato Soup at home — loaded with cheddar, bacon, and real comfort in every bowl.

Updated

March 15, 2026

Bowl of Outback Steakhouse potato soup topped with shredded cheddar, bacon crumbles, sour cream, and sliced green onions

Outback Steakhouse Potato Soup is one of those restaurant dishes that stops a table mid-conversation. It is thick, loaded with sharp cheddar and bacon, and finished with that creamy tang that makes you want to eat the whole bowl before your entree arrives. I started making a homemade version after a particularly long week when going out was not happening but the craving was very real. It hit exactly right and cost a fraction of the restaurant price.

This recipe comes together in one pot with straightforward grocery store ingredients. The russet potatoes cook down in chicken broth, a simple flour and cream slurry thickens everything, and the cheddar and sour cream finish it into something that genuinely tastes like the original. Make this tonight!

Ingredients for Outback Steakhouse Potato Soup

I always grate my cheddar fresh for soups like this one because the pre-shredded bags contain anti-caking agents that make the cheese clump instead of melt smoothly. It takes two extra minutes and makes a noticeable difference in the final texture.

  • 4 large russet potatoes, peeled and diced into 1/2-inch cubes
  • 4 cups low-sodium chicken broth — I recommend low-sodium here since the bacon and cheddar both add salt
  • 1/4 cup all-purpose flour
  • 1 cup heavy cream, divided
  • 1/2 cup sour cream
  • 1/2 cup freshly shredded sharp cheddar cheese, plus extra for garnish — Pro tip: grate it yourself for the smoothest melt
  • 1/4 cup crumbled cooked bacon, plus extra for garnish — In my experience, thick-cut bacon crumbles better and adds more texture than thin strips
  • 2 tbsp butter
  • 1 tsp garlic powder
  • 1 tsp onion powder
  • Salt and pepper to taste
  • 2 green onions, thinly sliced (for garnish)

Step-by-Step Instructions

In my experience, the two steps that make or break this Outback Steakhouse Potato Soup are getting the flour slurry completely smooth before it hits the pot and keeping the heat low once the sour cream and cheese go in. Both are easy to get right as long as you do not rush.

Step 1: Place the diced russet potatoes in a large pot and pour in the chicken broth. Bring to a boil over medium-high heat, then reduce to a steady simmer. Cook uncovered for 15 minutes until the potatoes are completely fork-tender and soft enough to lightly mash.

Step 2: While the potatoes finish cooking, whisk the flour with 3 to 4 tablespoons of the heavy cream in a small bowl until the mixture is completely smooth with zero dry flour streaks. This slurry is what thickens the soup cleanly without lumps, so take an extra minute here if needed.

Step 3: Add the butter directly to the pot and stir until fully melted. Slowly pour in the flour and cream mixture while stirring constantly with a whisk or spoon. The broth should begin thickening within 1 to 2 minutes. Keep stirring so nothing sticks to the bottom.

Step 4: Pour in the remaining heavy cream and stir to combine. Let the soup simmer gently for 5 minutes, stirring occasionally, until it thickens further and coats the back of a spoon.

Step 5: Reduce heat to low. Add the sour cream, shredded cheddar, garlic powder, onion powder, salt, and pepper. Stir slowly until the cheese is fully melted and the soup looks smooth and uniform. Do not let it boil after the sour cream goes in or the broth may separate.

Step 6: Ladle into bowls and garnish with extra shredded cheddar, crumbled bacon, sliced green onions, and a small spoonful of sour cream if you like. Serve immediately with crusty bread.

Best Pairings for Outback Steakhouse Potato Soup

This soup is rich and filling, so the sides that work best bring a little freshness, crunch, or lean protein to round the meal out.

Crusty Bread or Sourdough: A thick toasted slice is the natural companion to a loaded potato soup. It holds up to the creamy broth for dipping without getting immediately soggy.

Simple Green Salad: A crisp romaine or mixed greens salad with a light vinaigrette is the easiest way to balance the richness of the cheddar and bacon. It keeps the meal from feeling heavy on a weeknight.

Grilled Cheese Sandwich: Leaning into the comfort food theme here works well. A grilled cheese with sharp cheddar alongside this soup is a combination that kids and adults both enjoy without any complaints.

Garlic Butter Chicken: A simple lean protein makes this a proper dinner instead of just a soup night. This Garlic Butter Chicken Broccoli comes together in one pan and its buttery, savory flavor is a natural match alongside the creamy potato soup.

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Melt in Your Mouth Chicken Breast: If you want something lighter and hands-off alongside the soup, this Melt in Your Mouth Chicken Breast is a reliable option that pairs well with any creamy, potato-based dish.

Another Cozy Soup: If you love thick, comforting soups and want a close variation on this style, this Hearty Cheddar Garlic Herb Potato Soup is a natural next recipe to try and shares the same loaded, cheesy comfort food profile.

Slow Cooker Chicken for an Easy Dinner Spread: For a fuller table on a weekend, this Slow Cooker Salisbury Chicken Meatballs runs in the background while the soup comes together on the stovetop, giving you two dishes with minimal active cooking time.

Storing and Reheating Your Soup

Store leftover Outback Steakhouse Potato Soup in an airtight container in the refrigerator for up to 4 days. The soup thickens significantly overnight as the potato starches continue absorbing the broth. That is completely expected and easy to fix when reheating.

Warm it gently on the stovetop over low to medium-low heat, stirring occasionally. Add a splash of chicken broth or cream to bring it back to your preferred consistency. I recommend the stovetop over the microwave because cream-based soups reheat more evenly with gentle, steady heat rather than bursts.

Pro tip: if you want to freeze this soup, it keeps for up to 3 months. Cream-based soups can sometimes look separated after thawing, but a slow reheat on the stovetop with a splash of fresh cream and steady stirring brings it back together well.

FAQs

Can I use half-and-half instead of heavy cream?

Yes. Half-and-half works well and produces a slightly lighter broth. Whole milk can also be used but the soup will be thinner. If using milk, let the soup simmer a little longer after adding the flour slurry to help it thicken.

How do I prevent the cheese from clumping in the soup?

Always add cheese over low heat after stepping back from a boil. Freshly grated cheese melts far more smoothly than pre-shredded. Stir slowly and consistently as it goes in and never rush this step.

Can I make this soup chunkier or smoother?

Both work depending on what you prefer. For a chunkier texture similar to the original Outback version, leave most potatoes intact. For a smoother bisque-style consistency, use a potato masher or immersion blender on part of the batch before adding the cream.

Conclusion

This Outback Steakhouse Potato Soup brings that restaurant-quality comfort to your own kitchen in under 45 minutes. One pot, simple ingredients, and a result that genuinely holds up to the original. Make a batch this week and enjoy even better leftovers the next day.

Outback Steakhouse Potato Soup

A creamy, cheesy copycat version of Outback Steakhouse potato soup loaded with tender russet potatoes, sharp cheddar, crispy bacon, and a rich cream broth. Ready in 40 minutes in one pot.
Prep Time 15 minutes
Cook Time 25 minutes
Total Time 40 minutes
Servings: 6 portions
Course: Dinner, Main Course, Soup
Cuisine: American
Calories: 320

Ingredients
  

  • 4 large russet potatoes peeled and diced into 1/2-inch cubes
  • 4 cups low-sodium chicken broth
  • 0.25 cup all-purpose flour
  • 1 cup heavy cream divided
  • 0.5 cup sour cream
  • 0.5 cup freshly shredded sharp cheddar cheese plus extra for garnish
  • 0.25 cup crumbled cooked bacon plus extra for garnish
  • 2 tbsp butter
  • 1 tsp garlic powder
  • 1 tsp onion powder
  • 2 green onions thinly sliced, for garnish
  • salt and pepper to taste

Equipment

  • Large pot or Dutch oven
  • Whisk
  • Small mixing bowl
  • Knife and cutting board

Method
 

  1. Place diced russet potatoes in a large pot and pour in the chicken broth. Bring to a boil over medium-high heat, then reduce to a steady simmer. Cook uncovered for 15 minutes until potatoes are completely fork-tender.
  2. In a small bowl, whisk the flour with 3 to 4 tablespoons of the heavy cream until completely smooth with no dry flour streaks remaining.
  3. Add butter to the pot and stir until melted. Slowly pour in the flour and cream mixture while stirring constantly. Continue stirring for 1 to 2 minutes until the broth visibly thickens.
  4. Pour in the remaining heavy cream and stir to combine. Simmer gently for 5 minutes, stirring occasionally, until the soup thickens further and coats the back of a spoon.
  5. Reduce heat to low. Add sour cream, shredded cheddar, garlic powder, onion powder, salt, and pepper. Stir slowly until the cheese is fully melted and the soup is smooth. Do not boil after adding sour cream.
  6. Ladle into bowls and garnish with extra shredded cheddar, crumbled bacon, sliced green onions, and sour cream. Serve immediately with crusty bread.

Notes

Always grate cheddar fresh for the smoothest melt. Make the flour slurry completely smooth before adding it to the pot to avoid lumps. Add a splash of broth or cream when reheating as the soup thickens significantly overnight. To freeze, store for up to 3 months and stir in fresh cream during reheating to restore creaminess.

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