Outback Steakhouse Potato Soup Recipe

The Best Outback Steakhouse Potato Soup

The first time I tried to recreate this at home, I failed miserably. I ended up with a thin, watery mess that tasted more like salty milk than the thick, rib sticking goodness you get at the steakhouse.

I realized I was rushing the process and skipping the very things that make this soup iconic: the smoky bacon foundation and the specific way the potatoes break down.

Now, whenever there is a chill in the air or it has been one of those long, busy days, this is my go to. It's dependable and tastes exactly like the version we all love, but for a fraction of the price.

The smell of the bacon rendering in the pot is enough to bring the whole family into the kitchen before the potatoes even hit the broth.

We are going for that specific velvety mouthfeel today. It is about the balance between the sharp white cheddar and the slight tang of the Greek yogurt, which we use as a budget friendly and healthier swap for heavy cream.

Trust me, once you see how those 1 inch potato cubes soften into the creamy base, you will never want the canned stuff again.

Why This Thick Soup Works

• Amylose Release: Russet potatoes are high in starch, which sloughs off during the simmer to naturally thicken the liquid without needing excessive flour.
• Fat Emulsification: The combination of grass fed butter and bacon fat creates a complex lipid base that carries the flavors of garlic and onion across the palate.
• Acid Balance: Adding Greek yogurt at the end provides lactic acid, which cuts through the heavy fats and prevents the soup from feeling "one note" or overly heavy.
• Casein Stability: By using 2% milk at room temperature, we prevent the proteins from clumping, ensuring a silky finish rather than a grainy one.

This method is quite similar to the foundation used in The Homemade Loaded recipe, where texture is the primary goal.

Comparing Speed and Quality

We choose the classic stovetop method here because it allows for the best control over the roux. It ensures the flour actually cooks through, removing that raw "pasty" taste that often ruins home cooked soups.

Detailed Ingredient Component Analysis

Understanding how these elements interact is the key to consistency. For instance, the bone broth isn't just for flavor the gelatin helps the milk and fats stay unified as the soup cools, preventing that oily separation you sometimes see in leftovers.

Essential Ingredients and Smart Swaps

To make this Outback Steakhouse Potato Soup recipe, you will need the following items. I have included some smart substitutions that I have tested when my pantry was looking a bit bare.

• 6 large Russet potatoes: Roughly 1.2 kg, peeled and cubed. Why this? High starch content is essential for the signature thickness.
  • Substitute: Yukon Gold potatoes (will be slightly less thick but more buttery).
• 6 slices thick cut bacon: Diced before cooking. Why this? Provides the smoky fat base for the entire recipe.
  • Substitute: Turkey bacon with 1 tbsp extra butter for fat.
• 1 large yellow onion: Finely minced. Why this? Provides a foundational sweetness that balances the salt.
  • Substitute: White onion or 2 large shallots.
• 3 cloves garlic: Smashed and minced. Why this? Smashed garlic releases more oils for better infusion.
  • Substitute: 1 tsp garlic powder added to the flour.
• 4 cups low sodium chicken bone broth: Why this? Adds body and nutrients without overwhelming the potato flavor.
  • Substitute: Vegetable broth or water with bouillon base.
• 1/4 cup unsalted grass fed butter: Why this? Creates the roux and adds a rich, creamy mouthfeel.
  • Substitute: Ghee or avocado oil.
• 1/3 cup all purpose flour: Why this? Bonds with the fat to create a stable thickening agent.
  • Substitute: 1/4 cup cornstarch (slurry method at the end).
• 3 cups 2% milk: Room temperature. Why this? Provides the creamy liquid base without the heaviness of cream.
  • Substitute: Whole milk or unsweetened soy milk.
• 1/2 cup plain non fat Greek yogurt: Why this? Adds a tangy finish and creamy texture with extra protein.
  • Substitute: Sour cream (classic choice) or heavy cream.
• 1.5 cups sharp white cheddar cheese: Freshly shredded. Why this? Sharpness cuts through the starch; white cheddar keeps the color authentic.
  • Substitute: Yellow sharp cheddar or Monterey Jack.
• Seasonings: 1 tsp sea salt, 1/2 tsp cracked black pepper, 1/4 tsp cayenne pepper.
• 2 tbsp fresh chives: Thinly sliced for garnish.

Gear for a Velvety Finish

You don't need a professional kitchen, but a few specific tools make this much easier. A heavy bottomed pot, like a 6 quart Dutch oven (Lodge is a great dependable brand), is my favorite because it holds heat evenly. This prevents the milk from scorching on the bottom, which is a total nightmare to clean up.

You will also want a sharp vegetable peeler and a sturdy whisk. When you are building the roux, a whisk is non negotiable for getting out those tiny flour lumps. If you prefer a smoother soup, keep an immersion blender nearby, though the classic Outback style definitely has those soft potato chunks.

Chef Tip: Freeze your bacon for 10 minutes before dicing. It makes it much firmer and easier to cut into perfect, even squares that will shatter beautifully once fried.

step-by-step Cooking Instructions

Phase 1: Rendering and Aromatics

1. Crisp the bacon. Place diced bacon in the cold Dutch oven and turn the heat to medium, cooking until the fat renders and the pieces are crispy. Note: Starting cold allows the fat to render slowly without burning the meat.
2. Remove and drain. Use a slotted spoon to move the bacon to a paper towel, leaving about 2 tablespoons of fat in the pot.
3. Sauté the aromatics. Toss in the minced onion and cook for 5 minutes until translucent and soft.
4. Add the garlic. Stir in the smashed garlic for 1 minute until fragrant but not browned.

Phase 2: The Starchy Simmer

5. Simmer the potatoes. Pour in the 4 cups of chicken bone broth and add the cubed Russet potatoes.
6. Cook until tender. Bring to a boil, then reduce to a simmer for 15 to 20 minutes until potatoes are fork tender.

Phase 3: Building the Velvety Base

7. Create the roux. In a separate small saucepan, melt the 1/4 cup butter and whisk in the 1/3 cup flour for 2 minutes until it smells slightly nutty.
8. Whisk in milk. Gradually pour the room temperature milk into the flour mixture, whisking constantly until a thick, smooth sauce forms.
9. Combine the pots. Pour the white sauce into the potato and broth pot, stirring gently to integrate.

Phase 4: The Finishing Touch

10. Add the final layers. Stir in the shredded white cheddar, sea salt, pepper, and cayenne.
11. Temper the yogurt. Remove the pot from the heat and stir in the Greek yogurt until completely smooth and incorporated.
12. Garnish and serve. Ladle into bowls and top with the reserved crispy bacon and fresh chives.

Solving Common Kitchen Mistakes

Sometimes things go wrong, even on a normal Tuesday. The most common issue with this Outback Steakhouse Potato Soup copycat is the texture. If you notice your soup is looking a bit thin, don't panic. You can take a potato masher and gently smash about a quarter of the potato chunks directly in the pot.

This releases more starch and immediately thickens the liquid.

Quick Fix Table

Common Mistakes Checklist

• ✓ Never boil the soup once the cheese and yogurt are added (this causes curdling).
• ✓ Don't use pre shredded cheese; the cellulose coating ruins the velvety melt.
• ✓ Keep potato cubes consistent at 1 inch to ensure they all finish cooking at the same time.
• ✓ Ensure the flour and butter mixture (roux) cooks for at least 2 minutes to remove the raw flour taste.
• ✓ Stir the bottom of the pot frequently after adding milk to prevent scorching.

Simple Variations and Flavor Tweaks

If you want to change things up, this base is incredibly forgiving. For those who want a bit of a kick, adding a diced jalapeño with the onions at the beginning works wonders. It gives it a "Loaded Jalapeño Popper" vibe that is honestly brilliant.

• If you want a thicker soup, use a potato masher to crush half the potatoes.
• If you want a lighter version, swap half the potatoes for cauliflower florets.
• If you want more protein, stir in some shredded rotisserie chicken at the very end.

For a different flavor profile entirely, you might enjoy my Classic Chicken Tortilla recipe, which uses a similar simmering technique but with brighter, zestier notes.

Smart Budget Alternatives

Debunking Starchy Soup Myths

A common misconception is that you need heavy cream to make a soup "steakhouse thick." That is just not true. The starch from the Russets combined with a proper roux provides all the structure you need. In fact, using too much heavy cream can often mask the delicate flavor of the potatoes and bacon.

Another myth is that you should soak the potatoes before cooking to "clean" them. For this specific Outback Steakhouse Potato Soup recipe, we actually want that surface starch. If you soak them, you're washing away the very thing that helps emulsify the broth.

Just peel, chop, and drop them straight into the pot.

Storage and Reheating Basics

Storage: This soup keeps beautifully in the fridge for up to 4 days. In fact, like many stews, the flavors often deepen by day two. Store it in an airtight glass container to keep the bacon scent from taking over your fridge.

Freezing: I don't recommend freezing this soup. Because it contains milk and Greek yogurt, the texture can become grainy and "broken" once thawed. It is much better enjoyed fresh or within a few days.

Zero Waste Tip: Don't throw away those potato peels! Toss them with a little oil and salt and put them in the oven or follow a potato wedges air fryer recipe style of cooking for a crispy kitchen snack while the soup simmers.

Best Sides for This Meal

This soup is a meal on its own, but it pairs perfectly with a crusty loaf of sourdough or even a simple side salad with a tangy vinaigrette. If you are looking for more comfort, a Stuffed Cabbage Soup recipe or even a Panera Tomato Soup recipe can offer a similar "cafe style" lunch experience during the week.

We usually serve this with a side of steamed broccoli or a quick honey mustard coleslaw to add some crunch and freshness to the table. It is the kind of meal that makes everyone slow down and actually enjoy the evening.

Trust me on the Greek yogurt swap it is the secret to that dependable, professional finish every single time.

High in Sodium (⚠️)