This homemade caramelized onion dip is an all-time family favorite! It’s creamy, tangy and great for making in advance.
Bring this dip to any party or gathering and watch it disappear!

Meet your new favorite party appetizer! This creamy caramelized onion dip is SUCH a crowd pleaser, and it’s easy to see why.
Cream cheese dip, savory caramelized onions, and crisp crinkle cut potato chips are a perfect combination of flavors and textures. Fresh herbs and spices elevate this dip from the traditional spice mix version.
Many people have only had onion dip made from onion soup mix…but trust me when I say this homemade version is a million times better!
I’m certain this easy appetizer will become one of your party dip of choice from now on. Yes, it takes a little patience to caramelize the onions. But the end result is SO worth it!
Best of all, this chip dip is naturally gluten-free. So it’s a perfect dip to serve to friends and family members with a gluten allergy.
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Why You’ll Love This Recipe
- Creamy and tangy
- Naturally gluten-free
- Great for parties
- Better than store-bought
For more favorite appetizer recipes you also might like these recipes for 7 layer taco dip, bbq nachos, deviled eggs with relish, bacon wrapped dates, artichoke dip, stuffed mushrooms and jalapeno poppers.
We also can’t get enough of these gluten-free breadsticks!
Ingredients You’ll Need
Here’s what you’ll need to make this homemade caramelized onion dip:

- Sour cream: I recommend using full-fat sour cream for this recipe, but if you want to save calories you could use reduced-fat or plain Greek yogurt instead.
- Mayonnaise: Use a great tasted mayo for this dip! I like Hellmann’s best! You might like this article on does mayo have dairy.
- Seasonings: Salt, pepper, and cayenne pepper add some great seasoning to this dip. Adjust to taste!
- Cream cheese: Be sure to use softened cream cheese so that everything mixes together smoothly.
- Lemon juice: I prefer fresh lemon juice, but bottled lemon juice is a good alternative.
- Chives: Freshly chopped chives add beautiful green color to this dip! You could also use the dark green ends of green onions, if you prefer.
- Shallot: Shallots add more depth of flavor to this dip, since they’re a bit milder and sweeter than regular onions. I like to use a mandolin slicer to cut them.
- Garlic: Use fresh minced garlic, or minced garlic from a jar.
- Butter: You’ll melt butter to help caramelize the onions and add amazing flavor to the dip.
- Onion: I like to use sweet yellow onions (like Vidalia) for this recipe. Large onions are ideal! Cut them on a mandolin slicer to get uniform, super-thin slices.
- Worcestershire sauce: Worcestershire sauce isn’t always gluten-free, so be sure to check the label! (Check out Is Worcestershire Sauce Gluten-Free? to learn more!)
DAIRY-FREE? You can use vegan butter, dairy-free cream cheese (like the brand Kite Hill) and dairy-free sour cream to make this dip dairy-free.
We also love trader joe’s caramelized onion dip. They have a vegan caramelized onion dip!
How to Make This Recipe

- In a large skillet over medium or medium low heat, melt the butter. Add the sliced, large sweet onions, shallot, kosher salt, pepper and cayenne and saute for 10 minutes.
- Reduce the heat to medium-low and continue to cook slowly, for another 20-25 minutes. The onions should be deep golden brown and fragrant.
- Add the garlic and cook for another 1-2 minutes. Remove from the heat and allow the onion mixture to cool to room temperature.

- In a medium bowl, add the softened cream cheese, sour cream and mayonnaise. Mix together until smooth and well combined. (I usually use an electric mixer to do this, but you can also use a spoon if your cream cheese is very soft.)
- Mix in the celery salt, Worcestershire sauce, lemon juice and a little more salt and pepper (I add at least ¼ teaspoon each).

- Stir in the cooled onion mixture.
- Cover the bowl and refrigerate for at least 1 hour. (I like to make this a day in advance as the flavors just get better!)
- Stir again and sprinkle with chives if desired before serving. Serve with your favorite potato chips. Enjoy!
Leftover dates? Try making this banana date smoothie!
Storage Instructions
To store: Put leftover dip in an airtight container and store in the fridge for up to five days.
To make ahead: This is a GREAT make-ahead appetizer. The flavors get more intense and delicious over time! Feel free to make this dip a day in advance and store in the fridge until ready to enjoy.

FAQs
My caramelized onion dip is made with caramelized onions and shallots, spices, garlic, cream cheese, sour cream, and mayonnaise.
I prefer using butter to caramelize onions. It gives the onions a deeply caramelized flavor, since the butter browns slightly as it cooks.
You can add a touch of brown sugar to help caramelize onions, but it’s definitely not necessary! Sliced onions have natural sugars that slowly release and intensify as you cook them over low heat.
Expert Tips & Tricks
- I always make this caramelized onion dip at least one day in advance. It gives the flavors time to meld together and taste even better!
- I think a mandolin slicer is essential for this recipe! It helps get those ultra-thin onion slices that make this dip so delicious.
- Potato chips are a classic pairing with this dip, but you could also use your chip of choice. Bagel chips, tortilla chips, pita chips, corn chips, or veggie sticks are all great options!

MORE FAVORITE APPETIZERS
I hope you love this recipe as much as we do! If you try this caramelized onion dip, be sure to leave me a comment/rating below. I’d love to hear from you!

Caramelized Onion Dip (MAKE-AHEAD!)
Ingredients
FOR THE ONIONS:
- 4 tablespoons butter
- 3 large sweet onions such as Vidalia, cut into 1/8th inch slices
- 2 large shallots diced, about ½ cup
- ½ teaspoon salt
- ½ teaspoon pepper
- pinch of cayenne pepper
- 2 cloves garlic minced
FOR THE DIP:
- 8 ounces cream cheese at room temperature
- 1 cup sour cream
- 1 cup mayonnaise I use Hellmann’s
- 2 teaspoons celery salt
- 2 teaspoons Worcestershire sauce
- 1 teaspoon lemon juice
- More salt & pepper to taste
- 1 tablespoon minced fresh chives optional
Instructions
- In a large skillet over medium heat, melt the butter. Add the onions, shallot, salt, pepper and cayenne and saute for 10 minutes.
- Reduce the heat to medium-low and continue to cook slowly, for another 20-25 minutes. The onions should be deeply golden brown and fragrant.
- Add the garlic and cook for another 1-2 minutes. Remove from the heat and allow the onion mixture to cool to room temperature.
- In a medium bowl, add the softened cream cheese, sour cream and mayonnaise. Mix together until smooth and well combined. (I usually use an electric mixer to do this, but you can also use a spoon if your cream cheese is very soft.)
- Mix in the celery salt, Worcestershire sauce, lemon juice and a little more salt and pepper (I add at least ¼ teaspoon each). Stir in the cooled onion mixture.
- Cover the bowl and refrigerate for at least 1 hour. (I like to make this a day in advance as the flavors just get better!)
- Stir again and sprinkle with chives if desired before serving. Serve with your favorite potato chips. Enjoy!
Notes
- I always make this caramelized onion dip at least one day in advance. It gives the flavors time to meld together and taste even better!
- I think a mandolin slicer is essential for this recipe! It helps get those ultra-thin onion slices that make this dip so delicious.
- Potato chips are a classic pairing with this dip, but you could also use your chip of choice. Bagel chips, tortilla chips, pita chips, corn chips, or veggie sticks are all great options!
This dip is amazing! I think it is the best onion dip I have ever made, thank you for sharing!
This dip is literally the best!!! I didnt expect to love it as much as I did. Next time I plan to add some spice to it for an extra kick!
My husband adores caramelized onions so I knew I had to make this once I found this recipe Well it did not disappoint and he LOVED it!
I’m so glad it turned out for you! 🙂