Scalloped Potatoes and Ham Recipe

This delicious scalloped potatoes and ham recipe is the ultimate comfort food! Thinly sliced spuds are layered with a creamy sauce, meat, and melty cheese. Bake the casserole dish until hot and bubbly.

Cheesy scalloped potatoes and ham inside a white casserole dish.

Recipe Science

Layering thinly sliced potatoes allows heat to distribute evenly, ensuring each slice cooks through without becoming mushy.
The cheese and cream mixture acts as a thickening agent, where heat causes the proteins and fats to coalesce, forming a rich, velvety sauce that binds the layers.
Baking the dish allows the top layer of cheese to brown and form a crispy crust through the Maillard reaction, adding a savory flavor and contrasting texture to the creamy interior.

Why It Works

Are you looking to feed hungry guests during the holidays, or want to make a comforting side dish for your loved ones? If so, try savory ham and scalloped potatoes. To make it more decadent than the traditional version, I use my potatoes au gratin recipe, leveled up with extra protein! The combination of tender spuds, salty pork, creamy bechamel sauce, and cheddar cheese is guaranteed to be a hit.

I use buttery Yukon gold potatoes as the base, then build layers of flavor into the casserole. Making a cheesy sauce using a classic roux for thickening only takes a few minutes. This dish is a great way to use any leftover ham! If you’ve got a busy schedule, the dish can be assembled the day before and baked when ready to serve.

Ingredients You’ll Need

Ingredients needed to make this scalloped potatoes and ham recipe.

Potatoes: Yukon gold potatoes are my top choice for scalloped potatoes. They hold their shape well and have a creamy and buttery taste. The skin is very thin, but I like peeling it so the layers meld together better.
Ham: Dice up some ham steak to add extra protein and savory flavor. You can use leftover baked ham or purchase slices from the grocery store. I use 8-ounce pieces, about ½ inch thick. Dice them into cubes to add to the casserole. You’ll need about 1 ½ cups of the cut ham. Thinly sliced deli ham or Canadian bacon also works well.
Onions: Finely chopped onions add an earthy and subtly sweet flavor to the dish.
Butter: Adds richness to the cream sauce.
Flour: Combined with butter to create a roux to thicken the sauce.
Milk: Whole milk adds richness to the sauce without being overly rich.
Cheese: Shredded sharp cheddar cheese creates a gooey, melty texture when baked.
Seasoning: Salt and pepper enhance the sauce’s savory taste, while nutmeg adds a sweet, baked aroma.

See the recipe card below for all ingredients and measurements (US and metric).

Ingredient Substitutions

Now that you know how to make scalloped potatoes with ham, try customizing the dish with these tasty options:

Potatoes: If you enjoy a starchier texture, you can use other types of potatoes, like white or Russet potatoes.
Alliums: Saute 1 tablespoon of minced garlic with the onions for extra allium flavor.
Herbs: Add fresh or dried thyme, rosemary, oregano, or Italian seasonings to the sauce.
Meat: Switch up the ham with crispy bacon, sausage, or turkey.
Cheese: Substitute the cheddar with smoked gouda, mozzarella, gruyere cheese, swiss, Colby, pepper jack, Monterey Jack, parmesan, or a mixture.

How to Make Scalloped Potatoes and Ham

Step 1: Preheat the Oven

Set the oven rack to the middle position for even cooking and preheat to 400ºF (200ºC).

Slices of Yukon gold potatoes on a cutting board.

Step 2: Prepare the Potatoes

To ensure the potatoes tenderize quickly in the oven, thinly slice them—target 1/8-inch thick pieces. After peeling, cut the potatoes with a sharp chef’s knife or mandoline slicer.

Yukon Gold tends not to brown as quickly when exposed to air as Russets, so you can leave them on the cutting board as you prepare the sauce. Cover with plastic wrap if you are using a starchier potato.

Milk being poured into a pan with white roux.

Add milk to a roux.

Grated cheddar cheese added to a pan of cream sauce.

Whisk in the cheese.

Whisk mixing a pan of creamy white sauce and cheese.

Step 3: Make the Cream Sauce

Make a quick bechamel sauce to add richness to the scalloped potatoes. In a saucepan, melt the butter over medium-low heat. Saute the onions until translucent, then add flour and whisk to create a roux—the fat and flour helps thicken the sauce.

Add whole milk while constantly stirring until a velvety consistency is achieved, just a few minutes. Add a pinch of nutmeg, salt, and pepper to flavor the sauce. Finally, stir in grated sharp cheddar cheese.

Cubes of ham placed on top of sliced potatoes.

Layer the potato slices, then top them with cubes of ham.

A layer of cream sauce added on top the sliced potatoes and cubes of ham.

Add the cream sauce.

Grated cheddar cheese layered on top of the cream sauce.

Step 4: Assemble the Casserole

Lightly grease an 8 by 8-inch baking dish, or a 9 by 9-inch is a good alternative. Add half of the sliced potatoes, overlapping to create a thick base. Sprinkle on half of the diced cooked ham, then spread on half of the cream sauce. Add half of the grated cheddar cheese on top. Repeat the layering process once more.

Pro Tip: From this step, bake immediately or cover and refrigerate for up to 24 hours.

Scalloped potatoes and melted cheese in a casserole dish taken right out of the oven.

Step 5: Bake the Dish

Cover the dish with aluminum foil before baking to trap the steam from the cooked potatoes, which will tenderize them faster. Bake for 40 minutes.

Remove the foil and continue baking until hot and bubbly and the cheese turns golden brown on the surface. The process takes about 20 to 25 minutes. Removing the cover helps to evaporate the moisture, allowing the cheese to brown.

Metal spoon lifting a serving of scalloped potatoes and ham out of a casserole dish.

Step 6: Garnish and Serve

Let the casserole cool for 10 minutes so the layers stick together. Garnish with sliced chives right before serving.

Frequently Asked Questions

What’s the difference between scalloped and au gratin potatoes?

Scalloped potatoes are typically 1/4-inch, thickened with cream and milk, and no cheese. Au gratin uses 1/8-inch thick pieces, layers on a bechamel sauce, and cheese.

Can I make a larger casserole?

It’s easy to make a larger batch. Use a 13 by 9-inch baking dish, and double the recipe. Increase the time as needed, covering again with foil after browning the cheese if the potatoes are not yet tender.

How do you know when scalloped potatoes are done?

The potatoes in the center should pierce easily with a knife or the tines of a fork. The middle takes longer to cook than the edges. Let the casserole rest for 10 to 15 minutes to allow for carryover cooking of the spuds.

Can I slice the potatoes ahead of time?

Yukon Gold potatoes contain more sugar and less starch, so they don’t brown as quickly when exposed to oxygen. However, if not used within an hour, submerge them in a bowl of cold water, cover them, and refrigerate them. This reduces exposure to the air, and the cold temperature slows down enzyme activity. Store for up to 24 hours before assembling the casserole.