Caramelized Onion Dip

I grew up on the boxed stuff but this version is wicked simple and tastes way better. Takes about 45 minutes but most of that is just waiting for the onions to do their thing.

June Arthurs
January 23, 2026
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Ingredients (~3 cups)

  • 1 Tbsp olive oil
  • 1 Tbsp salted butter
  • 3 large yellow onions, thinly sliced
  • 3 large shallots, thinly sliced
  • 1 1/2 Tbsp soy sauce
  • 2 1/4 cups sour cream
  • 3 Tbsp minced dehydrated onion
  • 1/3 cup mayonnaise
  • 1 Tbsp minced dehydrated garlic
  • 1 1/2 tsp umami seasoning (optional)
  • 1 Tbsp Worcestershire sauce
  • 1 1/2 Tbsp Dijon mustard
  • 1/4 cup minced fresh chives
  • Salt and freshly ground pepper to taste

Caramelize the Onions and Shallots

Add the butter and olive oil to a large skillet over medium-low heat.

Once the butter melts, add all the sliced onions and shallots; season with a hit of salt and pepper.

Cook, stirring occasionally – you’re just waiting for them to get soft and translucent first, which takes ~10 minutes.

Once they’re soft, add the soy sauce and keep cooking. Stir every few minutes so they don’t stick to the bottom.

The onions are done when they’re deeply golden brown and smell sweet – this takes ~25-30 minutes total.

Take the skillet off the heat and allow the onions to cool completely to room temperature.

Mix Everything Together

Roughly chop the cooled caramelized onions – you don’t want huge chunks but don’t turn them into paste either.

In a large mixing bowl, combine the chopped onions with the sour cream, mayo, dehydrated onion, dehydrated garlic, umami seasoning, Worcestershire, and Dijon mustard.

Mix everything together and fold in the fresh chives.

Taste and season with salt and pepper – you’ll probably need more than you think.

Cover and refrigerate for at least 4 hours, but it’s way better if you make it the day before serving.

The flavors really come together after sitting overnight.

Caramelized Onion Dip

I grew up on the boxed stuff but this version is wicked simple and tastes way better. Takes about 45 minutes but most of that is just waiting for the onions to do their thing.
prep time15 minutes
cook time40 minutes
resting or cooling time4 hours
total time4 hours 55 minutes

Ingredients

Ingredients (~3 cups)

  • 1 Tbsp olive oil
  • 1 Tbsp salted butter
  • 3 large yellow onions, thinly sliced
  • 3 large shallots, thinly sliced
  • 1 1/2 Tbsp soy sauce
  • 2 1/4 cups sour cream
  • 3 Tbsp minced dehydrated onion
  • 1/3 cup mayonnaise
  • 1 Tbsp minced dehydrated garlic
  • 1 1/2 tsp umami seasoning, optional
  • 1 Tbsp Worcestershire sauce
  • 1 1/2 Tbsp Dijon mustard
  • 1/4 cup minced fresh chives
  • Salt and freshly ground pepper to taste

Instructions

  • Heat butter and olive oil in skillet over medium-low heat.
  • Add sliced onions and shallots, season with salt and pepper.
  • Cook onions 10 minutes until soft, then add soy sauce.
  • Continue cooking 25-30 minutes until onions are golden brown and caramelized.
  • Cool onions completely at room temperature.
  • Roughly chop caramelized onions.
  • Mix chopped onions with sour cream, mayo, dehydrated onion, dehydrated garlic, umami seasoning, Worcestershire, and Dijon mustard.
  • Fold in fresh chives.
  • Season with salt and pepper to taste.
  • Refrigerate at least 4 hours or overnight for best flavor.

Notes

Flavors develop and improve when chilled overnight.