This creamy caramelized onion dip is a party favorite! With sweet onions, cream cheese, and a hint of garlic, it’s both rich and tasty.
You might want to keep some extra bread or chips handy because this dip is so good, you’ll be going back for more! 😄 I love serving it warm with crispy crackers—perfect for sharing!
Key Ingredients & Substitutions
Yellow Onions: These are the best choice for caramelizing due to their natural sweetness. If you’re short on time, sweet onions can work too. I find Vidalia onions to be a great alternative.
Cream Cheese: This gives the dip its creamy texture. If you’re looking for a lighter option, consider using Greek yogurt instead—just keep in mind it will change the flavor slightly.
Sour Cream: Adds tanginess to the dip. You can replace it with plain yogurt for a healthier twist. I’ve used both and love them equally!
Butter: Unsalted butter is preferred for controlling the saltiness. If you’re dairy-free, olive oil or a plant-based butter will work too.
Fresh Parsley: It brightens up the dip. If you don’t have fresh parsley, dried herbs like dill or chives can still add good flavor!
How Can I Caramelize Onions Perfectly Without Burning Them?
Caramelizing onions is a simple process but requires some patience. Here’s how you can do it right:
- Start with medium-low heat to prevent burning. It’s better to go slow!
- Add the onions to the skillet with melted butter, along with a sprinkle of sugar to help them brown.
- Stir occasionally, scraping the bottom to release any caramelized bits; this adds flavor.
- Cook until they are deeply golden and very soft, which usually takes 30-40 minutes.
- Once done, set them aside to cool before adding to your dip mixture.
Remember, less heat and more time is key for the best results! Enjoy the sweet, rich flavor they bring to the dip.

How to Make Caramelized Onion Dip
Ingredients You’ll Need:
For the Dip:
- 3 large yellow onions, thinly sliced
- 3 tbsp unsalted butter
- 1 tsp sugar
- 8 oz cream cheese, softened
- 1/2 cup sour cream
- 1/2 cup mayonnaise
- 2 cloves garlic, minced
- 2 tbsp fresh parsley, finely chopped
- 1/2 tsp salt (adjust to taste)
- 1/4 tsp black pepper
- Optional: pinch of smoked paprika or cayenne for a subtle kick
For Serving:
- Toasted baguette slices
- Carrot sticks
- Celery sticks
How Much Time Will You Need?
This delicious caramelized onion dip requires about 10 minutes to prepare and 30 to 40 minutes for the onions to caramelize. After mixing everything together, it’s best to chill for at least an hour. In total, you’re looking at about 1.5 hours, but most of that is hands-off while the onions do their magic!
Step-by-Step Instructions:
1. Caramelizing the Onions:
In a large skillet, melt the butter over medium-low heat. Once it’s melted, add the sliced onions and sprinkle them with sugar. This will help them caramelize even better! Cook the onions slowly, stirring occasionally, for about 30 to 40 minutes until they turn a deep golden brown and are soft and sweet. Just make sure to keep an eye on them so they don’t burn! When they’re done, remove from the heat and let them cool.
2. Mixing the Dip:
In a mixing bowl, combine the softened cream cheese, sour cream, and mayonnaise. Use a hand mixer or a sturdy whisk to blend everything together until smooth and creamy. Next, stir in the minced garlic, chopped parsley, salt, and black pepper. Now, it’s time to add your caramelized onions!
3. Finishing Touches:
Chop half of the caramelized onions finely and mix them into the creamy mixture. Reserve the other half to sprinkle on top before serving for that lovely presentation! Transfer the dip to a serving bowl and spread out the reserved onions on top.
4. Serving Suggestions:
For the best flavor, let your dip chill in the fridge for at least one hour to let all those wonderful flavors meld together. When you’re ready to serve, bring out the toasted baguette slices, carrot sticks, celery sticks, or your favorite dippers. Enjoy!
Can I Use Another Type of Onion for This Recipe?
Yes, while yellow onions are the best for caramelizing due to their sweetness, you can also use sweet onions like Vidalia or even red onions for a different flavor profile. Just keep in mind that cooking times may vary slightly.
How Long Can I Store Leftover Dip?
Leftover caramelized onion dip can be stored in an airtight container in the refrigerator for up to 3 days. Just give it a good stir before serving it again to refresh the texture!
Can I Make This Dip Vegan?
Absolutely! To make a vegan version, substitute the cream cheese with a vegan cream cheese alternative and use a plant-based mayo and sour cream. This way, you keep the creamy texture while making it dairy-free!
What Should I Serve with This Dip?
This dip pairs wonderfully with toasted baguette slices, crackers, or fresh veggies like carrots and celery sticks. You can also use pita chips for an extra crunch! Feel free to get creative with your dippers!
