Traeger Scalloped Potatoes

Traeger Scalloped Potatoes are thinly sliced Yukon Gold potatoes layered with a creamy, from-scratch sauce and cooked in cast iron on a pellet grill. These smoked scalloped potatoes cook covered first until tender, then uncovered until golden with a light smoky flavor. My version uses caramelized onions, full-fat milk, and chicken broth instead of a heavy cream-based sauce, with Gruyère left optional.

Why I Make These Smoked Scalloped Potatoes This Way

I wanted these smoked scalloped potatoes to taste rich and creamy without feeling overly heavy. So instead of building the sauce around heavy cream, I use whole milk and chicken broth with butter and flour. You still get that silky texture, but the potatoes and caramelized onions get to shine too.

One thing I've learned from cooking on my Traeger is that you don't need to smoke everything low and slow to get good flavor. For this recipe, 350°F gives the potatoes enough time to soften while still picking up a light smoky flavor. I cover the skillet first so the potatoes cook through, then uncover it at the end so the top can brown and the sauce can thicken around the edges.

I use Yukon Gold potatoes here because they turn creamy without falling apart, and I keep the Gruyère optional. That means you can make a classic scalloped potato side or add the cheese for something closer to au gratin potatoes. It's a simple real-food side dish that works just as well next to smoked turkey at Thanksgiving as it does with brisket or grilled steak.

If you're looking for more easy smoker recipes, try my smoked baked beans, Traeger smoked cream cheese, pellet grill salmon, or these easy Traeger baked potatoes.

Ingredients You'll Need

• Unsalted Butter: I use grass-fed butter, like Kerrygold, to caramelize the onions and build the base of the creamy sauce.
• Yellow Onion: Sweet yellow onion adds so much flavor here. Cooking it low and slow until caramelized gives the sauce a savory-sweet flavor that works really well with the smoke from the Traeger.
• Garlic: Fresh garlic is best for this recipe. It gets stirred into the caramelized onions right before the flour goes in, so you get plenty of flavor without letting it burn.
• Dried Thyme: Thyme pairs really well with potatoes, cream sauce, and smoky flavors. Fresh thyme works too if you have it on hand.
• Gluten-Free Flour: This thickens the sauce and helps it cling to the potato layers. I like Bob's Red Mill 1:1 Gluten Free Baking Flour, but regular all-purpose flour works if you don't need the recipe to be gluten-free.
• Chicken Broth: Chicken broth adds savory flavor and keeps the sauce from relying on heavy cream for richness. I like using my homemade rotisserie chicken broth when I have it on hand, but a good-quality store-bought broth like Kettle and Fire works too.
• Full-Fat Milk: Whole milk gives the sauce a creamy texture without making these scalloped potatoes overly heavy. I like using grass-fed full-fat milk when I can. I don't recommend low-fat or fat-free milk here since the sauce won't be nearly as creamy.
• Sea Salt & Black Pepper: Simple seasoning is all you need since the caramelized onions, thyme, broth, and smoke bring plenty of flavor.
• Yukon Gold Potatoes: My favorite potato for smoked scalloped potatoes. Yukon Golds turn creamy and tender as they cook but still hold their shape, which keeps those thin potato layers intact. Russet potatoes work too if that's what you have.
• Gruyère Cheese (Optional): Traditional scalloped potatoes don't need cheese. I like keeping it optional so you can make classic scalloped potatoes or add Gruyère for a richer dish that leans closer to potatoes au gratin. Sharp cheddar or Parmesan work too.

See the recipe card for full information on ingredients and quantities.

How To Make Traeger Smoked Scalloped Potatoes

This is an overview with step-by-step photos. Full ingredients & instructions are in the recipe card below.

Step 1. Using a mandolin or the slicing disk of a food processor, thinly slice potatoes so they are ⅛ - ¼ in thick. Lay your potatoes out on a paper towel or clean dishcloth so any excess moisture will be absorbed.

Step 2. To make the sauce, melt the butter in a skillet over medium-low heat, then add the onion. Cook the onions until caramelized, about 30 minutes. Add the garlic and thyme and cook for 1 minute. At this time, preheat your Traeger or pellet grill to 350°F.

Step 3. Add the gluten-free flour and cook for 1-2 minutes, over medium heat, stirring everything to combine.

Step 4.  Reduce the heat to low and combine the milk and broth. Slowly add the liquid to the skillet, a little at a time, whisking after each addition. The sauce will be very thick at first, so keep adding the liquid gradually and whisking until smooth. Once all the liquid has been added, remove the sauce from the heat and stir in the salt, pepper, and ¾ of the grated cheese, if using.

Step 5. Grease a 12-inch cast-iron skillet. Arrange ⅓ of the potato slices in the bottom and season with salt and pepper. Pour ⅓ of the cream sauce over the potatoes.

Step 6. Repeat with another layer of potatoes and cream sauce, then add the final layer. Top with the remaining cheese, if using. Cover the skillet tightly with aluminum foil, place it directly on the grill grates, and smoke for 1 hour.

Step 7. Uncover the potatoes and smoke for an additional 35-45 minutes or until golden brown and the potatoes are tender.

Step 8. After taking the dish off the grill, allow it to rest for 10-15 minutes to ensure the sauce sets and the flavors meld together beautifully.

Storage And Reheating

• Refrigerator: Store leftover smoked scalloped potatoes in an airtight container in the refrigerator for 3-4 days.
• Reheating: Place the potatoes in an oven-safe dish, cover loosely with foil, and warm at 325°F until heated through. If they look a little dry, add a small splash of milk before reheating.
• Make-Ahead Tip: You can prepare the potatoes ahead of time, cover the skillet, and refrigerate until you're ready to cook. Let the skillet sit at room temperature for about 20-30 minutes before placing it on the Traeger, so it isn't going straight from cold to hot.