Bacon & Onion Scalloped Potatoes: The Ultimate Comfort Food Side Dish. If there were ever a side dish that could steal the spotlight from the main course, it’s bacon and onion scalloped potatoes. Creamy, cheesy, smoky, and layered with love, this recipe takes a classic and cranks it up with crispy bacon and thinly sliced onions that add depth and a little drama to every bite.