Old Fashion Squash Casserole

A close-up of a serving spoon holding a piece of peach cobbler with a crumbly topping, kitchen utensils and a wooden cutting board in the background.

This Old Fashioned Squash Casserole is creamy, buttery, and baked with a golden keto cracker topping for the perfect crunch. Tender yellow squash blends into a rich, comforting base that feels right at home on any dinner table.

Course Main Course, Main dishes, Side Dish, Side dishes

Cuisine American, International

Keyword casserole, casserole dish, casserole recipes, cheddar, cheddar cheese, cracker crumbs, crackers, onion, sour cream, squash and onion, squash casserole, squash casserole recipe, summer squash, yellow squash, zucchini

Prep Time 10

Cook Time 30

Servings Servings

Calories 531kcal

Author Zuzana Paar

Equipment

Ingredients

2 Pounds Yellow Squash about 5, sliced into ⅓-inch rounds
½ Cup Sweet Onion diced
1 Tablespoon Butter
10.5 Ounce Cream of Mushroom Soup
4 Ounce Cream Cheese softened
1 Piece Egg
8 Ounce Shredded Sharp Cheddar Cheese divided
½ teaspoon Salt
½ teaspoon Freshly Ground Black Pepper
1 Sleeve Keto Crackers about 25 crushed
4 Tablespoons Butter melted

US Customary - Metric

Instructions

Preheat oven to 375°Fahrenheit (190°Celsius) and grease a 2-quart dish; dice the onion, measure cheeses, and crush the keto crackers.
Cut yellow squash into thick rounds and place in a large bowl so they hold their texture while baking.
Sauté onion in butter until soft, then stir in cream cheese until melted and smooth.
Mix the onion blend with mushroom soup, egg, half the cheddar, salt, and pepper, then toss gently with the squash to coat.
Stir crushed crackers with melted butter and remaining cheddar to create a crunchy topping.
Spread mixture in the dish, top evenly, and bake 20–25 minutes until bubbly and golden.

Notes

Use fresh yellow squash: It has a naturally sweet flavor and soft texture that works perfectly in casseroles. Avoid overly large squash, as they can be watery and have tough seeds.
Use sharp cheddar cheese for more flavor: It melts beautifully and gives that rich, savory taste that balances the creamy base. Parmesan cheese can also be an option; mild cheese may taste flat in this dish.
Crush your cracker topping right before baking: This keeps it crispy and gives that satisfying crunch on top. You can even toast the cracker crumbs in butter beforehand for extra flavor.

Nutrition