Old School Squash Casserole

Section: Perfect Side Dishes to Complete Any Meal

This old-school squash casserole is a timeless Southern favorite, combining tender yellow squash, onions, and a rich, creamy sauce made with sour cream, mayo, and a trio of cheeses. It's topped with crushed buttery crackers and baked until golden brown. Perfect for holidays, potlucks, or comforting weeknight dinners, this dish strikes the perfect balance between texture and flavor. Prep it ahead or freeze for later — it's a versatile side that never disappoints.

A woman wearing glasses smiles for the camera.
Published By Ioana
Updated on Wed, 06 Aug 2025 17:56:06 GMT
A dish of old-school squash casserole. Bookmark
A dish of old-school squash casserole. | ioanacooks.com

This creamy casserole has been a go-to dish in my family for years especially at holidays and big Sunday dinners. Tender squash melds with onions cheese and a rich mayo blend all baked under a golden buttery cracker crust. It is comfort food at its best and always disappears fast at the table.

I first learned to make this after a neighbor brought it to a potluck. Since then I have tweaked the cheese combo and added fresh thyme to make it my own.

Ingredients

  • Yellow squash: provides the sweet earthy foundation and should be firm and bright
  • Yellow onion: adds savory balance and choose ones without soft spots
  • Unsalted butter: enriches the sauté and topping while giving control over salt levels
  • Kosher salt: keeps flavors balanced and enhances sweetness of squash
  • Large eggs: bind the mixture and give structure
  • Sour cream: makes the filling rich and creamy opt for full fat for best texture
  • Sharp Cheddar cheese: brings boldness that cuts through the creaminess
  • Swiss cheese: adds a mild nutty finish
  • Mayonnaise: contributes richness and silkiness
  • Fresh thyme: gives herbal brightness use fresh for best results
  • Black pepper: balances creaminess with a hint of spice
  • Round buttery crackers: form a crisp golden top use high quality for better crunch
  • Parmesan cheese: finishes the topping with sharpness and depth

Step-by-Step Instructions

Preheat the Oven:
Preheat oven to 350 degrees and grease an 11 by 7 inch baking dish with cooking spray to prevent sticking
Cook the Squash and Onion:
In a large skillet melt 3 tablespoons of butter over medium high heat then add sliced squash chopped onion and 1 teaspoon salt Stir frequently for about 10 minutes until squash is tender and most liquid has evaporated
Drain the Mixture:
Transfer cooked squash mixture to a colander placed over a bowl Let it drain for 5 minutes to remove excess moisture and cool slightly before combining
Mix the Filling:
In a large mixing bowl whisk eggs then stir in sour cream both cheeses mayonnaise remaining salt thyme and pepper Fold in the drained squash mixture gently to keep the pieces intact
Assemble in the Dish:
Spoon the mixture evenly into the prepared baking dish and smooth the surface with a spatula
Make the Cracker Topping:
Melt the remaining 3 tablespoons butter in a microwave safe bowl then mix in crushed crackers and Parmesan cheese Stir well until butter coats all the crumbs
Top and Bake:
Sprinkle the cracker mixture evenly over the filling then bake for 20 minutes or until topping is golden and crisp Let sit 5 minutes before serving
A close up of a casserole with chips and cheese. Bookmark
A close up of a casserole with chips and cheese. | ioanacooks.com

You Must Know

I love the tangy richness that sour cream adds to the base It reminds me of my grandmother who always insisted on using full fat dairy for flavor and texture

Storage Tips

Cool the casserole completely before storing in an airtight container It will keep in the fridge for up to three days For longer storage freeze it without the topping then add fresh crackers before reheating

Ingredient Substitutions

Greek yogurt can replace sour cream for a lighter version Zucchini works as a partial substitute for squash if needed and Italian breadcrumbs offer a different texture for the topping

Serving Suggestions

A close up of a casserole with chips on top. Bookmark
A close up of a casserole with chips on top. | ioanacooks.com

Pair this with roasted chicken or grilled pork for a complete Southern inspired meal It also works beautifully alongside a crisp green salad or fresh tomato slices

Cultural Context

This casserole has roots in Southern meat and three style dining where hearty vegetable sides are cherished It is a staple at church suppers and family reunions passed down through generations

Frequently Asked Questions About Recipes

→ Can I use zucchini instead of yellow squash?

Yes, zucchini can be used to supplement or replace yellow squash. It offers a similar texture and blends well with the other ingredients.

→ Why does my casserole turn out watery?

Too much moisture from the squash can cause this. Be sure to thoroughly drain the squash after sautéing to avoid excess liquid.

→ Can I prepare this dish ahead of time?

Yes, you can assemble the casserole in advance without the topping. Refrigerate and add the cracker topping just before baking.

→ How do I make the topping extra crispy?

Mix crushed buttery crackers with melted butter and bake uncovered to get a crisp, golden topping.

→ What cheeses work best for this dish?

A blend of Cheddar, Swiss, and Parmesan provides a rich, tangy, and nutty flavor. Feel free to experiment with your favorites.

→ Is it possible to freeze squash casserole?

Yes, assemble the dish without the topping and freeze. Thaw overnight, add the cracker topping, then bake as directed.

Old School Squash Casserole

Southern classic with tender squash, creamy cheese blend, and crisp buttery topping for a crowd-pleasing side.

Time Needed to Prep
25 minutes
Cooking Duration
40 minutes
Overall Time
65 minutes
Published By: Ioana

Category of Recipe: Side Dishes

Preparation Difficulty: Easy to Make

Type of Cuisine: Southern

Number of Portions: 8 How Many It Serves (1 casserole)

Dietary Preferences: Made for Vegetarians

Ingredients You'll Need

→ Base Mixture

Ingredient 01 6 tablespoons unsalted butter, divided
Ingredient 02 3 pounds yellow squash, sliced 1/4-inch thick
Ingredient 03 1 medium yellow onion, chopped (about 1 1/2 cups)
Ingredient 04 2 teaspoons kosher salt, divided
Ingredient 05 2 large eggs, lightly beaten
Ingredient 06 1 cup shredded sharp Cheddar cheese (4 ounces)
Ingredient 07 1/2 cup shredded Swiss cheese (2 ounces)
Ingredient 08 1 (8-ounce) container sour cream
Ingredient 09 1/2 cup mayonnaise
Ingredient 10 2 teaspoons chopped fresh thyme
Ingredient 11 1/2 teaspoon black pepper

→ Topping

Ingredient 12 2 sleeves round buttery crackers, coarsely crushed
Ingredient 13 1/4 cup shredded Parmesan cheese (1 ounce)

Steps to Follow

Step 01

Preheat oven to 350°F and grease an 11 x 7-inch baking dish with cooking spray.

Step 02

Melt 3 tablespoons butter in a large skillet over medium-high heat. Add squash, onion, and 1 teaspoon salt. Cook, stirring often, until squash is tender and liquid has evaporated, about 10 minutes.

Step 03

Transfer cooked squash mixture to a colander set over a bowl. Let drain for 5 minutes and discard any excess liquid.

Step 04

In a large bowl, stir together eggs, sour cream, Cheddar, Swiss, mayonnaise, thyme, pepper, and remaining 1 teaspoon salt. Gently fold in drained squash mixture.

Step 05

Spoon the squash mixture into the prepared baking dish, spreading evenly.

Step 06

Microwave remaining 3 tablespoons butter in a bowl until melted, about 25 seconds. Toss with crushed crackers and Parmesan until combined.

Step 07

Sprinkle cracker mixture evenly over the squash filling. Bake until golden brown, about 20 minutes.

Extra Tips

  1. Drain squash thoroughly after cooking to prevent a watery consistency.
  2. Slightly undercook squash during sautéing to avoid mushiness post-bake.
  3. Fold cooked squash gently into the mixture to maintain texture.

Tools You'll Need

  • Large skillet
  • Colander
  • Microwavable bowl
  • Mixing bowl
  • 11 x 7-inch baking dish
  • Oven

Allergen Information

Carefully check food labels for allergens and consult an expert if you're uncertain.
  • Contains dairy (butter, cheese, sour cream, mayonnaise)
  • Contains eggs
  • Contains gluten (crackers)