These Cheesy Air-Fryer Scalloped Potatoes are an easy side dish that is ready in half the time it takes to make them in the oven! All you have to do is slice the potatoes, cover them in a deliciously creamy, cheesy sauce, and air-fry until tender.

A wooden spoon lifting up a serving of air fryer scalloped potatoes out of a cake pan.

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These homemade scalloped potatoes (or potatoes au gratin) are perfect any time of the week or for a special holiday dinner. They go perfectly with Double Smoked Ham on a Pellet Grill or Baked Ham With Pineapple Glaze.

I always serve this holiday side dish for Easter dinner, or anytime I want something a bit more special. For more potato recipes, check out Smoked Cheesy Potatoes On Pellet Grill and Instant Pot Scalloped Potatoes And Ham.

Ingredients

To make these easy air fryer scalloped potatoes, you will need the following ingredients:

Potatoes
Butter or margarine
Onion
Garlic
All-purpose flour
Salt and pepper
Paprika
Milk
Cheddar cheese
Parmesan cheese
Optional: Fresh parsley for garnish

See the printable recipe card below for a full list of ingredients and measurements.

What kind of potatoes should I use?

You can use any kind of potatoes. I like to use red potatoes or russet potatoes.

How To Make Air Fryer Scalloped Potatoes

Slice the potatoes about ⅛ inch thick with a mandolin or with a sharp knife.
Melt butter in a saucepan over low-medium heat. Add the onion and garlic and cook for 3 minutes.
Add the flour, paprika, salt, and black pepper, and cook for 1 minute. Whisk in the milk slowly, turn to medium heat, and bring the mixture to a boil. Boil for one minute, stirring constantly.

Collage showing the steps for air fryer scalloped potatoes: Slicing potatoes thinly with a mandolin, melting butter in a saucepan with onion and garlic, then adding flour, spices, and gradually whisking in milk to form a creamy sauce.

Layer half of the sliced potatoes in a greased dish that will fit inside your air fryer basket. Overlap them slightly. Pour half of the sauce over top, and top with half of the cheddar cheese and half of the Parmesan cheese.

Collage detailing steps for assembling air fryer scalloped potatoes: Layering sliced potatoes in a greased dish suitable for the air fryer basket, slightly overlapping, followed by drizzling half the sauce and topping with a mix of cheddar and Parmesan cheese.

Layer the rest of the potatoes on top, followed by the rest of the sauce and the rest of the cheese. Cover tightly with aluminum foil.

A collage continuing the air fryer scalloped potatoes preparation: Adding a second layer of potatoes, covering with the remaining sauce, and sprinkling the rest of the cheeses before sealing tightly with aluminum foil.

Cook the potatoes at 360 degrees F for 30 minutes. Remove the foil, then air fryer for another 10-15 minutes until the potatoes are tender and the top is golden and bubbly.
If desired, garnish with fresh parsley and let it rest for a few minutes before serving - they will be extremely hot! Enjoy!

A collage detailing the final steps in making air fryer scalloped potatoes.

Substitutions

Potatoes: You can use any type of potato you like. Just make sure to slice them thinly so they cook evenly. Thicker potatoes will take longer to cook, and the top may burn before they are tender.

Aromatics: I used red onion and garlic. You can use any type of onion, dried onion, or dried garlic.

Milk: Substitute with half-and-half or heavy cream for a richer sauce, or use 1% for a lighter sauce.

Cheese: I used white cheddar cheese and Parmesan cheese. Substitute these with your favorite type of cheese. Gruyère, smoked gouda, or a blend of mozzarella and provolone would all be delicious.

Variations

Add-Ins: Add layers of cooked bacon, ham, or sautéed mushrooms or bell peppers between the potato layers.
Spicy: Add diced jalapeños, a dash of cayenne pepper, or a spoonful of chili flakes to the sauce or layer them between the potatoes.

Equipment

A baking dish that will fit inside your air fryer basket. I have a large air fryer so I used an 8-inch cake pan.
Knife.
Cutting board.
Optional: Mandolin

How To Store And Reheat Air Fryer Scalloped Potatoes

Store leftover air-fried scalloped potatoes in the refrigerator in an airtight container for 3-4 days.
Wrap the potatoes in plastic wrap and aluminum foil and freeze for up to 2 months. Defrost in the refrigerator overnight before using.
To reheat scalloped potatoes in the air fryer, preheat it to 350°F (or use the Reheat function) and place the potatoes in the basket in a container. Heat for 3-5 minutes, or until they're warmed through.

3 Top Tips For Success

Cut your potatoes to the same thickness so they cook evenly. I use a mandolin slicer to make it super easy.
Overlap the potatoes slightly, not too much; otherwise, they won't cook properly.
All air fryers cook differently, so you may need to adjust the cooking time. After you uncover it, check frequently to make sure they do not burn on top.