Forget store-bought nacho sauce—homemade tastes so much better and is easier to make than you think! In under 10 minutes, you can whip up a delicious, cheesy masterpiece that’s perfect as a dip or poured over nachos. And honestly, we won’t judge if you eat it by the spoonful—it’s that good!

Pair this with our ultimate nacho recipe or drizzle it over our pulled pork nachos for cheesy kick!

Why Our Recipe

  • Easy to make in under 10 minutes and uses only 5 ingredients.
  • Gives you the option of using real cheddar cheese or Velveeta-style processed American cheese.
  • Basic preparation with options to build more flavor and heat.
side view of bowl of homemade nacho cheese sauce

It may sound cheesy, but nacho cheese sauce is downright irresistible! Think of it as a cheese gravy—what’s not to love about that? Serve it with chips, pretzels, crackers, or use it to top your favorite nachos. You can even drizzle it over steamed vegetables or smother a baked potato with it. With so many pairing options, this sauce is perfect for anyone who just can’t get enough cheese.

Ingredient Notes

top view of raw ingredients needed to make homemade nacho cheese sauce
  • Butter: Use salted butter or unsalted butter with a pinch of salt.
  • All-Purpose Flour: Stick with classic all-purpose flour for this recipe.
  • Cayenne Pepper: Optional but gives the nacho cheese sauce a bit of a spicy kick.
  • Milk:

Real Cheddar vs Processed Cheese

Let’s talk about cheese! When it comes to nacho cheese sauce, you have plenty of options, each delicious in its own way. Our top choice is real cheddar—preferably freshly grated sharp cheddar for its superior flavor and smoother melting.

Pre-shredded cheddar from a bag contains additives to prevent clumping, which can also affect how well it melts. Keep in mind that cheddar cheese tends to create a thinner, slightly grainier sauce.

Processed cheeses like Velveeta are another classic option for nacho cheese sauce. They result in a thicker, smoother, and creamier sauce, though some people prefer to avoid the processed taste of American cheese. The choice is yours, and each option brings its own unique texture and flavor to the table!

Build More Flavor

Diced Onions and Garlic: Sauté some finely diced onions and garlic in the butter before adding the flour. It gives the sauce a flavorful, aromatic kick!

Beer: Swap out up to half the milk for a light beer to add a rich, malty vibe to your sauce.

Cumin or Ground Mustard: Toss in 1/2 teaspoon of cumin or ground mustard for an easy way to amp up the flavor.

Taco Seasoning: A teaspoon of taco seasoning is all you need for bold, zesty, Mexican-inspired goodness.

Roasted Veggies: Roasted poblano or red peppers are a game-changer, adding a smoky-sweet touch to your sauce.

Pepper Jack or Blue Cheese: For a cheesy twist, mix in some pepper jack for a little spice or crumble in blue cheese for a tangy, creamy finish.

hand dipping chip into bowl of homemade nacho cheese sauce

Build More Heat

Jalapeño, Serrano or Habanero Peppers : Finely dice fresh or pickled jalapeños and stir them in for an easy, spicy upgrade. For serious spice lovers, finely dice serrano or habanero peppers to really crank up the heat.

Hot Sauce: Add a dash of your favorite hot sauce, from mild Tabasco to sriracha, for customizable heat.

Chili Powder or Smoked Paprika: Stir in 1/4 teaspoon to create a more subtle heat.

Chipotle Peppers in Adobo: Blend in 1-2 teaspoons of finely chopped chipotle pepper for smoky heat that brings a burn.

Storage & Reheating Instructions

Refrigerate leftovers in an airtight container for up to 4 days.

Reheat portions in the microwave on high in 30-second increments until heated through or in a saucepan on the stove over medium heat. 

More delicious cheese dip recipes…

Watch the video below where Rachel will walk you through every step of this recipe. Sometimes it helps to have a visual, and we’ve always got you covered with our cooking show. You can find the complete collection of recipes on YouTube, our Facebook Page, or right here on our website with their corresponding recipes.