Smoked Sausage and Caramelized Onion Potato Goulash Recipe

Alright, if I had to describe this dish in one word, it would be “cozy.” Imagine chilly evenings, wrapped in your favorite blanket, and the smell of sweet caramelized onions mingling with smoky sausage in the air. This goulash isn’t just food; it’s a warm hug from the inside out. The potatoes soak up all those rich, savory flavors, making every bite a satisfying, soul-warming experience. It’s the kind of meal you want to savor slowly, preferably with a big spoon and no distractions. Trust me—once you try this, it’ll be your go-to comfort food for those days when you need a little extra coziness on your plate.

Quick Facts

Yield: Serves 4–5
Prep Time: 15 minutes
Cook Time: 40 minutes
Total Time: 55 minutes

Ingredients

For the Main Dish:

1 lb smoked sausage, sliced into 1/2-inch rounds
4 large Yukon Gold potatoes, peeled and diced (about 4 cups)
2 large yellow onions, thinly sliced
3 cloves garlic, minced
3 tbsp olive oil or butter
1 1/2 cups chicken broth
1 tbsp smoked paprika
1 tsp dried thyme
Salt and pepper, to taste
2 tbsp tomato paste
1/4 cup sour cream (optional for garnish)
Fresh parsley, chopped (for garnish)

How I Make It

Step 1:

In a large skillet or heavy-bottomed pot, heat 2 tablespoons of olive oil or butter over medium heat. Add the sliced smoked sausage and cook until it’s nicely browned and slightly crispy on the edges, about 5 minutes. Transfer the sausage to a plate and set aside, leaving the flavorful drippings in the pan.

Step 2:

Add the remaining tablespoon of oil (or butter) to the same pan. Toss in the thinly sliced onions and a pinch of salt. Cook them low and slow, stirring occasionally, until they turn golden brown and caramelized—about 20 minutes. This step builds that incredible depth of flavor, so be patient!

Step 3:

Stir in the minced garlic and cook for about 1 minute until fragrant. Add the tomato paste, smoked paprika, and dried thyme, stirring everything together to coat the onions and garlic with those warm spices.

Step 4:

Now, toss in the diced potatoes and give everything a good stir to combine. Pour in the chicken broth, making sure it just covers the potatoes. Bring the mixture to a simmer, cover the pot, and let it cook for 20 minutes—or until the potatoes are fork-tender.

Step 5:

Once the potatoes are cooked through, stir the browned sausage back in. Taste and adjust seasoning with salt and pepper as needed. If you want the goulash a bit thicker, remove the lid and simmer uncovered for a few more minutes to reduce the liquid.

Step 6:

Serve hot, topped with a dollop of sour cream and a sprinkle of fresh parsley. The creamy tang of the sour cream really brightens up this smoky, hearty dish.

Variations & Tips

Swap Yukon Gold potatoes with red potatoes for a firmer texture.
Use spicy smoked sausage for a kick—or kielbasa if you prefer a milder flavor.
Add a handful of chopped bell peppers with the onions for extra color and sweetness.
If you want it vegetarian, substitute sausage with smoked tofu or mushrooms and use vegetable broth.
For a creamier goulash, stir in 1/4 cup heavy cream near the end of cooking.
Double the onions if you love that sweet caramelized flavor—onions are the heart of this recipe!

How I Like to Serve It

This goulash is perfect for a midweek dinner served right out of the pot with some crusty bread to soak up the juices. For chillier months, pairing it with a side green salad or roasted veggies turns it into a complete meal. It also makes fantastic leftovers—just reheat gently on the stove, adding a splash of broth or water if it gets too thick.

Notes

Store leftovers in an airtight container in the fridge for up to 3 days.
Reheat slowly over medium-low heat to keep the sausage juicy and the potatoes tender.

Closing: This smoked sausage and caramelized onion potato goulash always hits the spot because it combines simple ingredients with slow-cooked love, making every bite feel like a cozy evening at home.