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Preheat your oven to 375°F (190°C). Grease a 9×13-inch baking dish.
Prepare the Potatoes and Ham:
Arrange half of the sliced potatoes in an even layer in the prepared baking dish. Top with half of the diced ham and half of the chopped onion.
Make the Cheese Sauce:
In a medium saucepan, melt the butter over medium heat. Add the flour and cook, stirring constantly, for about 1-2 minutes, until the mixture is lightly golden.
Gradually whisk in the milk, ensuring there are no lumps. Continue to cook, stirring frequently, until the sauce thickens, about 5-7 minutes.
Remove from heat and stir in the salt, black pepper, garlic powder, onion powder, ground mustard, and paprika. Add 1 1/2 cups of the shredded cheddar cheese, stirring until melted and smooth.
Assemble the Dish:
Pour half of the cheese sauce over the first layer of potatoes and ham.
Repeat with the remaining potatoes, ham, and onion, followed by the remaining cheese sauce.
Top with Cheese:
Sprinkle the remaining 1/2 cup of shredded cheddar cheese evenly over the top.
Bake:
Cover the baking dish with aluminum foil and bake in the preheated oven for 45 minutes.
Remove the foil and bake for an additional 15-20 minutes, or until the top is golden and the potatoes are tender.
Garnish and Serve:
Let the dish cool for a few minutes before serving. Garnish with chopped fresh parsley if desired.
Prep Time: 20 minutes | Cooking Time: 1 hour 10 minutes | Total Time: 1 hour 30 minutes
Servings: 6-8
Enjoy this Ham and Potato Au Gratin as a delicious and hearty dish that’s sure to satisfy!