This Squash Casserole Recipe turns humble summer squash into the creamiest, cheesiest side dish on the table. It's the one dish that disappears first at potlucks and Sunday dinners alike.
Preheat oven to 350°F. Lightly coat a 9x13 inch baking dish with cooking spray. Slice squash into 1/4 inch rounds and chop the onion.
Melt 2 tablespoons butter in a large skillet over medium heat. Add squash and onion and cook, stirring occasionally, for 8-10 minutes until tender and translucent.
Pour the squash mixture into a strainer set over a bowl or sink. Drain for 5 minutes, then gently press out extra liquid with a spoon or paper towel to prevent a watery casserole.
In a large mixing bowl, whisk together sour cream, mayonnaise, and beaten egg until smooth. Stir in 1 cup of cheddar cheese, salt, pepper, and garlic powder until evenly combined.
Add the drained squash and onion to the creamy mixture and stir gently until fully coated, keeping some squash texture intact.
Pour the squash mixture into the prepared baking dish and spread into an even layer. Sprinkle the remaining 1/2 cup of cheddar cheese evenly over the top.
Melt the remaining 2 tablespoons of butter. Crush the Ritz crackers into coarse crumbs, then stir in the melted butter until evenly moistened. Sprinkle the buttery crumbs over the cheese layer.
Bake for 30-35 minutes until the topping is golden brown and the casserole is bubbling around the edges. Let rest for 5-10 minutes before serving to help it set up.
Notes
Choose smaller, firmer squash for best results as larger ones tend to be more watery and seedy.
Don't skip draining the squash after cooking, or the casserole can turn out soggy.
Shred your own cheese from a block for a smoother, creamier melt; pre-shredded cheese has anti-caking agents that can leave the casserole grainy.
Let the casserole rest before serving so it holds its shape when scooped.
Taste the squash mixture before baking and adjust salt and pepper as needed.
You can assemble the casserole up to a day in advance and refrigerate it, covered. Add the cracker topping right before baking for the crispiest finish.
Store leftovers in an airtight container in the refrigerator for up to 4 days.
Freezing is not recommended, as the sour cream and mayonnaise base can separate and turn watery once thawed.
Swap half the yellow squash for zucchini for a slightly different flavor and color.
Use panko breadcrumbs, crushed saltines, or crushed cornflakes instead of Ritz crackers for a different topping texture.