Kentucky Derby Casserole

This Kentucky Derby Casserole is a hearty, crowd-pleasing breakfast bake that brings classic brunch flavors together in one easy dish. Cubes of day-old bread are combined with savory breakfast sausage, crisp green bell peppers, and sharp cheddar cheese, then soaked in a rich egg-and-milk custard. As it bakes, the bread absorbs the custard, creating a soft, fluffy interior while the cheese forms a beautifully golden, bubbly topping. Perfect for weekends, holidays, or busy mornings, this make-ahead casserole delivers big flavor with very little hands-on effort.

Ingredients

Ingredient	Quantity
Breakfast sausage	1 lb
Day-old bread, cut into 1-inch cubes	6 cups
Sharp cheddar cheese, shredded	2 cups
Green bell pepper, diced	1/2 cup
Yellow onion, diced	1/4 cup
Large eggs	6
Whole milk	2 cups
Salt	1 tsp
Black pepper	1/2 tsp
Dry mustard	1 tsp
Unsalted butter, melted	2 tbsp
Fresh chives, hot sauce, or extra black pepper (optional)	To taste

Directions

Step 1: Prepare the Oven

Preheat the oven to 350°F (175°C). Lightly grease a 9×13-inch baking dish with butter or nonstick cooking spray, coating both the bottom and sides.

Step 2: Assemble the Casserole

Spread the cubed bread evenly in the prepared baking dish. Top with the cooked and drained sausage, diced bell pepper, diced onion, and shredded cheddar cheese, distributing everything evenly.

Step 3: Make the Custard

In a large bowl, whisk together the eggs, milk, salt, black pepper, and dry mustard until smooth and fully combined.

Step 4: Combine and Soak

Pour the egg mixture evenly over the bread and toppings. Using the back of a spoon or a spatula, gently press the bread down so it absorbs the liquid.

Step 5: Rest and Butter

Allow the casserole to sit at room temperature for 10 minutes so the bread can soak up the custard. Drizzle the melted butter evenly over the top.

Step 6: Bake

Place the dish on the center oven rack and bake for 35–40 minutes, or until the center is set, the edges begin to pull away from the pan, and the top is golden brown.

Step 7: Rest and Serve

Remove the casserole from the oven and let it rest for 5 minutes before cutting. This helps it firm up for cleaner slices. Serve warm with your favorite garnishes, if desired.