If using uncooked chicken, cook it in boiling water or broth until fully cooked and tender, then shred into bite-sized pieces. Otherwise, use the prepared cooked shredded chicken.

Place the chicken broth, cream cheese, garlic powder, and onion powder in a large pot over medium heat. Stir until the cream cheese has fully melted into the broth.

Stir in the shredded cheddar cheese until it melts and the soup becomes creamy.

For extra smoothness, add the cream or milk if using and stir it into the broth.

Mix the crispy bacon bits into the soup.

Add the shredded chicken and simmer for a few minutes to bring everything together.

Ladle the soup hot and top with extra crispy bacon and chopped green onions or chives.