Cut potatoes into 1-inch cubes. (I didn't peel my potatoes, but feel free to peel your potatoes.)
Place potatoes into the Instant Pot. Add chicken broth or water.
Cover the pot and make sure the vent on the top of the cover is set to "Sealing".
Press the "Pressure Cook" or "Manual" button. Set timer to 4 minutes.
Meanwhile, in a large bowl mix cream cheese, sour cream, butter, milk, bacon pieces, cheddar cheese, pepper jack cheese, onions, onion powder and garlic powder until combined.
Once the potatoes are done cooking, switch the vent to "Venting". Drain potatoes.
Place potatoes back into the Instant Pot and mash potatoes with a potato masher.
Pour in cream cheese mixture. Stir until the cheese and butter is melted. Taste and add salt/pepper as desired. Serve and enjoy!
Notes
The BEST potatoes for mashed potatoes are Yukon potatoes. They have a buttery taste as well as a starchy, creamy consistency that make them PERFECT for mashed potatoes. However, Russet potatoes also work well if that’s what you have available. They also have a lot of starch that help provide fluffy and smooth mashed potatoes.
Mix and Match the Ingredients. It's simple to skip the cheese, bacon, or onion if that's what your family prefers!
Plain Mashed Potatoes. Pile on the butter, salt, and pepper, and leave out the cheese, bacon, and onions!
Cut Potatoes Evenly. When the potatoes are all about the same size they will cook more evenly.
Do Not Use Natural Release. The potatoes will continue to cook if you don't release the pressure immediately and you may end up with non-optimal results.