Peel, quarter and boil potatoes until soft, about 15 to 20 minutes. Drain, and beat with a mixer until smooth. Add remaining ingredients, through the nutmeg. Beat at a medium-high speed until creamy. Add salt to taste.
Spoon into a greased 9x13 baking dish. Top with cheese and bacon. Cover and bake for 30 minutes. Uncover and bake for an additional 10 minutes, until cheese melts.
Serves 12. Unless one of those people is my husband. Then it will serve 3.