Grease a 9x13-inch baking dish. If making ahead, you can prepare through step 4 and refrigerate overnight.
In a large skillet over medium heat, cook sausage until browned and crumbled, about 8 minutes. Drain excess grease and set aside.
Spread cubed bread evenly in the prepared baking dish. Top with cooked sausage and shredded cheese.
In a large bowl, whisk together eggs, milk, dry mustard, salt, pepper, garlic powder, and onion powder until well combined. Pour evenly over the bread mixture.
Press down gently with a spatula to ensure bread is soaking up the egg mixture. Cover and refrigerate for at least 30 minutes or overnight.
When ready to bake, preheat oven to 350°F. Remove casserole from refrigerator while oven preheats.
Bake uncovered for 40-45 minutes until the center is set and the top is golden brown. Let stand 5 minutes, garnish with green onions if desired, and serve warm.