Preheat oven to 350 °F. Lightly grease a 9×13 baking dish and set aside.
In a skillet over medium heat, brown ground beef until no pink remains; drain excess fat.
Stir in chili beans, tomato sauce, hot dog pieces, chili powder, garlic powder, onion powder, and optional red pepper flakes. Mix until well combined and heated.
Spread chili mixture into the prepared baking dish. Sprinkle chopped onion evenly over the top, then cover with 2 cups of shredded cheddar.
Arrange tater tots in an even single layer across the cheese (you may not need the entire bag).
Bake for 30 minutes, until tater tots are firm and beginning to brown.
Remove from oven and sprinkle remaining cheddar on top. Return to oven for 3–5 minutes until cheese melts.
Let stand a few minutes before serving to set slightly.