In a large mixing bowl, combine softened cream cheese, shredded cheese, onion, garlic, paprika, 1 tsp. chili powder, Worcestershire sauce, hot sauce and salt. Mix well to combine. You can also mix this in a stand or handheld mixer.
In a pie plate or other flat dish, combine finely chopped bacon and 1/2 tsp. of the remaining chili powder. Roll the cheese mixture into 1" balls. Then roll each ball into the bacon crumbs, pressing them gently into the cheese mixture. Roll each cheese ball between your hands to smooth them out. Refrigerate for 1 hour.
To make these vegetarian: Omit the bacon and simple dust the bites in chili powder.
The flavor of these Chili Cheese Balls is best at room temperature.