Add the ground beef and onion. Cook the beef and onions until the beef is no longer pink and the onions are soft. Drain grease on a paper towel lined plate.
Return the beef and onions to the skillet.
Add the tomato sauce, water, tomato paste, vinegar, Worcestershire sauce, chili powder, garlic powder, mustard powder, salt and pepper.
Stir to combine.
Simmer, stirring occasionally, for about 20 minutes, or until the sauce has reduced and thickened.