Cream cheese
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Cream Cheese Sugar Cookie Recipe | Perfect for Cut-Outs

Difficulty Easy

Cream Cheese Sugar Cookie Recipe: Sugar cookies are iconic when it comes to holiday baking. Sprinkle ’em! Frost ’em! Glitter ’em! They are one super soft cookie that enjoyed by many. A sugar cookie recipe is simply a shortbread cookie with a chemical leavener, like baking soda or baking powder.

Sugar Cookie Recipe 101

Sugar cookies come in two forms:

Drop method –> No chilling required. Scoop out the dough with a cookie scoop and bake

Cut out method –> Chill dough. Roll out, use cookie cutters to cut dough into shapes and bake

This sugar cookie recipe can make both. But…it is definitely best for cut outs. It keeps the edges sharp and the shape in place.

Need something chocolate-y to add to your holiday baking? Make these chocolate crinkle cookies!

Need a vegan sugar cookie recipe? Make these from Minimalist Baker

Q: Why cream cheese?

A: Fat. More fat = more tender and soft. Fat softens gluten strands making the final product super soft. Treats like cookies, cakes, biscuits are soft because of the excess amount of fat ingredients, like dairy products such as cream cheese.

Q: How long do I need to chill the dough?

A: Overnight is best. At least 2 hours in the fridge.

Q: Can I not chill the dough?

A: Yes you can. The cookies will turn out like plain sugar cookies, nice and round. Coat ’em in sprinkles before baking.

Q: How do you frost the cookies?

A: I like to top ’em with royal icing then sprinkles. Make my royal icing recipe, here. Next, I let the royal icing dry overnight or for 2-3 hours. Finally, I top with MORE royal icing as a decoration and sprinkles. If I ran out of sprinkles, I also decorate with nuts and chocolate.

Cream Cheese Sugar Cookies: Perfect for Cut Outs

Recipe by Kimm Moore Course: DessertCuisine: AmericanDifficulty: Easy


Prep time


Cooking time


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  • 6 cups + 4 tablespoon all purpose flour

  • 1 tablespoon baking powder

  • 1 teaspoon salt

  • 2 cups unsalted cubed, soften butter

  • 8 oz cream cheese, soften

  • 2 cups white sugar

  • 2 eggs

  • 1 tablespoon vanilla extract


  • Sift dry ingredients in a medium bowl: 6 cups + 4 tbps all purpose flour, 1 tbsp baking powder, and 1 tsp salt. Set aside
  • In a standing kitchen mixer with the paddle attachment, cream: 2 cups soften cubed unsalted butter and 2 cups white sugar until super light and creamy. About 8-10 ish minutes.
  • Stop mixer and scrape those sides. Add 8 oz soften cream cheese to the mixer and mix on low speed until just combined.
  • In a small bowl, whisk: 2 eggs and 1 tbsp vanilla. With the mixer on low speed, slowly add it.
  • Stop and scrape those sides.
  • Add the dry ingredients and mix until just combined, 30 seconds – 45 seconds.
  • If making a drop cookie: scoop with dough and roll in demera sugar. Bake at 350 degrees for 10 -12 mintes.
  • If making cut outs: wrap dough in plastic wrap and chill for 2 hours or overnight.
  • Roll out dough, on a rolling mat, to 1/4 inch thickness. Cut with your favorite cookie cutters. Bake at 350 degrees for 8-12 minutes, depending on shape.
  • Cool completely before frosting.


  • When adding the cream cheese, eggs, and vanilla, it might curdle because of the excess amount of liquid. That is OK! Be sure to scrape to ensure all the liquids get evenly distributed
  • If making drop cookies, roll in colored sugar or demerara (thick coarse crystal, sometimes called decorating sugar) to make it pretty
  • Bake times for cut outs really depend on time. Small-ish (candy cane, small circles, wreaths) 8-10 minutes. Medium and big-ish (stocking, snowman, mittens) 10-12 minutes. Look for a light golden brown color.

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