Step 1: Prepare the dough

1. In a large mixing bowl, beat the softened butter and powdered sugar until light and creamy, about 2–3 minutes.

2. Add the egg, vanilla extract, and almond extract, if using. Mix until well combined.

3. In a separate bowl, whisk together the flour, baking powder, and salt.

4. Gradually add the dry ingredients to the butter mixture. Mix until a soft dough forms. If the dough is too dry, add milk a teaspoon at a time.

5. Divide the dough into two discs, wrap tightly, and refrigerate for 30 minutes.

Step 2: Roll and cut the cookies

1. Preheat the oven to 175°C (350°F).

2. Line two baking sheets with parchment paper.

3. Lightly flour your work surface and rolling pin.

4. Roll the chilled dough to approximately ¼ inch (6 mm) thick.

5. Use Christmas cookie cutters to cut out stars, trees, bells, candy canes, or snowflakes.

6. Carefully transfer the shapes to the prepared baking sheets, leaving about 1 inch between cookies.

Step 3: Bake the cookies

1. Bake for 10–12 minutes, or until the edges are just beginning to turn pale golden.

2. Avoid browning the cookies too much; they should remain light in color and tender.

3. Let them cool on the baking sheet for 5 minutes.

4. Transfer to a wire rack and cool completely before decorating.

Step 4: Make the icing

1. Place the powdered sugar in a bowl.

2. Add the milk or lemon juice and vanilla extract.

3. Stir until smooth. Add a few extra drops of liquid for a thinner icing or more powdered sugar for a thicker consistency.

4. Divide the icing into separate bowls and tint with your preferred food colors.

Step 5: Decorate the cookies

1. Spread a thin layer of icing over each cooled cookie or pipe decorative outlines and patterns.

2. Add Christmas sprinkles or colored sugar while the icing is still wet.

3. For a simple finish, drizzle with melted white or dark chocolate.

4. Leave the cookies on a wire rack until the icing is completely set, about 1–2 hours.