Baking Recipe

How To Make Cream Cheese Sugar Cookies (Cut Out)

Old-fashioned cream cheese sugar cookies made with butter, cream cheese, sour cream, egg yolks, and vanilla. Chill the dough well, roll it 1/4 inch thick, cut into shapes, and decorate…

By BakedLean · October 7, 2026
How To Make Cream Cheese Sugar Cookies (Cut Out)

I found this cream cookie recipe in my great-grandmother's handwritten collection, and it immediately looked like the kind of old-fashioned cutout cookie I wanted to bring back to life.

The dough is different from a standard sugar cookie: it uses butter, cream cheese, and sour cream, plus egg yolks instead of whole eggs. Once the dough is well chilled, it rolls cleanly, holds cookie-cutter shapes, and bakes into soft cookies that can be left plain or decorated.

Her card says to bake the cookies at 350°F for 10–12 minutes. My batch was done at 8 minutes, so that is the tested starting point I use here. I also included the icing from a separate handwritten family card.

Plain and iced cream cheese sugar cookies after baking
The cutout cookies can be served plain or finished with the family icing.

Why You'll Love These Cream Cheese Sugar Cookies

  • Soft cutout-cookie texture: cream cheese and sour cream set these apart from basic butter sugar cookies.
  • Made for cookie cutters: well-chilled dough rolls smoothly and keeps its shape.
  • Easy to decorate: serve them plain or use the simple family icing.
  • Holiday friendly: change the cutters and icing colors for , Easter, birthdays, or Valentine's Day.
  • A real family recipe: the formula comes directly from my great-grandmother's handwritten card.

About This Heirloom Recipe

I'm working through handwritten family recipes and old American baking recipes and putting them into a format people can actually make today. I don't want to turn them into completely different modern recipes. The interesting part is making them as written, then adding just enough explanation to remove the guesswork.

That matters here because the card says things like “chill well,” “do not roll too thin,” and “decorate as you wish.” Those brief notes are part of the recipe, so I preserved them instead of inventing exact details that were never recorded.

Ingredient Notes

Cream cheese and butter

The card calls for 3 ounces of cream cheese. Beat it with the softened butter until smooth before adding the sour cream.

Sour cream

The dough includes both cream cheese and sour cream, which helps explain its soft texture and distinguishes it from many modern cream cheese sugar cookies.

Egg yolks

Use two beaten egg yolks, not two whole eggs. That is how the original recipe is written.

All-purpose flour

Sift the flour with the baking powder and salt before gradually adding it to the wet mixture.

Optional icing

The separate family icing card combines butter, vanilla, sifted confectioners' sugar, and warm cream. Add it only after the cookies are completely cool.

Plain baked cream cheese cut out cookies in tree and bell shapes
The cookies are ready when set and only lightly colored at the edges.

Equipment

You will need mixing bowls, an electric hand mixer, a rolling pin, cookie cutters, and baking sheets. An adjustable rolling pin is a useful suggested option for keeping the dough close to the tested 1/4-inch thickness.

Tools I Use for This Recipe

Ateco stainless steel Christmas cookie cutter set

Ateco Stainless Steel Christmas Cookie Cutters

A suggested set for cutting stars, trees, bells, and other holiday shapes.

Joseph Joseph adjustable wooden rolling pin

Joseph Joseph Adjustable Precision Rolling Pin

A suggested rolling pin with guides that help keep the chilled dough an even 1/4 inch thick.

Nordic Ware aluminum half sheet baking pan

Nordic Ware Naturals Half Sheet

A suggested rimmed baking sheet for arranging and baking the cutout cookies in batches.

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How to Make Cream Cheese Sugar Cookies

1. Mix the dry ingredients

Sift the flour, baking powder, and salt together, then set the mixture aside.

2. Cream the butter and cream cheese

Beat the softened butter and cream cheese until smooth. Mix in the sour cream, then add the sugar, beaten egg yolks, and vanilla. Beat until light and fluffy.

3. Add the flour

Gradually mix the dry ingredients into the wet ingredients just until a cookie dough forms. Stop once everything is combined so the dough is not worked more than necessary.

4. Chill the dough well

Form the dough into a ball, cover it, and refrigerate until it is firm enough to roll and cut cleanly. The original card does not give a clock time, so use the texture of the dough as your guide.

5. Roll and cut

Lightly flour the work surface and roll the chilled dough approximately 1/4 inch thick. The handwritten card specifically says not to roll it too thin. Cut the dough into shapes and place them on baking sheets.

Plain tree-shaped cream cheese sugar cookie held above decorated cookies
Rolling the dough about 1/4 inch thick keeps the cutout cookies soft and substantial.

6. Bake

Bake at 350°F for 8 minutes. The original card lists 10–12 minutes, but my batch was ready at 8 minutes. Begin checking there and look for cookies that are set with only light coloring around the edges.

7. Cool and decorate

Let the cookies cool completely before adding icing or decorations.

How to Make the Icing

Beat 2 tablespoons softened butter with 1/2 teaspoon vanilla until smooth. Gradually beat in 1 1/2 cups sifted confectioners' sugar, then mix in 1 tablespoon warm cream until the icing is smooth and spreadable.

Blue iced cream cheese sugar cookies shaped like bells
The optional butter icing spreads easily over fully cooled cookies.

Expert Tips

  • Chill by feel: the dough is ready when it is firm enough to roll without sticking everywhere.
  • Keep it 1/4 inch thick: this preserves the soft, substantial texture intended by the handwritten recipe.
  • Begin checking at 8 minutes: ovens and cutter sizes vary, and this batch baked faster than the original card's 10–12 minute note.
  • Cool before icing: warm cookies can soften the butter icing.
  • Change the cutters, not the recipe: one dough works for many holidays and celebrations.

Easy Decorating Variations

I would not make major ingredient substitutions to a family recipe like this without testing them first. The easiest variations are in the shapes and decorations.

  • Use stars, trees, bells, hearts, circles, or flower cutters.
  • Leave the cookies plain or spread them with the handwritten cream icing.
  • Finish with sprinkles, sanding sugar, or simple icing designs.
  • Match the cutter shapes and colors to , Easter, birthdays, or Valentine's Day.
Mint green iced cream cheese sugar cookie shaped like a Christmas tree
Change the cutters and icing colors to fit the occasion.

Storage

The handwritten recipe does not include a tested storage or freezing window. Let the cookies cool completely before placing them in a covered container. If they are frosted with the cream-based icing, refrigerate them for longer storage and let them sit briefly at room temperature before serving.

Frequently Asked Questions

Are these cream cheese sugar cookies?

Yes. My great-grandmother called them Cream Cookies, but the dough is an old-fashioned cream cheese sugar cookie dough that also includes sour cream.

How long should I chill the dough?

The card says “chill well” but gives no exact time. Chill until the dough is firm enough to roll and cut cleanly.

How thick should I roll the dough?

Roll it about 1/4 inch thick. The original card specifically warns not to roll the cookies too thin.

Why is the tested bake time 8 minutes?

The handwritten card says 10–12 minutes, but the photographed batch was done at 8 minutes in my oven. Begin checking at 8 minutes and use the appearance of the cookies as your final guide.

Can I use whole eggs instead of egg yolks?

I have not tested that substitution. The original recipe specifically calls for two beaten egg yolks.

Do I have to frost them?

No. Leave them plain or decorate them with the optional family icing.

More Old-Fashioned Cookies

Final Thoughts

I love that this recipe card does not over-explain anything: cream the ingredients, chill the dough, roll it about 1/4 inch thick, cut shapes, and decorate however you want. The one update from my own batch is the bake time—8 minutes worked at 350°F—so I preserved that tested result alongside the original 10–12 minute note.

BAKE THIS NEXT

Decorated cream cheese sugar cookies shaped like stars, trees, and bells on a cooling rack
Jacob Hensley

Great-Grandma's Cream Cookies

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Old-fashioned cream cheese sugar cookies made with butter, cream cheese, sour cream, egg yolks, and vanilla. Chill the dough well, roll it 1/4 inch thick, cut into shapes, and decorate as desired.
Prep Time 25 minutes
Cook Time 8 minutes

Ingredients
  

Cream Cookie Dough
  • 3 1/2 cups all-purpose flour
  • 2 teaspoons baking powder
  • 1/2 teaspoon salt
  • 2/3 cup butter softened
  • 3 ounces cream cheese softened
  • 1/2 cup sour cream
  • 1 1/3 cups granulated sugar
  • 2 egg yolks beaten
  • 1 teaspoon vanilla extract
Optional Icing
  • 2 tablespoons butter softened
  • 1/2 teaspoon vanilla extract
  • 1 1/2 cups confectioners' sugar sifted
  • 1 tablespoon cream warm

Method
 

Make the Cookies
  1. Preheat the oven to 350°F.
  2. Sift the all-purpose flour, baking powder, and salt together. Set aside.
  3. Beat the softened butter and cream cheese together until smooth.
  4. Mix in the sour cream until evenly combined.
  5. Add the granulated sugar, beaten egg yolks, and vanilla extract. Beat until light and fluffy.
  6. Gradually mix in the dry ingredients just until a cookie dough forms.
  7. Form the dough into a ball, cover, and refrigerate until well chilled and firm enough to roll.
  8. On a lightly floured surface, roll the chilled dough approximately 1/4 inch thick. Do not roll it too thin. Cut into shapes and place on baking sheets.
  9. Bake at 350°F for 8 minutes. The original handwritten card lists 10–12 minutes, but 8 minutes was the tested bake time for this batch.
  10. Let the cookies cool completely before frosting or decorating.
Make the Icing
  1. Beat the softened butter and vanilla until smooth. Gradually beat in the sifted confectioners' sugar, then add the warm cream and beat until smooth and spreadable.
  2. Spread the icing over the cooled cookies and decorate as desired.

Notes

  • The original handwritten recipe card lists a 10–12 minute bake time at 350°F. This batch was tested at 8 minutes, so begin checking at 8 minutes.
  • Roll the chilled dough approximately 1/4 inch thick. The original card specifically says not to roll the cookies too thin.
  • The family recipe says to chill the dough well but does not give a set time. Chill until firm enough to roll and cut cleanly.
  • Use two beaten egg yolks, not whole eggs.
  • The optional icing comes from a separate handwritten family recipe.
  • Yield varies with cookie cutter size. The original card does not specify a cookie count.

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I create approachable recipes that make high-protein and macro-friendly baking feel simple—while still making room for the classics.