Preheat the oven to 350°F (175°C)
Line baking sheets with parchment paper
In a bowl, cream together 1 cup softened butter and 1 cup sugar
Add 1 large egg and 1 teaspoon vanilla extract
In a separate bowl, whisk together 2 3/4 cups all-purpose flour, 1 teaspoon baking powder, and 1/2 teaspoon salt
Gradually mix the dry ingredients into the wet ingredients
Chill the dough for 30 minutes if needed
Roll the dough out on a lightly floured surface
Cut into desired shapes with cookie cutters
Place cookies on the prepared baking sheets
Bake for 8 to 10 minutes, until edges are lightly golden
Let cookies cool on the baking sheet for a few minutes
Transfer cookies to a wire rack to cool completely
Optional: decorate with frosting or sprinkles