This recipe for Christmas sugar cookie bars started as a shortcut the year I decided to bring a dessert to a neighborhood cookie exchange but wanted something less fussy than cut-out cookies. I wanted the classic sugar cookie flavor — buttery, vanilla-forward, with a faint kiss of almond — but in a form that travels well, slices neatly, and still looks like it belongs on a festive platter. I discovered that blending cream cheese into the base keeps the bars tender and helps them hold a soft, cakey bite that everyone — kids included — loves. The first time I made this version was during a December snowstorm. The kitchen filled with warm, sweet aromas while my partner hung the last ornaments. When the bars came out of the oven their edges were faintly golden and the center was tender but set. I iced them with a smooth cream-cheese buttercream, added holiday sprinkles, and received instant requests for the recipe. What I especially love about these bars is the balance between a cookie’s flavor and a light, almost cake-like texture — they feel celebratory without being heavy.

Ingredients

• Unsalted butter (1/2 cup + 1/2 cup for frosting): Use high-quality unsalted butter such as Land O'Lakes or Plugrá for a clean, creamy base. Room-temperature butter (soft enough to dent with your finger but not greasy) creames better with sugar for an even texture.
• Cream cheese (4 oz in dough, 2 oz in frosting): Full-fat Philadelphia cream cheese adds richness and tenderness. Soften to room temperature to prevent lumps and ensure smooth blending.
• White sugar (1 cup): Regular granulated sugar provides sweetness and helps with structure; use pure cane sugar for best results.
• Vanilla extract (2 tsp total): Pure vanilla extract makes a noticeable difference — Nielsen-Massey or simply a decent store brand works well. Half goes in the dough and the rest in the frosting.
• Almond extract (1/2 tsp, optional): A small amount adds a classic sugar-cookie note; omit if anyone has nut sensitivities.
• Large eggs (2): Use room-temperature eggs for better emulsion and a smoother crumb.
• All-purpose flour (2 1/4 cups): King Arthur or similar yields consistent results. Measure by spooning into the cup and leveling for accuracy.
• Cornstarch (2 tsp): This small addition softens the crumb and mimics the tender texture of cut-out sugar cookies.
• Baking powder (1 tsp) & salt (1/4 tsp): Baking powder gives a slight lift; salt balances sweetness — use table or fine sea salt.
• Powdered sugar (2–3 cups for frosting): Start with 2 cups and add up to 3 for stiffer frosting depending on your preferred spreadability.
• Holiday sprinkles: Choose sturdy sprinkles that won't bleed color into the frosting; mix of red/green jimmies and nonpareils work great.

Instructions

Step 1 — Preheat and prep the pan: Preheat the oven to 350°F. Line a 9x13-inch baking pan with parchment paper leaving a 1‑inch overhang on two sides to lift the bars out cleanly. Lightly grease the parchment or the exposed pan edges to ensure easy release. Step 2 — Cream fats and sugar: In a large bowl or the bowl of a stand mixer fitted with the paddle, beat 1/2 cup (1 stick) softened unsalted butter and 4 oz softened cream cheese with 1 cup granulated sugar until light and fluffy, about 2 to 3 minutes on medium speed. Scrape the bowl once — you want the mixture pale and aerated to trap tiny air bubbles that help leaven the bars. Step 3 — Add eggs and extracts: Add the two large eggs one at a time, beating well after each addition so the batter emulsifies. Mix in 2 teaspoons vanilla extract and 1/2 teaspoon almond extract if using. The batter will look satin-smooth and slightly glossy. Step 4 — Whisk dry ingredients: In a separate bowl, whisk together 2 1/4 cups all-purpose flour, 2 teaspoons cornstarch, 1 teaspoon baking powder, and 1/4 teaspoon salt. Sifting is optional but helps remove lumps and guarantees even distribution of the leavening. Step 5 — Combine and press: With the mixer on low, add the dry ingredients to the wet in two additions, mixing just until incorporated. Overmixing develops gluten and will make the bars tough — stop when there are no visible streaks of flour. Transfer the dough to the prepared pan and use a flexible spatula or your fingers (lightly floured) to press it into an even layer, about 1/2 to 3/4 inch thick. Step 6 — Bake and cool: Bake at 350°F for 18 to 22 minutes, rotating once halfway through. The edges should be lightly golden and the center set but still soft to the touch. A toothpick inserted in the center should come out with a few moist crumbs. Cool the pan on a wire rack for at least 30 minutes before frosting; cooling ensures cleaner slices. Step 7 — Make the frosting: While the bars cool, beat 1/2 cup (1 stick) unsalted butter with 2 oz cream cheese and 1/4 teaspoon salt until smooth. Add 1/2 teaspoon vanilla extract, then gradually mix in 2 cups powdered sugar on low. If the frosting is too loose, add up to 1 more cup of powdered sugar to reach spreadable but stable consistency. Spread evenly over cooled bars and immediately decorate with holiday sprinkles so they adhere. Step 8 — Slice and serve: Use the parchment overhang to lift the bars from the pan. For neat slices, chill the frosted slab for 20–30 minutes, then use a sharp knife warmed under hot water and dried between cuts to slice into squares (about 20 pieces for 9x13-inch pan). Store or serve as desired.

Storage Tips

To maintain freshness, cool completely before covering. For short-term storage, place bars in an airtight container at room temperature for up to 24 hours, then move to the refrigerator for up to 5 days. If freezing, cut the un-frosted slab into portions and wrap each piece tightly in plastic wrap then aluminum foil to prevent freezer burn — thaw overnight in the refrigerator and frost the next day. When reheating a chilled piece, bring to room temperature for 30 minutes or microwave briefly (6–8 seconds) to soften the frosting before serving. Always label frozen portions with the date and intended use-by date.

Ingredient Substitutions

If you need to adjust ingredients, use these reliable swaps: for a dairy-free version, use a dairy-free butter substitute and vegan cream cheese — texture will be slightly different and may be softer, so chill before slicing. For gluten-free, replace the flour with a 1-to-1 gluten-free flour blend that includes xanthan gum; expect a slightly denser crumb. Swap almond extract for extra vanilla if anyone has nut allergies. For lower sugar, reduce granulated sugar by 1/4 cup and add 1–2 tablespoons of applesauce, but note the bars will be softer and less golden.

Serving Suggestions

Serve squares on a festive platter with a dusting of extra sprinkles or edible glitter. Pair with hot cocoa, coffee, spiced cider, or a simple pot of tea for balance. For a party dessert table, alternate plain frosted squares with ones topped with chopped nuts or crushed peppermint for variety. For a kid-friendly buffet, provide small paper cups and toothpicks so children can sample without utensils. These bars also work well at breakfasts and brunches when paired with yogurt and fruit.

Cultural Background

Sugar cookies are a holiday staple with roots in European rolled cookies popularized in North America. Transforming that flavor into a bar form simplifies assembly while preserving the nostalgic vanilla and almond notes associated with classic cut-outs. Bar-style cookies became common in household baking as a time-saving adaptation — you get the iconic flavor without the rolling, chilling, and cutting. Over generations, families have adapted the method to use available ingredients and faster techniques, which is exactly how this version evolved.

Seasonal Adaptations

For winter holidays, add 1/2 teaspoon of ground cinnamon or cardamom to the dough for warmth, and use red and green sprinkles or crushed dried cranberries on top. In spring, swap sprinkles for pastel nonpareils and add 1 teaspoon lemon zest to the batter. During peppermint season, mix 1/2 teaspoon peppermint extract into the frosting and top with crushed candy cane. The bar format makes it easy to tune flavors seasonally without changing technique.

Meal Prep Tips

To streamline holiday baking, make the dough up to 24 hours ahead and keep it refrigerated in the lined pan covered tightly with plastic wrap; bake when ready. Alternatively, bake the bars unfrosted, freeze in a single layer, then thaw and frost the day you plan to serve for a freshly decorated presentation. Use a piping bag fitted with a medium round tip to pipe frosting into neat rows before adding sprinkles for consistent results and faster assembly when making multiple trays.

These sugar cookie bars are my go-to when I want something festive that still feels homemade. They’re forgiving, simple to scale, and always prompt compliments — a dependable treat that can become part of your holiday traditions.