See recipe "Grandma Olsen's Sugar Cookies" for source/info on this recipe.
Combine room temp cheese & milk and add 1/2 cup powdered sugar slowly. Stir in 2 tabelspoons candy & food coloring, set aside for filling. Cream butter, 1/2 cup powdered sugar, mix in vanilla, then flour. Knead dough into balls, make a deep well in center of each ball with handle of wooden spoon. Fill with 1/4 tsp of filling, shape a scant 1/4 tsp of dough into a flat round, lay on top of filling; press gently to seal. Place on ungreased cookie sheet, bake 350F for 12 minutes. Roll warm cookies in combined 1/4 cup powdered sugar & 6 tablespoons peppermint candy. Makes 4 dozen.