Preheat the oven to 350°F (175°C).

In a large bowl, cream together the softened butter, cream cheese, and sugar until smooth.

Beat in the vanilla extract.

In another bowl, combine the flour, baking powder, cinnamon, and salt.

Gradually add the dry mixture to the wet ingredients, mixing until just combined.

Scoop tablespoons of dough and roll into balls.

In a small bowl, mix together the additional sugar and cinnamon for rolling.

Roll each ball in the cinnamon-sugar mixture and place on a baking sheet lined with parchment paper.

Bake for 10-12 minutes or until the edges are lightly golden.

Remove from oven and let cool on the baking sheet for a few minutes before transferring to a wire rack to cool completely.