Preheat oven to 350
In a bowl, mix together butter and sugar until smooth
Beat in egg and extracts
In a seperate bowl, combine baking powder and flour. Add a little at a time to the wet ingredients. If dough becomes too hard to handle in bowl then remove and flour counter top and continue to knead there.
No need to chill dough! Divide into workable sections and roll out on counter then cut using shapes.
Bake for 6-8 mins allowing to cool enough to transfer.