In a large bowl combine the butter, cream cheese, and powdered sugar. Mix well to combine.
Add in the egg and vanilla and mix well.
In a medium bowl combine the baking powder, cinnamon, salt, and flour. Mix well.
Pour the flour mixture into the butter mixture and mix until well combined.
Cover and refrigerate the dough for at least one hour or up to 48 hours.
When you are ready to make the cookies preheat the oven to 375 degrees.
Combine the remaining sugar and cinnamon in a small bowl.
Roll the dough into one inch balls and roll in the cinnamon sugar mixture. Place them on a cookie sheet at least 2 inches apart.
Bake for 10-12 minutes then remove from oven. Allow to cool for 3 minutes on the cookie sheet then remove to a wire rack to cool completely.