Preheat your oven to 350°F (175°C)—line baking sheets with parchment paper.

In a large mixing bowl, cream the softened butter, softened cream cheese, and granulated sugar until light and fluffy.

Beat in the egg and vanilla extract until well combined.

In a separate bowl, sift together the flour, baking powder, and salt.

Gradually add the dry ingredients to the wet ingredients until a smooth dough forms.

Gently fold in the drained and chopped canned peaches into the cookie dough mixture until evenly distributed throughout the dough.

Drop rounded tablespoons of cookie dough onto the prepared baking sheets, spacing them about 2 inches apart. You can also roll the dough into balls and then flatten them slightly with the palm of your hand.

Bake in the oven for 10-12 minutes or until the edges are lightly golden. The centers may still be slightly soft.

Allow the cookies to cool on the baking sheets for a few minutes before transferring them to a wire rack to cool completely.