Preheat your oven to 350°F (175°C) and line a muffin tin with cupcake liners.
In a large mixing bowl, cream together the softened butter and granulated sugar until light and fluffy.
Add the eggs, one at a time, mixing well after each addition, then stir in the vanilla extract.
In a separate bowl, whisk together the flour, baking powder, and salt to combine.
Gradually add the dry ingredients to the creamed mixture, alternating with the milk, starting and ending with the flour mixture.
Spoon the batter into the lined cupcake tin, filling each liner about two-thirds full.
Bake in the preheated oven for 18-20 minutes, or until a toothpick inserted in the center comes out clean.
Once baked, allow the cupcakes to cool in the tin for 5 minutes before transferring them to a wire rack to cool completely.
Prepare the cream cheese frosting by beating together the cream cheese and softened butter, then gradually add powdered sugar until you reach your desired sweetness and consistency.
Once the cupcakes are completely cool, frost each one with cream cheese frosting and add festive sprinkles on top.