Combine softened butter and granulated sugar in a large bowl and use an electric mixer (or stand mixer) to beat until light, creamy, and well-combined.
Stir in egg, egg white, and vanilla extract until completely incorporated.
In a separate bowl, whisk together cake flour, cornstarch, baking powder, and salt.
Gradually add the dry ingredients to the wet ingredients, stirring on low-speed until completely combined (I’ll usually add the flour mixture in 4 parts, stirring until just-combined after each addition).
Form dough into a 1” thick disk and wrap with plastic wrap. Refrigerate for at least 1 hour before proceeding (note: while the dough chills you can prepare your confetti crumbs, linked in the ingredients list above).
Once dough has chilled, preheat your oven to 350F (175C) and line a baking sheet with parchment paper (or bake cookies directly on ungreased cookie sheet).
Remove chilled dough from the refrigerator and transfer to a clean, lightly floured surface. Use a rolling pin to roll dough to be between ¼-½” (about 1 cm) thick (see note if you have any difficulty).
Use a 2” (5cm) round cookie cutter to cut out cookies as close together as possible and place on prepared baking sheet, spacing cookies at least 2” (5cm) apart.
Bake in 350F (175C) oven for 8-10 minutes. Allow cookies to cool on their baking sheet for at least 5-10 minutes before carefully removing to a cooling rack to cool completely before decorating.
Combine butter and cream cheese and use an electric mixer to stir together until smooth, creamy, and lump-free.
Gradually add powdered sugar until completely combined.
Stir in vanilla extract and salt.
Pipe or spread frosting over cooled cookies (I use a ½” open tip for piping). Immediately top with confetti crumbs, if using (or just top with sprinkles!).