- In a medium bowl, beat the softened cream cheese until smooth and creamy. Scraping down the sides ensures a consistent texture.
- Add the powdered sugar and vanilla extract, beating again until the mixture is fully combined and silky.
- Gently fold in the thawed whipped topping. Use slow, broad strokes to keep the topping light and fluffy rather than deflating it.
Frost the Cake
- Spread the cream cheese topping evenly over the cooled cake, creating a thick, smooth layer that fully covers the surface.
Decorate
- Add festive sprinkles or holiday-themed decorations. Chill the cake for at least 30 minutes before slicing to help the topping set and to create clean, tidy squares.
This cake tastes even better the next day as the flavors meld and deepen. It’s a guaranteed crowd-pleaser for Christmas parties, potlucks, or cozy nights in!
