Heartwarming Christmas Cut Outs

1/2 lb. margarine or butter

4 oz. cream cheese

1 c. white sugar

1 egg yolk

3/4 tsp. vanilla

2 1/4 c. flour

Cream margarine and cream cheese together. Add sugar, egg yolk, vanilla and mix well. Blend in flour. Chill overnight or for several hours. Roll onto lightly floured surface and cut into desired shapes. Bake at 350 for 10 minutes or until done.