Preheat your oven to 350°F and line a muffin tin with paper liners. In a large bowl, cream together the softened butter and granulated sugar until light and fluffy. Beat in the eggs one at a time, then stir in the vanilla extract. In a separate bowl, whisk together the flour, baking powder, and salt. Gradually add the dry ingredients to the wet mixture, alternating with the milk, until just combined.

Divide the batter evenly among the cupcake liners, filling each about two-thirds full. Bake in the preheated oven for 18-20 minutes, or until a toothpick inserted into the center of a cupcake comes out clean. Allow the cupcakes to cool in the tin for 5 minutes, then transfer them to a wire rack to cool completely.

While the cupcakes are cooling, prepare the frosting. In a bowl, beat the softened butter until creamy. Gradually add the powdered sugar, beating until smooth. Mix in the milk and vanilla extract until the frosting is light and fluffy.

Once the cupcakes have cooled completely, spread a generous amount of frosting on each one. Dip the tops into a bowl of holiday sprinkles, pressing gently to ensure they adhere well.

Serve the cupcakes on a festive platter or tiered stand. These cupcakes are perfect for any holiday gathering, providing a burst of color and flavor.

Store leftover cupcakes in an airtight container at room temperature for up to 2 days, or refrigerate for up to a week. For longer storage, freeze the cupcakes without frosting for up to 3 months.