1In a large bowl, cream butter and sugar until light and fluffy. Beat in extract; gradually add flour until dough forms a ball. Cover and refrigerate for 1 hour or until dough is easy to handle. Roll into 1" balls. Place 1" apart on ungreased baking sheets. Using the end of a wooden spoon handle, make an indentation in the center. Fill with jam.
Bake at 350° for 14-18 minutes or until edges are lightly browned. Remove to wire racks to cool.
Spoon additional jam into cookies if desired. Combine confectioners' sugar, extract and enough water to achieve drizzling consistency; drizzle over cookies.