In a mixing bowl, combine the softened cream cheese and unsalted butter. Using an electric mixer or whisk, blend them together until smooth and creamy.
Gradually add the powdered sugar to the cream cheese mixture, mixing on low speed to avoid a sugar cloud.
Once the sugar is incorporated, add the vanilla extract and mix thoroughly.
Slowly add the milk, one tablespoon at a time, until you reach your desired consistency. Mix until the icing is smooth and spreadable.
Taste the icing and adjust sweetness or consistency if needed. If desired, add a pinch of salt for extra flavor.
Once the cinnamon rolls are baked and cooled slightly, spread the icing generously on top while still warm for the best melt-in-your-mouth experience.
For added flavor, consider mixing in a pinch of cinnamon or nutmeg into the icing.