Whisk together the powdered sugar, extract, and milk/water together until there are no lumps. Add in desired food coloring. Remember you want your border icing to have a thicker consistency than your flood icing so you may need to add more or less milk depending on the thickness of your icing.
Pour finished icing into squeeze bottle. I use a funnel to help pour it in. Outline cookies with border icing and let dry completely.
Fill in the border icing with the flood icing. Again, let dry completely.
Serve and enjoy!