Preheat oven to 350 degrees and line baking sheet with parchment paper.
In 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-in. balls. Place 1 in. apart on prepared baking sheets. Using your thumb or the back of a 1/2 teaspoon to make an indentation in the center. Fill with jam, about 1/4 heaping teaspoon.
Bake at 350 degrees for 14-18 minutes or until edges are lightly browned. Remove to wire racks to cool.
While the cookies are cooling, combine powdered sugar, almond extract and enough milk to achieve drizzling consistency; drizzle over cookies.