1. Preheat oven to 350°F (175°C) and line a 12-cup muffin tin with paper liners.

2. In a medium bowl, whisk together flour, baking powder, and salt.

3. In a large bowl, beat butter and sugar until light and fluffy, about 3–4 minutes.

4. Add eggs one at a time, mixing well after each addition, then mix in vanilla extract.

5. With mixer on low speed, add dry ingredients in three additions, alternating with milk in two additions, beginning and ending with dry ingredients.

6. Mix until just combined, being careful not to overmix.

7. Gently fold in the diced peaches with a spatula.

8. Divide batter evenly among cupcake liners, filling each about two-thirds full.

9. Bake for 20–22 minutes, or until a toothpick inserted into the center comes out clean.

10. Cool cupcakes in the pan for 5 minutes, then transfer to a wire rack to cool completely.

11. In a large bowl, beat cream cheese and butter until smooth and creamy.

12. Gradually add powdered sugar and beat until light and fluffy.

13. Mix in honey and vanilla extract until fully incorporated and smooth.

14. Once cupcakes are completely cool, frost using a knife or piping bag.

15. Garnish with a small peach slice or drizzle of honey if desired, then serve.