Place an oven rack in the center of the oven and preheat the oven to 325F (350F for high altitude baking).
Select about 60 almond slices for use as fingernails; set aside. Place remaining almonds in the bowl of a food processor and process until finely ground.
Using an electric mixer, beat together the, butter, cream cheese, sugar, vanilla or almond extract and salt until light in color and fluffy.
Turn the speed to low and gradually beat in the flour. Use a wooden spoon to stir in the ground almonds. (Dough will be very stiff.)
Prepare a baking sheet by lightly greasing it or lining it with parchment paper.
Using about 1 tablespoon of dough, roll the dough between your palms to create a 2- to 3-inch log or finger. Make one end of the finger flat (the "severed" end) by cutting it at a slight diagonal with a sharp knife. Dip this end in the decorative red sugar sprinkles.
The other end should be slightly rounded; make an indentation in the rounded end and place one of the reserved almond slices in the indentation to create a fingernail. Using a sharp knife, make 3 crosswise slits in the center of the finger for the knuckle.
Place the finger on the prepared baking sheet and repeat with remaining dough, placing the fingers about 2 inches apart.
Bake the cookies for 15 to 20 minutes or until lightly browned. Cool for 3 minutes on the baking sheet and then carefully transfer to wire racks. Store cookies at room temperature in an airtight container.