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

In a medium mixing bowl, whisk together the sifted all-purpose flour, baking powder, and salt.

Using a stand mixer, cream together the softened butter, sugar, and honey at medium speed for about 3-4 minutes until light and fluffy.

Add the eggs, one at a time, mixing well after each addition. Then, add the vanilla extract and blend for an additional minute.

With the mixer set to low speed, alternately add the flour mixture and milk, starting and ending with flour until just mixed.

Gently fold the finely diced peaches into your cupcake batter using a spatula.

Scoop the batter into the lined muffin tin, filling each liner about two-thirds full. Bake for 18-22 minutes.

Once baked, cool in the tin for about 5 minutes before transferring to a wire rack.

In a bowl, beat the softened cream cheese and butter until smooth. Gradually add the powdered sugar.

Once cooled, frost each cupcake with the cream cheese frosting and optionally decorate with peach slices.