Preheat oven to 350°F (175°C). Line baking sheets with parchment paper.

In a large bowl, cream together the softened butter and granulated sugar until light and fluffy.

Beat in the egg and vanilla extract until well combined.

In a separate bowl, whisk together the flour, baking soda, salt, and nutmeg.

Gradually add the dry ingredients to the wet ingredients, mixing until just combined. Do not overmix.

Drop rounded tablespoons of dough onto the prepared baking sheets, about 2 inches apart.

Bake for 10-12 minutes, or until the edges are lightly golden. The centers should still be soft.

Let the cookies cool on the baking sheets for a few minutes before transferring them to a wire rack to cool completely.

While the cookies are cooling, prepare the icing. In a medium bowl, whisk together the powdered sugar, milk, and almond extract (if using) until smooth and pourable. Add more milk a teaspoon at a time if needed to reach desired consistency.

Add the green food coloring, one drop at a time, and stir until you achieve a vibrant Grinch green color.

Once the cookies are completely cool, dip the tops into the green icing, letting any excess drip off.

Immediately place a red heart candy onto the center of each iced cookie before the icing sets.

Allow the icing to set completely before serving or storing.