Preheat your oven to 375°F (190°C). Line two large baking sheets with parchment paper or silicone baking mats. Unwrap all of the chocolate kisses and set them aside.

Combine Wet Ingredients and Sugars: In a large mixing bowl, using an electric mixer, cream together the softened butter, 1/2 cup granulated sugar, and light brown sugar until the mixture is light and fluffy, about 2 to 3 minutes.

Incorporate Peanut Butter and Flavoring: Beat in the peanut butter until fully combined. Add the egg and vanilla extract and mix until just blended, scraping down the sides of the bowl as needed.

Combine Dry Ingredients: In a separate medium bowl, whisk together the all-purpose flour, baking soda, and salt.

Mix Dough: Gradually add the dry ingredient mixture to the wet mixture, mixing on low speed until the dough comes together and no streaks of flour remain. Be careful not to overmix the dough.

Prepare Rolling Station: Pour the reserved 1/4 cup of granulated sugar into a small, shallow dish for rolling the cookie dough.

Scoop and Roll: Scoop the cookie dough using a small cookie scoop (about 1 tablespoon) or roll the dough into uniform balls, approximately 1 inch in diameter. Roll each dough ball thoroughly in the dish of granulated sugar to coat all sides completely.

Arrange and Bake: Place the sugared dough balls onto the prepared baking sheets, spacing them about 2 inches apart. Bake the cookies for 8 to 10 minutes. The cookies should be lightly golden brown and appear set, but they should still look slightly soft in the center.

Add Chocolate Kisses: Immediately upon removing the cookies from the oven, gently press one unwrapped chocolate kiss firmly into the center of each hot cookie. The pressure should cause the cookie to crack slightly around the edges.

Cool Completely: Allow the cookies to cool on the baking sheet for 5 minutes before carefully transferring them to a wire rack to cool completely. The chocolate kisses will be soft and meltable; do not touch or move them until the chocolate has fully set, which may take up to an hour at room temperature.