Preheat your oven to 350°F and line a baking sheet with parchment paper. This gives the oven time to reach the proper temperature while you prepare the dough, ensuring even baking throughout. Having your workspace ready before mixing prevents the dough from sitting too long at room temperature.

In a large mixing bowl, combine the vegan butter, peanut butter, sugar, and vanilla extract. Using an electric mixer or vigorous hand mixing, beat these ingredients together for 1-2 minutes until the mixture is light, fluffy, and well-combined. The creaming action incorporates air into the fat, which helps the cookies achieve a tender crumb. I find that creaming these ingredients thoroughly makes a noticeable difference in cookie texture—don't rush this step.

Add the water and flour to the wet ingredient mixture from Step 2, mixing on low speed or by hand until just combined. The dough should come together into a cohesive ball with no visible dry flour streaks. Be careful not to overmix, as this can develop gluten and create tough cookies. I like to use the water here as it helps bind the vegan butter and peanut butter together more smoothly than relying on those ingredients alone.

Working with the dough from Step 3, spoon rounded tablespoon-sized portions onto your prepared baking sheet, spacing them about 2 inches apart. Using your thumb or the back of a small spoon, gently press an indent into the center of each cookie—make the thumbprint deep enough to hold the preserves without overflow, but not so deep that it goes through to the bottom. Divide the fruit preserves evenly among all the cookies, spooning about 1/2 teaspoon into each indent. This is the moment to make the presentation beautiful; take your time with placement.

Place the baking sheet in your preheated 350°F oven and bake for 15 minutes, until the cookies are set but still slightly soft to the touch and the edges are just beginning to turn golden. The cookies will continue to firm up as they cool. Remove from the oven and allow the cookies to cool on the baking sheet for at least 30 minutes before serving. This cooling time allows the structure to set fully, preventing the preserves from running and helping the cookies hold their shape when you pick them up.