In a small bowl, beat together the cream cheese, powdered sugar, and 1/4 tsp vanilla until smooth.

In a shallow dish, whisk the eggs, milk, remaining 1/4 tsp vanilla, cinnamon, and salt until blended.

Cut a pocket into the side of each bread slice. Spoon about 1 tablespoon of the cream cheese mixture into each pocket and press the bread closed.

Melt 1 tbsp butter in a skillet over medium heat. Dip each stuffed slice into the custard, letting excess drip off. Cook for 3 to 4 minutes per side until golden, adding more butter as needed.

Transfer to plates, dust with powdered sugar, and serve immediately.