Pre-heat your oven to 350°F.
In a mixing bowl, cream the butter and sugar together.
Add in the egg, vanilla, and almond and mix well.
In a separate bowl, mix together the flour and baking powder.
Add in half the flour mixture to the wet mixture and mix.
Add in the second half of the flour mixture, and mix. The mixture will be dry, but keep mixing and kneading until it's a soft, pliable consistency (like play dough).
Sprinkle flour on a flat surface, and on top of your ball of dough, and roll it until it's about ¼" - ⅓" thick.
Cut your rectangles out using the cookie cutter set listed, and place them on a cookie sheet that's been sprayed with non-stick spray.
Use your smaller rectangle cookie cutter to cut the small rectangle out of the big rectangle.
Grind your candy one color at a time until it's in small pieces.
Make your flag designs using the crushed candy. I started with the blue corner, then did the top and bottom red stripes, then the two white stripes, then finished with the last red stripe in the middle.
Bake them at 350 for 8-9 minutes and then remove them from the oven.
Immediately add the silver stars to the blue from the oven. If you wait too long they won't stick.
Let them cool on the pan for 5-10 minutes, until the candy has hardened.
Use a metal spatula to remove them from the cookie sheet once the candy is hard and place them on a cooling rack to let them finish cooling.