Beat the cream cheese in a large mixing bowl until smooth and creamy, about 2-3 minutes.

Gradually add the powdered sugar and vanilla extract, mixing on low speed for about 2 minutes.

Fold in the whipped topping gently until well integrated, about 1-2 minutes.

Mix in the food coloring until you achieve the desired pastel hue, about 30 seconds to 1 minute.

Carefully fold in half of the sprinkles or mini candies, reserving some for topping.

Transfer to a serving bowl, cover with plastic wrap, and chill for at least 30 minutes.

Serve with assorted dippers like graham crackers, pretzels, and fresh strawberries.