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Preheat oven to 350°F (175°C) and line baking sheets with parchment paper.
Beat butter, brown sugar, and sugar until light and fluffy.
Beat in egg and vanilla until smooth.
Mix flour, baking soda, cinnamon, and salt; add to butter mixture until a soft dough forms.
Scoop 2 tbsp dough, flatten, place caramel inside, wrap dough around it to form a ball.
Roll in cinnamon-sugar mixture; bake 10–12 minutes until golden and soft.
Let cool slightly; enjoy warm for gooey centers or store once cooled.