In a large mixing bowl, combine warm milk and active dry yeast. Let it sit for 5-10 minutes until frothy.

Stir in sugar, salt, melted butter, beaten egg, and flour. Mix until a dough forms, then knead for 5-7 minutes until smooth.

Place the dough in a greased bowl, cover with a towel, and let rise in a warm area for about 1 hour.

For the filling, mix sliced peaches, sugar, and cinnamon in a medium bowl until the peaches are coated.

Roll the dough into a 16x12 inch rectangle and spread the peach filling on top.

Roll the dough tightly into a log and slice into 12 rolls. Arrange rolls in a greased baking dish.

Cover and let the rolls rise for 30 minutes in a warm spot.

Preheat oven to 350°F. Bake rolls for 25 minutes until golden brown.

Prepare frosting by beating cream cheese and powdered sugar together, adding milk for creaminess.

Once the rolls are out of the oven, frost them while warm and serve.