In a large bowl, sift the powdered sugar and then add the meringue powder.

Add the vanilla extract and start with 1/2 cup of water, mixing with a hand mixer or stand mixer on high speed.

Beat the mixture for about 2 minutes. If the icing is too thick, add more water, one tablespoon at a time, until it reaches the desired consistency. The icing should slowly drizzle down and disappear back into the bowl within 10 seconds when lifting the whisk.

Change the color using the gel food coloring if preferred.

Use immediately for decorating, or cover the surface with plastic wrap to prevent drying if not using right away.