Bake and cool cupcakes in silicone cups supported by cookie sheet. Pipe tip 2A head, building up for dimension; round with spatula. For arms, cut lollipop sticks to 3 in. long. Insert 1 1/2 in. deep through tip 21 into bag of icing; squeeze as you pull out stick. For hands, divide skin tone fondant into 4ths. Roll each piece into a ball and flatten slightly. Shape hand and cut slits for fingers. Clean icing off 1/2 in. of iced arm; attach hand. Insert arms in cupcake. Use tip 3 to pipe dot or outline eyes; outline and pipe in mouths. Use tip 7 to pipe dot noses and tip 4 to pipe outline or pull-out hair. Insert flag picks; curl fingers around. Attach crown; insert hat.
Combine Red-Red with Christmas Red for red shown. Combine Lemon Yellow with Golden Yellow for yellow shown. Combine Brown with Red-Red for brown shown.