Preheat the oven to 350°F (175°C). Grease and flour a 9-inch round cake pan.

In a mixing bowl, cream together the softened butter and granulated sugar until light and fluffy.

Add the eggs one at a time, mixing well after each addition. Stir in the vanilla extract.

In another bowl, whisk together the flour, baking powder, and salt.

Gradually add the dry ingredients to the wet mixture, alternating with the milk. Mix until just combined.

Fold in the sliced peaches gently into the batter.

Pour the batter into the prepared cake pan. If desired, sprinkle brown sugar and cinnamon on top.

Bake in the preheated oven for 30-35 minutes, or until a toothpick inserted into the center comes out clean.

Allow the cake to cool in the pan for 10 minutes before transferring to a wire rack to cool completely.