1 cup (2 sticks) butter, softened
1/2 cup sifted confectioners' sugar
1 tsp. vanilla
2 1/2 cups all-purpose or self-rising flour
1/2 cup walnuts (or other nuts), chopped fine

Cream butter. Gradually add sifted confectioners’ sugar and vanilla, creaming well.

Add flour and walnuts gradually. Mix thoroughly.

Chill dough while preparing Peppermint Fudge Filling (below).

Shape chilled dough into balls, using a rounded teaspoonful for each. Make a deep hole in center of each and fill with about 1/4 teaspoon Filling; seal. Place on ungreased baking sheets.

Bake at 350°F for 12 to 15 minutes until set but not brown.

While warm, roll in remainder of peppermint candy-sugar mixture. When cool, reroll in candy mixture.

Makes about 3 1/2 dozen.

PEPPERMINT FUDGE FILLING:

1/2 cup crushed pink peppermint stick candy (about 1/4 lb.)
1 cup sifted confectioners' sugar, divided
2 tbsp. (1 oz.) cream cheese
1 tsp. milk
1 drop red food coloring

Combine crushed candy and 1/2 cup sifted confectioners’ sugar. Set aside.

Blend together cream cheese and milk until smooth and creamy.

Add gradually remaining 1/2 cup sifted confectioners’ sugar, 3 tablespoons of the reserved peppermint stick candy-sugar mixture and red food coloring. Mix well.