Mexican Wedding Cookies

I love these little powdered sugar delights!

1 c. butter
1/2 c. sugar
2 t. vanilla
2 t. water
2 c. flour, sifted
1 c. almond or pecans (I used pecans)
1/2 c. powdered sugar

Cream butter and sugar. Stir in vanilla and water. Add sifted flour and nuts, mix until blended. Cover and chill for 3 hours. Preheat oven to 325. Shape dough into balls or crescents. Bake on an ungreased cookie sheet for 15-20 minutes. Cool on wire racks. Roll in powdered sugar. (the powdered sugar sticks better if the cookies are still slightly warm when you roll them.)