Peppermint Snowballs

I was trying to figure out what cookie to make for my annual cookie exchange party, so I perused one of those emails I am sure you have all gotten with the hundreds and hundreds of cookie recipes. This one caught my eye. I didn't make them for the party, but I've still had rave reviews! So here's the recipe:

Peppermint Snowballs (although they look nothing like a snowball)
(thanks to Northpole.com)

1 1/2 c. powdered sugar

1 1/4 c. butter, softened

1 tsp. peppermint extract

1 tsp. vanillla

1 egg

3 c. flour

1 tsp. baking powder

1/2 tsp. salt

1 c. finely crushed peppermint candy (divided)

granulated sugar, as needed

Heat oven to 350 degrees.

Combine the powdered sugar, butter, peppermint extract, vanilla and egg.

Beat at medium speed, scraping bowl often, until creamy (2-3 minutes).

Reduce speed to low and add flour, baking powder and salt.

Beat, scraping bowl often, until well blended (1-2 minutes).

By hand, stir in 1/2 c. candy.

Shape dough into 3/4" balls; roll in granulated sugar; place 1" apart on cookie sheet.

Bake for 10-12 minutes or until set.

Cool completely.

GLAZE

Combine 1 1/2 c. powdered sugar and enough milk (2-3 T.) for desired consistency. Drizzle cooled cookies with glaze. Immediately sprinkle with the remaining peppermint candy.