• Step 1

  Make vanilla-flavored sugar:

• Step 2

  Scrape vanilla seeds out with the tip of a paring knife. Combine seeds with powdered sugar in container. Set aside 2/3 cup vanilla-flavored sugar. Store remaining sugar covered at room temp.

• Step 3

  Make dough:

• Step 4

  Mixing (electric mixer method): Cream butter, powdered sugar, salt and cinnamon on MED speed until combined and lightened, scraping bowl and paddle as needed.

• Step 5

  Add egg yolk and vanilla extract. Mix to combine.

• Step 6

  Stop mixer; add flour and nuts. Mix on LOW just until flour and nuts are combined.

• Step 7

  Transfer dough to a lightly floured surface; form into rectangle about 1/2-inch thick. Dough will be soft. Wrap with plastic wrap; refrigerate at least 3 hours or overnight.

• Step 8

  Mixing (food processor method): Add butter, powdered sugar, salt and cinnamon to processor bowl; process until combined and lightened, scraping bowl as needed.

• Step 9

  Add egg yolk and vanilla extract. Pulse to combine.

• Step 10

  Add flour and nuts; pulse just until a dough is formed.

• Step 11

  Transfer dough to a lightly floured surface; form into rectangle about 1/2-inch thick. Dough will be soft. Wrap with plastic wrap; refrigerate at least 3 hours or overnight.

• Step 12

  Make cookies:

• Step 13

  Preheat oven to 350 degrees. Divide dough into thirds. Transfer one third to lightly floured work surface; replace remainder in fridge until you're ready to work with it. Cut working dough into approx 1-inch squares; gather up a handful and knead this briefly on work surface to evenly soften dough.

• Step 14

  Using lightly floured hands (dip in flour, then clap off excess), roll dough into log shape. Cut log into 4 equal pieces; roll each piece into rope approximately 3/8-inch in diameter. Cut ropes into 3/4-inch lengths; roll each segment into small round balls.

• Step 15

  Arrange about 1/2-inch apart on parchment paper-lined baking sheet.

• Step 16

  Bake on center rack of oven 8-9 min until edges begin to brown slightly. Let cool on baking sheet 1-2 min, then, while still warm, carefully toss in 3/4 cup vanilla-flavored powdered sugar to coat entire surface.

• Step 17

  Transfer to separate (cool, not warm) baking sheet to cool completely. Store in a covered container at room temperature.

• This very soft dough should be kept cool while working with it for as long as possible for ease of handling and successful results. Use only enough flour as needed to be able to roll and handle the dough without it sticking to the work surface. • Replenish sugar as needed to keep vanilla sugar "on hand"...it's delicious in coffee or tea, dusting muffins or French toast, etc. Refresh pod as needed. Dried-up pods can be ground with spice grinder and added back to sugar container.

Note: When servings & ingredients are modified, nutrition & directions may vary.