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Step 1
Place the butter and sugar in a medium bowl. Beat them with an electric mixer on medium speed until the mixture is pale and fluffy, about 1-2 minutes. (This process is called creaming the butter and sugar.) Beat in the vanilla and water until combined.
Step 2
Sift in the flour and add the almonds. Beat on medium-high speed until ingredients are blended. Cover the bowl with plastic wrap and chill for at least 1 hour.
Step 3
Preheat the oven to 325 degrees Fahrenheit.
Step 4
Shape the dough into bite-sized balls or crescents. Place the cookies on a cookie sheet and bake for 15 to 20 minutes.
Step 5
Remove the cookies from the baking sheet and let them sit for 5 minutes, or until they are cool enough to handle.
Step 6
Place the powdered sugar in a medium shallow bowl. Roll the cookies in the sugar until coated on all sides. Let the cookies cool completely.
Step 7
Roll the cookies again in powdered sugar once or twice more. Enjoy!