You can use either flour or powdered sugar to roll out your cookies, but I prefer powdered sugar. Since you’re re-rolling the dough repeatedly, powdered sugar keeps the cookies from becoming too dense/floury.
Remember to keep your surface and rolling pin well-dusted with flour/powdered sugar. Using powdered sugar, you may need to dust your surface and rolling pin more often.
Before baking make a ring around the top so you can thread some ribbon and hang your cookies on the tree.
1 cup butter, softened
1/2 cup powdered sugar
2 cups all-purpose flour
Preheat oven to 350 170 Degrees. Prepare two large baking sheets lined with parchment paper or a Silpat.
In a large bowl, cream together butter and sugar. Add flour and continue to mix until mixture forms a soft dough (it will be crumbly at first, but keep mixing and it will form a dough). Form dough into a cohesive ball with your hands.
Roll dough 1/4-inch thick on a surface dusted with flour or powdered sugar* with a well-dusted rolling pin. Cut into rounds and place on prepared baking sheets. Repeat as necessary.
Bake for 16-18 minutes, or until cookies are pale golden brown. Let cool on baking sheets.