1) The first 5 ingredients are the dough, the remaining 5 ingredients are the frosting.
2) Filling: Combine crushed candy and 1/2 c powdered sugar. Measure 3 T for use in filling. Use remainder for rolling cookies in after baked.
3) Blend together cream cheese and milk until smooth and creamy. Gradually add remaining 1/2 c. powdered sugar and 3 T candy and red food color. Mix well. Set filling aside.
4) Dough: Cream butter, powdered sugar and vanilla. Slowly add flour and nuts. Mix thoroughly. Refrigerate dough until chilled.
5) Shape dough into balls using rounded teaspoons. Make deep hole in the center of each. Fill hole with 1/4 tsp. filling and seal.
6) Bake on ungreased cookie sheet in a preheated oven set to 350 degrees for 12-15 min. or until set but not brown.
7) While still warm, roll cookies in leftover sugar/candy mixture. Let cool. Roll in mix again. Enjoy.