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Preheat oven to 350° F. In a large bowl, cream butter, granulated sugar and ½ cup confectioners sugar.
Add egg and vanilla. Stir in 2 1/2 cups flour, baking powder and salt.
Add ground almonds to mixture. Mix thoroughly to form a stiff dough, adding additional flour if necessary.
Dip hand in confectioners' sugar and roll dough into 1" balls and place on ungreased cookie sheet.
Bake 12-15 minutes or until bottom edges are just beginning to brown. Remove from sheet and cool on wire rack.
Dust with confectioners' sugar.