Eggnog Teacakes

1 cup butter, softened
1 1/2 cups powdered sugar
1 teaspoon vanilla extract
1/4 teaspoon rum extract
2 1/3 cups flour
3/4 teaspoon ground nutmeg
1/4 teaspoon salt
1/3 cup chopped pecans

Heat oven to 350*F.
Cream the butter and 1 cup of the powdered sugar in a large bowl using an electric mixer on medium speed until creamy.
Add the vanilla and rum extracts; blend well.
Reduce mixer speed to low and add the flour, nutmeg, and salt; beat just until combined. (mixture will be dry and crumbly.).
Stir in the pecans by hand.
Shape dough into 1" balls; space 1" apart on ungreased cookie sheets.
Bake 13-16 minutes, or until cookies are set.
Cool on wire racks 10 minutes; roll in remaining powdered sugar while cookies are still warm.