The first time I went to Michigan and met my husbands family, they made these for me. What a great way to get to know someone and be put at ease, is to bring them into your kitchen. That was 35 years ago and have been making them for Christmas every year. My family has a tradition of making as many as we can on Christmas Eve and giving them to family and friends.
Let cream cheese and margarine get room temperature. In large bowl mix together with hands, cream cheese, margarine and flour. Mix well. Form dough into balls about the size of a ping pong ball. (makes about 45) Put in refrigerator over night.
Keep work area sprinkled with powdered sugar. Roll ball into oval shape. Put one teaspoon of filling in center and roll up like a cresent roll. Pinch ends so filling won't bake out. Brush with egg white and bake on cookie sheet lined with waxed paper. Bake at 325 degrees for 20 minutes or until golden brown. Remove immediately from sheet and put on racks to cool. Sprinkle with powdered sugar after cool.
Filling: put milk and sugar in saucepan. Heat till sugar melts. Add lemon extract. Stir. Pour over ground walnuts and mix well. Let cool. Any left over filling is good on ice cream.