Line a baking sheet with parchment paper.

Spoon out either 1-2 teaspoons of Nutella for smaller cookies or 1-2 tablespoons of Nutella for larger cookies and place it on prepared baking sheet. If possible, try to keep Nutella in round or oval shapes. Note: If making larger cookies, you may need more Nutella than listed in the recipe.

Transfer baking sheet to freezer so Nutella can firm up.

In a large bowl, whisk together flour, baking soda, baking powder, and salt. Set bowl aside.

Using a stand mixer (or hand mixer + large bowl) cream together butter and 1 ½ cups sugar on medium speed until light and fluffy, about 3-5 minutes.

Reduce mixer speed to low and add egg and vanilla to creamed butter, mixing thoroughly.

Remove bowl from mixer. Using a spatula, slowly add dry ingredients in with butter mixture until fully incorporated. Dough should be soft and slightly tacky when ready.

Cover bowl with plastic wrap and chill dough in the refrigerator for 1 hour.

Preheat oven to 350°F. Line a large baking sheet with parchment paper. Add remaining ½ cup granulated sugar to a small bowl and set nearby.

Remove dough from refrigerator and frozen Nutella from freezer. For smaller cookies, scoop out about 1-2 teaspoons of cookie dough and flatten into a circle about 1-2 inches in diameter. For larger cookies, scoop out about 1-2 tablespoons of cookie dough and flatten into a circle about 2-3 inches in diameter. Repeat this step so you have two flat pieces of cookie dough. Put a piece of frozen Nutella between two dough pieces and pinch sides closed. Roll cookie into a ball shape, then toss cookie ball in bowl of sugar, coating outside. Place finished cookie ball on prepared baking sheet. Repeat this step until all dough and Nutella is used, placing cookies about 2 inches apart. Note: as you work, you may need to pause to freeze Nutella again so that it keeps its shape.

Bake smaller cookies for 10-12 minutes or larger cookies for 14-16 minutes. Cookies are done when top of cookie begins to crinkle and bottoms are light golden brown.

Let cookies rest on baking sheet for 5-10 minutes, then transfer to a wire cooling rack to cool completely.

Serve as desired.