Although this recipe can be halved, it's worth making mounds of these melt in your mouth cinnamon crescents, since they freeze perfectly and thaw quickly. Rugalahs can be frozen either baked or unbaked. To bake frozen rugalahs, allow an extra five minutes cooking time.
In large bowl, using pastry blender or 2 knives, cut butter into flour until mixture resembles coarse bread crumbs. Cut in cream cheese until dough feels moist. Knead dough until you can gather into large ball. Divided into 8 pieces. Wrap individually and refrigerate at least 1 hour or overnight. (Let dough stand at room temperature for about 15 minutes before rolling)
In medium bowl combine brown sugar, cinnamon and cocoa. Stir in hazelnuts. Set aside until ready to use.
On lightly floured surface, roll each piece of dough into circle 10 inches in diameter. Spread about 2 Tbsp. jam over each circle; sprinkle with some brown sugar mixture. Cut circle into 10-12 equal wedges. Roll up each one from outside, curving slightly to form crescent. Place about 2 inches apart on greased or parchment lined baking sheet. Repeat with remaining pieces of dough.
Beat together egg and salt and brush it onto each cookie.
Sprinkle with coarse sugar or nuts.
Makes 96 crescents.