If you use Publisher...

Do you have a duplex unit?

Page setup, booklet, type 4.25 width, 5.5 height. Publisher will say it will
print two copies per sheet. If you only want one copy per sheet, you will have
to cut your stock first and create a custom print size in print setup.

Create a text box on the first page you want the booklet to start, copy the text
from Word, paste it in the text box, Publisher will create pages and text boxes
automatically.

There is a tutorial here that will help you figure out your printer's margin
limitations.
http://ed.mvps.org/Static.aspx?=Publisher/horidiag