CSS problem with UL

hey all,

I'm making a horizontal menu using CSS for a website. I can get margin-left to work, but I can't get margin-top or padding-top to work. The text just wants to stay near the top. I'd like it vertically centered, or at least able to move down in pixels. Am I doing something messed?

Here's the code:

#menu {
height: 25px;
width: 700px;
background-image: url(menu-bg.gif);
font-family: trebuchet MS, tahoma;
font-size: 13px;
font-weight: bold;
color: black;
border: 0;
}

#menu ul {
margin-left: 15px;
display: inline;
}

#menu li {
margin-top: 15px; /*just trying to do this */
display: inline;
}

#menu a {
color: black;
text-decoration: none;
}

#menu a:hover {
text-decoration: underline;
}

Here's the html:

<div id="menu">
<ul>
<li><a href=#>one</a></li>
<li><a href=#>two</a></li>
<li><a href=#>three</a></li>
<li><a href=#>four</a></li>
<li><a href=#>five</a></li>
<li><a href=#>six</a></li>
<li><a href=#>seven</a></li>
</ul>
</div>