I was looking to do the same thing, and implemented something even simpler. I just put a new div around each post. The overall content div is the higher level container. Works a treat:
<!-- Display the Title as a link to the Post's permalink. -->
<div class="embedpost">
<h2><a href="<?php the_permalink(); ?>"><?php the_title(); ?></a></h2>
<p><?php the_tags(); ?></p>
<!-- Display the Time. -->
<small><?php the_time('F jS, Y'); ?></small>
</div>
and the css:
.embedpost {
width:48%;
float:left;
padding:0 0 0 10px;
margin:0 0 20px 0;
}