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Best setup for sound:

You need Soundflower and Line In

Open Live and create an Audio Track for your Microphone. Set the input so that the mic is coming from your soundcard.

Send Live's Output to Soundflower 2 CH

In G+, set Audio In from Soundflower 2 CH and Audio out to Built In headphones.

Then Launch LineIn. Use LineIn to patch Live's signal from Soundflower to Built In Headphones.

There is a slight delay on the Mic from Live but this is the first time I've gotten all audio where it needs to be without any weird glitches.
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