New Headset

I just got a new USB headset microphone with separate inputs.  I have not had luck recording both ends of a Skype call since I got it.... Wondering if I have it hooked up wrong.  I've got the mic hooked to the USB and the audio to my laptop jack.  I've attached a photo to show my setup.  Is this correct? Thanks, Pam
Image icon headsetsetup.JPG56.6 KB

I haven't had much luck with that set up either.  It seems that it is hard to trick the computer to capturing the sound from the soundcard.  It still wants to capture the sound from the microphone.  I know Jeff (and I recently) use the usb splitter to increase the quality of microphone.  I put a clip mic into usb splitter input.  I leave the head set side open.  So the mic input from headset is left out.  I put the sound input from headset into the sound card.  I then attach (tape) my external clip mic to the headset.  I am not using the usb mic on headset.   

Jose Rodriguez, Co-Facilitator Webcast Academy Session 2.3; It's Elementary Webcast