Mic input not sent to speakers

I am using Windows 7 and using Audacity to play backings while I play sax and record myself to try to get better. The mic input plays through the speakers while recording which makes it hard to hear the backing track. Is there any way that I can stop it playing through the speakers or reduce the mic volume without affecting the backing volume or the recorded volume?

Audacity > Edit > Preferences > Recording: [_] Playthrough (de-select) > OK.

[X] Overdub should be the only thing selected in that panel.