Printing on 1.5" tall labels
Edit your label template.Pull down the File menu to Page Setup. Click on the Page Setup button. Click on the Printer button, then make sure the correct printer is selected. Click OK.
Choose a paper size of 8.5 x 12. You need a 12" paper size because 1.5" divides evenly into 12, and that's the key to not having labels skip.
Choose a source of tractor feed or continuous feed. Click OK.
In the Print Area, choose Whole Page rather than Printable Page. Click OK.
In the Label Designer, pull down the Report menu and make sure Printer Environment is checked.
Close the template, save the changes, and you're set!