Need advice on getting an ink jet (DJ 500?)

[ssherman@nyx.cs.du.edu (stacy sherman)]

I'm tired of my Imagewriter II jamming up on me.  The paper often
feeds back into the platen or the tractors, and the paper guide
catches on my mailing labels even when I move the print head back to
the point where the print gets light.
 
I'm thinking about buying an ink jet printer for my IIgs.  I need to
know what will work for me though.  From what I understand, the best
ink jet to buy for the GS would be an HP deskjet 500.  Vitesse makes
drivers for this I think.
 
I need to know how it works with Appleworks and Appleworks GS.  You
can buy ink jet drivers for desktop applications but can you print to
it OK from Appleworks 3.0?
 
Does this type of setup work reasonably well with AWGS and pointless?
I use AWGS to print letters, databases, etc.  I also print mailing
labels with it.  Can you set up AWGS to mail merge on to the 4 or 5
across labels that you use with laser and ink jet printers?
 
The only thing I use AW 3.0 for is to print bills each month.  These
bills are 3.5 x 8.5 and are 3 to a page.  Since I can't specify this
type of page size in AWGS, I need to print them using Appleworks 3.0.
Can I do this with a deskjet, or will the Harmonie drivers allow me
to specify a custom page size so I can do it from AWGS?

Do I need a parallel card for a DJ 500?  If so, is there a serial printer 
I can get?
 
I hope someone who ones an inkjet & a IIGS can help me.  Thanks in
advance.
 
Stacy