I have been trying to calibrate steps per unit using mach 3 settings and checking with digital readout.  Not consistent.  It will be off. 018 going in positive direction and. 786 in negative direction.

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Those numbers are off using 10 inches of travel

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Calculate the steps per unit from your hardware specs.
Hood

I will set x and y to 20000 and z to 22222.2222 . Then hopefully adjust settings until its accurate.  This will fix the problem of traveling different in positive and negative directions?

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It is set at 20000 steps per unit. It is consistently travelling .990 in one direction and 1.06 in the other.

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As Hood stated your hardware specs determine the correct step/unit, other methods are approximations subject to the accuracy of your measurements. You might want to take a look at a stepper calculator http://www.machsupport.com/forum/index.php/topic,16315.0.html
 to verify/confirm your calcs.
Also are you allowing for backlash in your measurements? Backlash could account for what you are seeing.
al

Im using a digital readout for the travel measurements

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I got the steps per unit correct in the settings. I entered 3 inch moves and it was correct with the digital readout. But when I went to mdi and entered a motion it over traveled again. Feeling like its never going to be right to be honest.

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Now its moving correct with straight cuts but not angles or arcs. I need help PLEASE. I have to get this fixed and im learning as I go.

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You never answered in regards to backlash. After you got your distances traveled correct did you measure for backlash? Do you have it entered and enabled? What % is your arc slow down set to? Do you have CV or Exact Stop selected?