The total picture of the Earth-atmosphere energy balance must include non-radiative effects---conduction and convection---along with the radiation (incoming sunlight and outgoing IR)

The latent heat is heat that is absorbed or released by water molecules undergoing a phase change (i.e., from solid to liquid or liquid to gas or back). The heat is used to change the molecular macrostructure of the water, not to change the kinetic energy of the molecules (so there is no temperature change, even though heat is being absorbed or released). If wind is transporting water vapor around, then heat is also being transferred by being in the vapor (heat is absorbed by evaporating water molecules at the ground, and released elsewhere when the vapor condenses into clouds).