The present invention provides a retractable adapter for connecting a towed vehicle to a towing vehicle. The retractable adapter may include a lower housing, an upper housing and a retractable mechanism to store the wiring harness when not in use with the towed vehicle. The lower housing may be attached to the towing vehicle. The adapter may include a rotating disc assembly, a wire guide assembly and an electrical connector or wiring harness that may be coiled around the wire guide assembly. The adapter may also include a circuit tester with light emitting diodes (LEDs) and a backup alarm. In addition, the adapter may mate a seven-way blade connector to a four-flat connecter harness.