A phone case with a retractable headset integrated thereof includes a removable housing, a headset with two earbuds, and a cord for the headset with a pair of free ends and a plug. The housing includes a wire storage slot for the earbud cord, and the wire storage slot includes a spring-loaded reel for automatic retracting of the cord when not used. It further includes an earbud storage slot with an opening at one edge of the housing for storing the earbuds; a plug storage slot with an opening at another edge of the housing for storing the plug close to the headset jack of a mobile phone; and the wire storage slot, earbud storage slot, and plug storage slot are interconnected via said headset cord. A plurality of wheels are positioned inside the case for routing the headset cord through the earbud storage slot, wire storage slot, and plug storage slot. The headset is integrated with the housing with earbuds retractably stored in said earbud storage slot and said headset cord stored in said wire storage slot and plug storage slot.