Convertible handset/headset for telephone

A miniature telephone handset that is convertible into a headset for use in conjunction with a telephone base unit. The telephone handset includes a housing, a microphone mounted near one end of the housing, an earphone mounted near the other end of the housing, a cable for electrically connecting the microphone and the earphone to the telephone base unit, a bushing rotatably coupled to the housing near the earphone end, and a removable headband adapted for insertion into the bushing and operable for supporting the housing next to a user's head when used as a headset.