With Xbox LIVE Gold membership, you're granted access to online multiplayer for all games that support online play. This allows you to play with or against other Xbox LIVE Gold account holders using your home internet connection. Along with playing games, you can also communicate with other players using an Xbox 360 wired or wireless headset. If you want to test your Xbox headset to see if it's working, you can test it through the Xbox 360 guide menu.
Power on your Xbox 360 and a controller.
Connect your Xbox 360 headset to the console. Plug the stereo connector into the jack on the bottom of your controller if using a wired headset, or press the sync button on the front of the Xbox 360 and then press the sync button on the headset itself if using a wireless headset.
Put on the headset. The wireless headset clips onto your ear with the microphone facing toward your mouth. The wireless headset slides on so it goes over the top of your head with the speaker against your ear. Adjust the microphone so it's comfortably located near your mouth. Which side you wear your headset is a matter of preference.
Press the centre button on the Xbox 360 controller to bring up the Guide menu.
Select the Messages option.
Choose Create New and select Message.
Choose a gamertag from the list or enter a new one.
Choose the Add Voice option.
Choose the Record Message option and press the "A" button on the controller when you're ready to start recording.
Speak into the headset microphone for roughly 10 seconds and press "A" when you're ready to stop recording.
Choose the Play Message option to hear what you recorded. If you hear your message, your headset is functioning properly.
If you don't hear your message, try adjusting the volume level on the headset to see if that resolves the issue. If your Xbox 360 headset works, but still has issues while playing games on Xbox LIVE, adjust the Family Settings under the System Settings menu (located in the Guide menu). From the Family Settings menu, choose Xbox LIVE Controls and pick the profile you want adjusted. Then select Privacy and Friends and tweak the Voice and Text settings as you see fit.