Abstract: A bit receiving device includes a shank having a first polygonal recess in for receiving a bit therein. A second polygonal recess is defined in a second end of the shank for receiving an extension rod therein. A chamber is longitudinally defined in the shank and a flange extends inward from an inner periphery of the chamber. The chamber has an inner diameter which is larger than an inner diameter defined by the flange. A rod is movably received in the first chamber and a magnetic member is connected to a first end of the rod. A second end of the rod is an enlarged end which is stopped by the flange when the rod is extended from the first polygonal recess.