Fred is a Scrooge-like miser during the Christmas season and his friends try to get him to join into the Christmas spirit, but he rejects the attempts. After being accused of a being a Scrooge, Fred falls asleep and dreams up "A Christmas Carol." Now it is up to the spirits to take on the challenge that his friends failed at.

The day has come for Aunt Esther and Woody to meet their son but they are in for a shock when he helps himself to their cash register. Later, Esther is in for an even bigger shock when he announces that he doesn't believe in God. Esther promptly kicks him out and he takes refuge at the Sanford residence.

Aunt Esther and Woody stop by for a visit and as usual, Fred insults Esther and she responds by promptly hitting Fred in the head with her purse. Apparently the blow to his head is so strong that it knocks him out and when he wakes up begins having memory lapses. This prompts him to make up his will and holds a will reading in the living room.