Twas the day after Christmas, and George marvels at the expensive gift he recieved from his friend, Eddie Cantor. Who could have sent George the toy erector set? Was it some practical joker? The happy postman drops off the morning mail, and a dose of complaints about his wife. When little Georgie from across the street comes to claim his mixed up toy delivery, George seems to have already become attached to it. Maybe the kid will settle for a nice expensive smoking jacket?
After his crushing loss to the neighbor boy, George is encouraged by Meredeth Willson and a story of his own tragedy with toys. Seeing the only solution is to get George his own erector set, Gracie sells the expensive smoking jacket to pay for the toy.
Now that the jacket has been repurposed, and is no longer around, guess who visits? Will Gracie be able to cover up for the missing gift? After a musical interlude by Meredeth, Eddie jokes around with Bill Goodwin about his daughters and dating. The fun and mix ups keep up over the missing Christmas present. Will the truth ever come out?