When George starts smoking again, he and Mr. Belvedere make a bet to see who can go the longest without indulging in their respective vices; he gives up cigarettes while Mr. Belvedere agrees to give up junk food. Meanwhile, Heather's boyfriend Sean makes a pass at Marsha.
Wesley is supposed to play William Howard Taft in the school's Presidents' Day pageant, an opening to play Abraham Lincoln comes up. The boy who was supposed to play Lincoln, Wesley's friend Danny, has been pulled out of school because he got AIDS from a blood transfusion. Not knowing anything about the virus, Wesley believes what his friends tell him about it and makes him afraid of Danny.
George wants a romantic dinner for two with Marsha, but when she has to study for a test Mr. Belvedere takes her place. George admits he's afraid that once Marsha receives her law degree, she'll leave him.
Mr. Belvedere directs Wesley's school production of "HMS Pinafore" when the teacher falls ill. Wesley is cast as the lead, but when Mr. Belvedere discovers a shy boy named Tommy with a far superior singing voice, Wesley is replaced.
After Mr. Belvedere saves George from nearly getting himself killed by an electrocution when his TV falls into the bathtub, George decides to quit his job as a sports writer, and become a lounge singer. However, Mr. Belvedere feels that George is making a big mistake, so he asks for the help of Robert Goulet to discourage George, but not before George proceeds with his debut at the Steel Towne Inn.
As Halloween approaches, Tracy wants to wear a revealing maid's outfit as her costume, Mr. Belvedere feels depressed after having cataract surgery on his left eye, while the Happy Guys invite George to become a member.