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Bart, angry that he did not receive the bike that he wanted, stays up late to shoot Santa. At night a flying train with Otto as conductor lands in front of the Simpsons' house. It takes Bart to the North Pole, where after working his way up the corporate ladder, Bart is able to meet with Santa. Santa (Krusty) tells Bart that he is broke, and feeling pity, Bart decides not to shoot Santa and leaves. It is revealed that Santa was lying, and he starts partying with hot girls.

It is beginning to look a lot like Christmas in Springfield, but while Marge gets in the holiday spirit, it is bah humbug for the rest of the family. Disappointed that she is alone spreading the holiday cheer, Marge sends a letter to Martha Stewart to help her save the family's Christmas. Martha comes to the rescue and transforms the house into the North Pole chalet Marge has always dreamed of, but when the family is noticeably absent from the perfectly trimmed holiday home, she realizes that it is Homer and the kids who make the holidays special.

In a final short segment, the Simpsons (as puppets) get ready to go to Hawaii, but Mr. Burns and Moe's new girlfriend Katy Perry delay the trip.