The family is decorating their tree when Daddy notices the star his father made is missing. When Billy asks Mommy why this made Daddy sad, she tells him it's because the star was made by his father, their Granddad, who is in Heaven. Jeffy then has a vivid dream about Santa, and asks him in the dream to bring Granddad home from Heaven for Christmas to make Daddy happy again. When Billy learns that Jeffy thinks this really will happen, he is afraid that Jeffy's Christmas will be ruined, since Santa can't do that. Mommy tries to explain why it's not possible to Jeffy after Dolly tells her what Jeffy thinks, but he gets upset and doesn't want to hear it. That night, he gets a visit from Santa, and Granddad.