When Larry finds out that Grant, a co-worker of Jennifer's is impressing Jennifer by raising money for a ""big brothers"" roller skating marathon, he gets jealous of him and lies about his roller skating ability to win Jennifer.

After a minor car accident, Mr. Gorpley suggests Larry should sue. So Larry has plans to defraud an insurance company to gain money to help his sister Elaine with her tuition. But Balki objects as usual.

When Balki is put in charge of the Chronicle Newsletter, Larry horns in and suggests he dig deep into the information. But he ends up reporting Lydia getting cosmetic surgery, Mr. Gorpley dating the wife of a sports editor, and quotes an insult Larry made to Mr. Wainwright.

Balki gets a cavity and Larry makes him a dental appointment for him and Balki is excited to go when Larry tells him about all the neat stuff but he's too scared to go when Mr. Gorpley tells him about the drill.

Larry writes an expose of a money laundering scheme that gets him his first front page story but he's upset when he realizes that Marshall & Walpole too all the credit for his article. Also, Marvin Berman, the money laundering scheme's accountant, is also upset because his boss took all the credit for the scheme that was really his idea. So he shows up at the Chronicle with a bomb and demands a printed retraction.

Larry and Balki discover that Lowell Kelly, a famous poet used to live in their apartment and his unpublished poem is hidden there. So they search for it but Balki doesn't know that Larry plans to sell it after he discovered that it would be worth about $100,000.

Larry's perfectionist father comes for a visit and Larry wants to impress him so he can finally get a ""well done son"" from his father. But instead, they end up trapped in the basement that is flooding after Larry broke the water pipe.

Larry and Balki, Jennifer and Mary Anne, Lydia and Mr. Gorpley, and of course Larry's father are all trapped in the flooding basement. Larry attempts to solve the problem without much luck. So thinking they're all going to die, Larry must tell his father how he feels. Luck changes when Larry finds his chemistry set.

Lydia has been offered the opportunity of having her on TV advice show but she has one problem, she's afraid of cameras. But Larry tries to force her to do the show because of a mistake he made in high school when he turned down an opportunity.

Balki wants to send a home movie to his mama for the reunion he is going to miss. But Larry takes over the video and goes overboard with his movie-making skills.

Balki plays the football pool for the first time at the Chronicle and wins. He also ends up winning the next five weeks which makes everyone mad at him except Larry who decides to copy his picks to bet $10,000 with a bookie unaware that Balki picked all the losers.

Balki's cousin Bartok come to visit from Mypos via Los Angeles for the last six months. Bartok looks just like Balki except after being in LA, he lost his accent and got a cool attitude, and he has a money-making scheme and tries to take Balki's money.

Balki tries to get Larry to do volunteer work at the hospital but he refused until he discovered that a famous football player is a patient there hoping that he can get an interview to advance his career.

When a big corporation in Chicago wants to buy 300 acres of land on Mypos, Balki was chosen to negotiate the sale, and he picked Larry to guide him through. When they are offered 10% of the total sale of 28 million dollars, Larry insists they accept is but Balki has a funny feeling about it.

Larry found the perfect vacation and Balki, Jennifer and Mary Anne decide to give him one more chance with planning vacations. They go to a tropical resort, Club Paradise with broken walls in the hotel room and it is disrupted with a hurricane and Larry can't admit that he's made another mistake.

While playing a board game, an argument breaks out between Jennifer and Mary Anne. The result being Mary Anne moving out and in with Larry and Balki at Balki's insistence. Larry doesn't like the idea because is jeopardizes his relationship with Jennifer. So Larry and Balki devise a plan to get Jennifer and Mary Anne back together.

It's a very psychotic evening when Marvin Berman, who tried to blow up Larry and Balki, visits them for dinner to apologize. But in the process, they mistakenly think that the mob is after them and they are surrounded by killers.

When Mr. Wainwright hires a personal assistant Mr. Glover, Balki gets promoted to the executive staff, but is unaware that it is a scheme that Mr. Glover has to try and implement the American Dream Program. And Larry may lose his job if he doesn't go along with it.

When Balki is elected the head of the grievance committee, Lydia is accused of parking violations and she tries to influence his judgment by buying him ""bunny slippers"" but Larry tells Balki that he must be tough which comes back on Larry when he's accused of stealing office supplies.

Larry has a plan to make a fortune and talks Balki into buying a house for no money down, fixing it up and then selling it for a profit. He ends up making a deal for $150,000 but when he realizes he can make more money by putting in a chandelier and fancy doors, he gets greedy.

A Chronicle Tour sends Mr. Gorpley, Larry and Balki & Jennifer and Mary Anne to a cabin in the forest where they encounter a 'Mad Dog' killer who escaped from prison. The killer is later apprehended but they all tell different stories about the capture which confuses the state trooper.

Balki grows very fond of his new pet parrot that drives Larry crazy. Meanwhile, their chimney is clogged and when Larry tried to light a fire, he had to open the window to let the smoke out, the parrot flies out and Balki is heartbroken.

Larry is assigned to interview Uncle Shaggy, a kid's show host and when he gets Balki to take a picture of him without his costume, the get Uncle Shaggy fired after someone discovered that he has a criminal record for something he did along time ago. But Larry swears he will make it up to him.