The film takes place in 1946. Ralphie is now fifteen years old, and all he wants is a used 1939 Mercury Eight convertible for Christmas. He tries testing the car out when he sees it on a display ramp, but he accidentally causes the car to roll back out of the used car lot and gently tap a light pole, causing a plastic reindeer on the pole to loosen and fall through the convertible top. Ralphie bands together with Flick and Schwartz to raise enough money to pay the dealer back for fixing it before Christmas so that the car dealer won't have Ralph arrested and presumably thrown in jail. He and his friends get a job and after going through several departments at the Higbee's store and in the end getting into a fight with the store Santa and then each other they all get fired. Ralphie does get his job back after some begging and pleading, but by Christmas Eve he finds he is still $1 short, so he and Flick rob Schwartz of his "lucky buck". While on the way to the dealer, Ralphie decides to donate a chunk for a less fortunate family. He winds up still off the hook with the owner of the dealership. In the end he does get the car he wants for Christmas and the girlfriend he wants to go with it.