Bess wants to marry her boyfriend Warren so Phyllis arranges to meet his parents in the hopes of talking them out of it. They meet at the house but Phyllis is unaware that they are below average height and repeatedly says the wrong thing.
Phyllis believes she and Bess are growing apart so she decides to join her daughter in her activities. But visits to a new age therapy group and a disco make Phyllis even more conscious of the generation gap.
Phyllis is turning 45 and wants to throw a party to cheer herself up. However, no one can or wants to go. To prove she has friends, she calls Mary Richards. Mary visits.
Phyllis organizes an office Christmas party to celebrate the season, but her Scrooge of a boss Dan insists Phyllis assist him on a project instead of enjoying the fun and festivities.