Parappa attempts to reconcile two different promises he made to two different friends. First, he tells his buddy PJ and PJ's friend Matt that he'll play basketball with them on this particular day, but also tells Katy and Sunny that he'll go with them to Sister Gon's garage sale. Things get worse when Paula shows up and angers Katy by questioning her fashion sense. Gaster also further ruins Parappa's day by stealing his bike and the money from Sister Gon's garage sale.
Dorothy, who happens to be Katy's friend, wants to become a dancer once again; however, she feels that she cannot because she is old. Katy and her friends find out that the theater is about to be taken down, so Parappa and his friends fix everything up for Dorothy to have one last dance on stage.
A new teacher has appeared and has just started a new class, but he's shy and doesn't want to teach. Matt figures out a way to help by seeking the help of Boxy Boy. Matt, PJ, and Parappa start to cure their teacher of his fright—but instead, he turns crazy and goes after Parappa and his friends.
Paula goes to a club only to find a mysterious DJ, whom she falls in love with. Soon after, she starts to dream more and more about him, and eventually learns that the DJ is PJ. At first she won't admit to liking him, but then tries to set up a date with him to see if she truly loves him.
Parappa and his friends decide to go on a nice picnic together; that is, until they find a pendant which causes them to move through time, getting them into all sorts of trouble. They meet and befriend a goblin and help him find the love of the girl he loves, who looks an awful lot like Sunny.
Parappa and friends visit a sushi shop, unknowing that is really a cover-up by Gaster and Groover to steal the next door bank's money. Through some unfortunate consequences, the money ends up getting blown up. Now Parappa and company have to do all they can to keep all the bank's customers calm whilst a new shipment on money comes in.
PaRappa and the gang try to help Chief Puddle win the heart of the girl of his dreams. But when her father forbids them from being together, she runs away, and gets trapped in a wildfire at the park. While Puddle attempts to save her, PaRappa and co. attempt to put out the fire.
PaRappa, PJ, and Matt are secretly building a rocket ship and plan on going to outer space until Sunny finds out and tells Katy, Paula, and a hippo teacher who is determined to stop them from launching the rocket.
The annual PaRappa Town dance is coming up, and PaRappa is determined to ask if Sunny will go to the Dance with him, but his attempts to ask her out don't go as planned. To make things worse, at the Dance, Gaster and Groober secretly rob everyone blind, and fail.
PaRappa's favorite baseball player, Schimdt, comes to town. But before he can even ask for an autograph, Schimdt is kidnapped by Gaster and Groober. PaRappa, PJ, and Matt attempt a rescue mission.
Matt buys into the "Dictionary of Great Men", inspired by the dictionary and the author, Mr. Ieday, Matt goes on an adventure with PaRappa and PJ in an attempt to fulfill his dream... however, their luck quickly turns sour thanks to Gaster and Groober's meddling.
When a gaggle of ghosts drag Sunny to an old, spooky mansion, PaRappa and friends must face their fears and rescue her.
PaRappa and friends scramble to clean up the Fruits Dojo when Chop Chop Master Onion returns to town after a long training journey. However, when he gets back, the dojo falls down, so Chop Chop forces his students to clean up the dojo and to do an impromptu karate lesson, which showed that he was around the world to learn specific techniques. After much pestering from Paula, Chop Chop shows her to do "the Kilimangyro Chop". As she runs home, her friends follow her and find out that she learned it so she could slice oranges to make marmalade.
School elections are coming up, and both Paula and Matt are on the ballot. PJ unexpectedly wins the ballot even though he helped both candidates.
Gaster and Groober steal Boxy Boy in hopes of using it to their advantage. But PaRappa gets everyone in PaRappa town to chase down the duo and get Boxy boy back.
When PaRappa accidentally wrecks a nearby shop, he needs to find a way to earn $300 to pay for the repairs. Luckily, PJ, Sunny, Katy, Paula, and Matt decide to help him out.
Katy wants to show off her new wedding dress designs, but no one aside from her friends seem to notice, until Gaster and Groober show up with a deep sea plot. When they kidnap Katy, PaRappa and the gang are led on a high-speed water chase.
After saving a flower from a bust street, and replanting it in the park, Sunny learns of another one of Gaster's and Groober's plot. In the midst of this incident, a weird pollen is spreading across town, and every flower in town is starting to droop.
While the gang tries to make the best of things when a hurricane hits PaRappa Town, PJ prepares for a DJ contest. Meanwhile, Gaster and Groober plot to trap the entire town inside Club Fun.
Katy, Sunny and Paula want to make Matt's birthday into a huge spectacular day, but Matt is not happy about it. Everyone in town wishes him a happy birthday, so Matt runs away and decides to hide until the day is over.
PaRappa and co. help Jonathan, a police dog, look for his Chief's missing cat Julia, whom Gaster has found and is determined to make his pet.
A Sports day is being held at the school, and one of the competitors proves to be quite intimidating. While in a close race, PaRappa gets help from his little sister's pet.
Prince Fleaswallow says he is waiting for Catherine, so PaRappa and his friends go look for her, but it seems they have no luck doing so. Meanwhile, Fleaswallow teaches PaRappa how to surf.
Chop Chop Master Onion thinks he's going to become a movie star, but it's another one of Gaster's evil plans, which PaRappa quickly discovers and foils. However, to keep their sensei's dream alive, PaRappa and the gang try to make a movie themselves.
After catching a cold from Gaster, PJ can't sleep, which has an adverse effect on him. What's worse, he starts to grow larger every time he eats. After being sucked into PJ's little world (via his nose), PaRappa and co. try to expunge the Gaster Virus and save their friend.
PaRappa and friends try their hands at hockey. Katy is a superb goalie and learns of their coach's wishes to win the upcoming hockey game. The day of the match arrives and it's tight, with the final result resting on Katy's shoulders.
Impressed by Hairdresser Octopus's new car, PaRappa decides to try it out for himself, resulting in getting chased all the way to the clouds.
PaRappa and Sunny finally have their chance to be together at a Christmas party. But when Sunny's heart becomes stolen by a jealous witch, PaRappa tries to get it back with help from his friends, Santa Claus, and (reluctantly) Gaster and Groober.
PaRappa is worried by an ominous car following him and his friends, but it turns out to be MC King Kong Mushi wanting to hire PJ under his record company. Mushi watches PJ live and is impressed by the performance and PJ is signed up... However, things take a downward turn.
After caring for a couple of birds, PaRappa finds that his hat was used as their nest, and that it has four bird eggs inside it the next day. After the eggs hatch, PaRappa and the gang must find someone to care for the baby birds. In the meantime, PaRappa's hat becomes a fashion statement across town.