D.J. makes several failed attempts to look beautiful upon Matt's arrival from India as Steve, C.J., Rose, Danny, Joey, Becky and Jesse arrive. Steve wants D.J.'s help on writing a proposal as he plans on proposing to C.J. later that night and doesn't know what to say. Jimmy is in the kitchen feeding Tommy and begins to make baby talk with Stephanie, unaware of Stephanie's infertility. Kimmy gets the Argentinian dress in the mail but thinks it is too hideous and bright (which is a surprise due to her loud and bright choice of clothing) and hides it in Cosmo's doghouse, lying to Fernando that it got lost in the mail.
Upstairs, Jackson, Popko, Ramona and Lola are taking a selfie when Max arrives and says D.J. wants him to hang out with them for the night. Realizing he could ruin the midnight kisses, the four trick him into going to bed early with a Netflix countdown to midnight. When Max realizes from Rose he has been tricked since it's not even 11 PM, he conspires to ruin the kisses by tying the doors to prevent Ramona, Lola, Popko and Jackson from leaving but D.J. frees them. Danny, Joey and Jesse begin arguing outside when Jesse announces to make Joey the godfather of his adoptive child but they are interrupted by Max who still wants to get even with Jackson. After giving him a pep talk on loving and forgiving his brother no matter what he has done, the three men make up.
Steve practices his proposal with D.J., which is overheard by C.J. who thinks Steve is confessing his love for D.J. As she storms off, D.J. helps a nervous Steve by proposing to C.J. herself, which she happily accepts just as Matt arrives. Stephanie confesses to Jimmy about being unable to have kids but it turn out Jimmy can't have kids either. They decided on other options should their relationship be serious enough and Jimmy reassures her that he loves her and wants to be with her. Kimmy comes downstairs in the dress, which Fernando is happy to see her in though he also agrees it's hideous. Midnight arrives and everyone gives their kisses, even Joey and Danny who Joey kisses on the cheek.
The next morning, everyone wakes up in the backyard to the sight of the newest arrival: Jesse and Becky's adoptive daughter named Pamela Donaldson Katsopolis after Jesse's late sister Pam, the wife of Danny and mother of D.J., Stephanie and Michelle. D.J. confesses to Kimmy and Stephanie that the guy she originally chose to be with during the summer was Steve due to their history together but now she is happy with Matt and thinks that 2017 is going to be a good year.
- Candace Cameron Bure as D.J. Tanner-Fuller
- Jodie Sweetin as Stephanie Tanner
- Andrea Barber as Kimmy Gibbler
- Soni Nicole Bringas as Ramona Gibbler
- Michael Campion as Jackson Fuller
- Elias Herger as Max Fuller
- Dashiell and Fox Messitt as Tommy Fuller Jr.
- Juan Pablo Di Pace as Fernando Guerrero
- John Stamos as Jesse Katsopolis
- Bob Saget as Danny Tanner
- Dave Coulier as Joey Gladstone
- Lori Loughlin as Becky Katsopolis
- Adam Hagenbuch as Jimmy Gibbler
- Virginia Williams as C.J.
- Issak Presley as Bobby Popko
- McKenna Grace as Rose
- TBA as Pamela Katsopolis
| The image gallery for Happy New Year, Baby may be viewed here.