It’s early morning, and Bluey and Bingo are having breakfast while Bandit packs his bag for work. Bingo asks if he can play with them, but he says he can’t because he has to go to work. Bluey is happy to be a kid, and Bandit tells her to enjoy it while it lasts. After he leaves, Chilli announces that she brought a new pack of felt pens, which gives Bluey and Bingo the idea to play “Rug Island”.
Bluey starts by using a surfboard, and Bingo sets up a stack of pens holding a blanket. Bluey uses her hands to get back to land and shows off the “fish” she caught with her spear made of brown pens. Bingo compliments the shelter, and Bluey thanks her. Then, Bingo goes to get “pipis”, which start doing “wee wees”. She spots Bandit, who is laying face down, groaning, and gasps, dropping the pipis. She calls Bluey over, and Bandit gets up, thinking he must have fallen off his “ship”.
Bluey proclaims that they’re going to “eat” Bandit, but Bingo tells him not to worry, saying they’re friendly. However, Bluey bites Bandit’s leg, and Bingo has to pull her away. Bandit asks if he can stay on Rug Island, and Bingo suggests he can stay with them until his ship comes back or until Bluey is “hungered”. Bandit is afraid of Bluey’s behavior but compliments the island’s looks. Bluey tells him that if he wants to stay, he has to get to work. Bandit then tries to pick food with Bingo, but ends up picking up a snake, which jumps on him.
The three of them go on a boat to catch fish, and Bingo shows Bandit how to use a spear. However, Bandit’s spear breaks, and Bingo tells him it’s okay, saying the pens are fish. They walk back to the shelter, and Bandit grabs a carrot, which makes Bingo cheer. They make a campfire, and Bandit uses a stick to start the fire. However, he accidentally sets his bum on fire and jumps into the water. Later, Bandit and Bingo catch fish, and Bluey makes a frying pan. They have a meal together, and Bandit builds a plate and hands it to Bluey.
After the meal, they rest, and Bandit says he loves Rug Island. Bingo suggests that maybe he can stay on Rug Island forever, which tempts Bandit. However, their peace is disrupted when Pat hits Bandit with his football, which they pretend is a white chocolate egg. Pat climbs over the fence, looking for his ball, and the kids have to hide. They stare at Pat, who asks where the ball went, and Bingo says he’s walking on water, using “grownup magic”. Pat wants his ball back, but Bingo says it’s an egg, and Bandit tries to explain that it’s just a game.
The situation escalates, and Bandit yells “Snake!” to distract Pat. Bluey and Bingo use their banana attack on Pat, who tells Lucky to help. However, Lucky just laughs at the scene. After the chaos, they crown Bandit for his bravery and rescuing the chocolate egg, and he’s no longer considered a grownup. They congratulate him, and Bingo cheers. As they’re about to leave, Chilli calls out, waving Bandit’s bag, which is his “ship”. Bluey says Rug Island is Bandit’s home, but Bingo says he can’t have two homes. Bandit is surprised when Bingo tells him to go, but she says it’s okay and that she’s just glad he came to Rug Island. They hug, and Bandit says he’s going to miss her. Before he leaves, Bingo gives him a present, which is a brown felt pen. As Bandit unwraps the present, he says it’s “Everything”.
