In the summer of 1963, Frances "Baby" Houseman, Abigail Breslin, is vacationing with her cardiologist father Bruce Greenwood Jake, her mother Debra Messing Marjorie, and her older sister Lisa at Kellerman's, an upscale Catskills resort run by Jake's sharp-tongued best friend Tony Roberts Max Kellerman. The place hums with the energy of bright Ivy League waiters who drift through the rooms, while the staff—led by the humble yet talented dance instructors—keeps the summer rhythm alive.
One night, Baby quietly observes Max directing the waiters to woo the resort guests’ daughters, a troubling display of charm mixed with contempt for the working staff. Among them is the quiet, generous Johnny Castle, the charismatic dance instructor Colt Prattes. Johnny’s cousin Billy Casper Smart introduces Baby to a hidden world at a secret staff party where dancing becomes a lifeline. Max’s gleam of mischief is accompanied by his grandson Neil, who flirts with Baby, tugging her toward a summer she hadn’t planned.
Baby soon discovers a deeper complication: Johnny’s dance partner Penny Rivera Nicole Scherzinger is pregnant by Robbie Gould Shane Harper, a waiter who attends the Yale School of Medicine and has cast his gaze toward Lisa. Robbie refuses to help Penny, and Baby, feeling a pull toward Johnny and a sense of responsibility, borrows money from her father to pay for Penny’s abortion—without explaining why at first. Penny resists accepting the money because it could force Johnny and Penny to miss a planned performance at a nearby resort and end their season early, but Baby volunteers to stand in for Penny. As Baby trains with Johnny, a genuine, careful connection grows between them, even as they navigate the gap between their worlds and their families’ expectations. Their chemistry culminates in a memorable routine that, despite a stumble on a climactic lift, earns a standing ovation and becomes a turning point for both of them.
Back at Kellerman’s, Penny’s dangerous procedure has left her badly injured, and Baby calls on her father to stabilize her. Dr. Houseman is furious at what he sees as Baby’s deception and abruptly orders his daughter to stay away from Johnny and Penny. Baby slips away to apologize to Johnny, who feels his own worth may be compromised by the class barriers that separate them; Baby tells him he is more than his station, and that she loves him. Their relationship becomes a quiet, determined secret as Baby’s family life grows tense and distant.
Meanwhile, Vivian Pressman, a married guest with a fondness for scandal Katey Sagal, tries to turn the tides against Johnny by an act of petty vengeance when she spots Baby leaving Johnny’s cabin. Vivian claims that Johnny stole her husband’s wallet, weaving a tangled thread of deceit that could ruin him. Max considers firing Johnny, but Baby’s courage helps him stand by his alibi, even as the real thieves, Sydney and Sylvia Schumacher, are eventually caught. Johnny is fired nonetheless for crossing lines by social class and romance.
The summer climaxes at the end-of-season talent show. Dr. Houseman, who had begun to see Johnny through a harsher lens, temporarily holds a life-changing letter of recommendation for Robbie—but the revelation that Penny is pregnant and Robbie’s cruel remarks toward Penny and Baby force a severing of that trust. In a public, cathartic moment, Johnny interrupts the final number, bringing Baby up on stage and declaring that she has made him a better person. The couple dances their practiced routine, ending with a triumphant lift that seals their bond. In a powerful reconciliation, Dr. Houseman admits he was wrong about Johnny, and the entire staff and guests join in the dance to the iconic anthem of the summer, *(I've Had) The Time of My Life.