Woody is a tenant in a boarding house run by Wally Walrus, but his indoor game of golf quickly gets on the landlord's nerves. Woody decides to take a bath, for which he has to deposit a dime in the water meter in his bathroom. When the coin slips from his fingers and rolls down the drain, he tries an assortment of unusual tricks to get it back, provoking a battle of wills with Wally as he tries to take his own bath. Woody's last move is to stuff dynamite into the plumbing pipes, demolishing the house but freeing his dime at last.
- Bathing Buddies marked the first entry in which Wally Walrus is voiced by William Demarest. It was the first Woody cartoon directed by veteran animator Dick Lundy, who had previously worked at Walt Disney Productions.
- One of the items in the Rules for Roomers list is No Opium Smoking.