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Christmas is a holiday celebrated in Bikini Bottom and by Patchy and Potty. It appears in the episodes "Christmas Who?" and "It's a SpongeBob Christmas!" It is also mentioned in "Jellyfishing," "Nature Pants," "The Secret Box," "Krab Borg," and "Wishing You Well."
Patchy and Potty
They celebrate the holiday by decorating their house and an Evergreen Tree. Patchy bakes cookies and at least once read a fan letter. He also pretends that SpongeBob and Patrick are on a ship and shipwrecked on the Bikini Bottom Island. Potty gave Patchy an decorated egg for his present.
One year, the two drove to the North Pole after stealing a mail truck. Patchy thought the directions to the North Pole in the song "Jingle Bells." However, Potty thought the directions were in the song "There Goes Santa Claus." Eventually, the two ended up causing themselves to be stuck. Later, they walked the way. Patchy ended up thinking that he met Santa, when it was a bear. Potty ended up meeting the real Santa Claus.
The Bikini Bottomites celebrate by decorating there houses and at least on the first Christmas chopping down a Coral Tree (Squidward's for the first year) and decorating it. They give each other gifts and spend time with family and friends.
History in Bikini Bottom
A few days before Christmas, it was introduced to SpongeBob by Sandy, who told him all about the Christmas holiday. SpongeBob soon spread the stories and everyone was going to celebrate, except Squidward.
For the days leading up to the holiday, people gave their Christmas wishes that were written on a piece of paper and put into a bottle to SpongeBob, who put it in the mechanism designed to shoot bottles to the surface. The citizens also decorated their houses, roasted chestnuts, shopping for presents, and cut down Squidward's Coral Tree and put jellyfish in a jar that had been shaken up, which made them glow.
On the evening of Christmas Eve, SpongeBob was sending the last of the letters up to the surface, when he realized that Squidward had not written a letter yet. He ran over to Squidward's house and then was denied by Squidward, who told SpongeBob that he was not celebrating Christmas. Instead of sleeping, the citizens stayed up all night singing, as Sandy had lacked to tell SpongeBob about the rule that you have to sleep for Santa to visit.
On Christmas Day, there was no sign of Santa. Most people left, thinking that Santa really was not real. SpongeBob and Patrick stayed a while believing that he was just running late. After that while, Patrick left. SpongeBob was now depressed. Squidward acting like a jerk, came out to brag about the fact that he was right. He took a picture of SpongeBob. SpongeBob gave Squidward a present that was supposed to be given to Squidward, so he would not be left out. Squidward opened it and found out that it was a hand-carved clarinet with a button that made little Squidward's come out and play a song. Squidward realized that he was acting like a jerk earlier and his grouchy attitude ruined Christmas for everyone. Meanwhile, SpongeBob took down his decorations and was about to take down Squidward's, when Squidward, dressed as Santa Claus, appeared and talked to SpongeBob. Confused, SpongeBob kept looking around for the voice. Squidward, who was about to tell SpongeBob that he was on his roof, fell to the ground because he was too close to the edge. SpongeBob, now mesmerized, asked Squidward how he was in Bikini Bottom. Squidward made up excuses and then told SpongeBob that SpongeBob brought Christmas to Bikini Bottom. This made SpongeBob faint, who was caught by Gary. Squidward, thinking that he was done, was about to head back into his house, when SpongeBob brought a little girl to see "Santa". The girl asked if he was going to fulfill her wish. SpongeBob said that he would and Squidward was forced to give the girl something from his house. After he gave the girl the item, Squidward thought he was truly done, but the other citizens wanted something from "Santa" too. After giving away everything he owned, he was done and took off the disguise. He heard a knock on his door and thought it was another citizen and told him or her to take the door. Squidward found out that it was SpongeBob telling Squidward about the visit from "Santa". Squidward turned SpongeBob around and pushed him away from the door. A bottle with a letter in it rolls up and Squidward reads it. It is a letter to Santa that was a thanks.
Now, Christmas is familiar to everyone and is celebrated every year in Bikini Bottom.