Malcolm has been labeled a boy genius and is moved, much to his chagrin, into the Krelboyne class, which is a class full of nerds and geniuses like himself.

Malcolm finds himself being antagonized by a new bully, Kevin. This kid was always mocking him, teasing him, at lunch he cut right in front of him. On pizza day! But after Kevin taunted him about it one time too many, Malcolm loses it and attacks the kid, but deeply regrets it after learning his bully was 7-years-old; Hal cuts down the huge tree in the front yard, and he and the boys have just a little too much fun with the wood chipper.

The family have to go to the Krelboyne class picnic. Malcolm doesn't want to go because he has to do an act and doesn't want to look bad in front of his family especially Francis who is home for the weekend. Francis promises to get Malcolm out of doing his act but meets a girl at the picnic and no longer wants to leave. Lois tries to fit in with the other parents unsuccessfully and Hal serves meat from the BBQ even though the Krelboynes all voted that there would be no meat. Reese ends up on the run from eraserheads brother who catches him in the end giving him a wedgie. When Stevie leaves his chemicals with Malcolm, Malcolm desperate to do anything to get out of his act tries to make a stink bomb but ends up making a level 3 toxic bomb. The picnic seems to be ruined until Malcolm guiltily goes up on stage to preform his act. Everyone is amazed by it especially his family. Malcolm fears they will all treat him differently but to his relief nothing has changed.

Waiting in Lucky Aide for Lois to end her shift, Reese and Malcolm cause trouble, which leaves Dewey unobserved and able to nick something expensive from the store. Lois tries to make a point about "doing the right thing" and loses her job in the process. It also leaves the family with less income, bad food and Malcolm stressed out, especially because he already is in emotional despair over Julie Houlerman. Malcolm gets caught in an awkward social situation and Lois struggles between standing up to the man and providing for her family. Meanwhile Francis gets a break from the academy as honor guard for a beauty pageant. Every cadets dream come true?

While we have a chance to see the world from Dewey's very special point of view, Reese acts weird. As it turns out, he is interested in a girl and does not know how to show her how he feels. Following a misunderstood advice from Malcolm, Reese joins the cheerleader-squad. As a consequence Hal has to have "the talk" with his sons. Meanwhile in the military academy Francis gets to know Commandant Spangler on a very personal level.

The family takes a day vacation at the water-park. All except Dewey, who has to stay home with an overage babysitter, which turns out to be more fun than expected. While Malcolm and Reese get into a loop of revenge-pranks, Hal and Lois try to enjoy the day off. As Dewey's babysitter hits the dance-floor, in more than one way, the youngest member of the family sets off on his own.

In an attempt to avoid the worst moments of medieval week at his Krelboyne class, Malcolm spins a delicate web of deception for the school therapist. Francis takes over the laundry at the academy and Hal discovers that his youngest, Dewey, is a natural at skittles.

Reese, promising champion of his school's wrestling team, gets beaten by a girl, completely demoralizing him. So he gives up his school-bully carrier, which destabilizes the natural order of things at school. Francis tries to get out of academy at his birthday in an attempt to avoid academy-birthday-traditions.

Lois and Hal try to end Dewey's dependence on his stuffed animal Domingo by convincing him that it is too dirty. Strangely attracted, Malcolm finds himself in emotional confusion about the new weird Krelboyne girl Cynthia. At the academy Commandant Spangler re-institutes old Hickory into the school's disciplinary system and Francis tries to convince his father Hal to lie for him to avoid punishment.

In an attempt to change the usual punishment pattern for Reese, Hal signs them both up for cooking classes, which turns out to be Reese's area of genius. Meanwhile Francis gets Eric into trouble because he did not yet finish his part of their co-op history assignment. Malcolm has the best intentions when he tries to explain to Cynthia that her planned party might end up with less then expected attendance.

Being fed up with military school, Francis gets himself legally emancipated so he can go north to Alaska with his friend Eric and become a logger. This does not sit well at all with the family.

Malcolm gets his first official girlfriend; Dewey hijacks his new friend's birthday party to better himself.

Reese lands a part time job at Circus Burger, which seems like a good job. Until he meets his supervisor, Francis' dim-witted friend Richie, who, along with his co-worker cohorts, set Reese up as a patsy.

Malcolm and the rest of the Krelboynes are forced to re-join the rest of the school with disastrous results. Dewey is stuck at home with chicken pox and builds a dominoes masterpiece, which Hal wants to knock down.

Malcolm competes in an academic octathlon but hates the intensity of the other competitors; Hal fights to regain Dewey's love; Reese tries to get out of going to a formal dance; Francis and Piama's argument over chores proves highly contagious to other couples.