A waterbed system for placement on a ground surface can comprise one or more of the following components: a waterbed mattress, a foam structure around the periphery of the mattress, a platform below the mattress and the foam periphery for supporting the waterbed mattress and the foam structure, a foundation coupled to and extending downwardly from the platform, preferably a single, fire resistant polyester fiber baffle disposed within the waterbed mattress, a cover over the top surface of the mattress and around the outer surface of the foam structure, a water proof liner below the bottom surface of the mattress, a water bed heater under the liner between the liner and the upper surface of the platform, a layer of fiberglass insulation attached to the lower surface of the platform, and an accessory storage container coupled to the foundation.