The envelope with interior decorative elements is an envelope for receiving a greeting card, which may be further opened to display additional, decorative elements mounted within an interior thereof. The envelope includes first and second outer panels, each outer panel having an interior surface and an exterior surface. An inner panel is further provided so that, when the envelope is in a closed configuration, the inner panel is sandwiched between the first and second outer panels. An exterior surface of the inner panel is positioned adjacent an interior surface of the second outer panel so that a pocket is defined therebetween. The pocket is adapted for receiving the greeting card. The first and second outer panels may be separated so that, when folded apart, a pop-up decorative element is displayed, the decorative element being mounted on the interior surfaces of the inner panel and the first outer panel.