diff --git a/RELEASES.md b/RELEASES.md
index bc7d826cac12..5c6054f6f04d 100644
--- a/RELEASES.md
+++ b/RELEASES.md
@@ -81,6 +81,8 @@ v4.7.0 (development in progress)
   In both cases, `h` is applicable because `simp` does not index f-arguments anymore when adding `h` to the `simp`-set.
   It's important to note, however, that global theorems continue to be indexed in the usual manner.
 
+* Improved the error messages produced by the `decide` tactic. [#3422](https://github.com/leanprover/lean4/pull/3422)
+
 Breaking changes:
 * `Lean.withTraceNode` and variants got a stronger `MonadAlwaysExcept` assumption to
   fix trace trees not being built on elaboration runtime exceptions. Instances for most elaboration
diff --git a/src/Lean/Elab/Tactic/ElabTerm.lean b/src/Lean/Elab/Tactic/ElabTerm.lean
index 300ea7a53034..a1171cd8f30e 100644
--- a/src/Lean/Elab/Tactic/ElabTerm.lean
+++ b/src/Lean/Elab/Tactic/ElabTerm.lean
@@ -372,10 +372,24 @@ private def preprocessPropToDecide (expectedType : Expr) : TermElabM Expr := do
     let expectedType ← preprocessPropToDecide expectedType
     let d ← mkDecide expectedType
     let d ← instantiateMVars d
-    let r ← withDefault <| whnf d
-    unless r.isConstOf ``true do
-      throwError "failed to reduce to 'true'{indentExpr r}"
-    let s := d.appArg! -- get instance from `d`
+    -- Get instance from `d`
+    let s := d.appArg!
+    -- Reduce the instance rather than `d` itself, since that gives a nicer error message on failure.
+    let r ← withDefault <| whnf s
+    if r.isAppOf ``isFalse then
+      throwError "\
+        tactic 'decide' proved that the proposition\
+        {indentExpr expectedType}\n\
+        is false"
+    unless r.isAppOf ``isTrue do
+      throwError "\
+        tactic 'decide' failed for proposition\
+        {indentExpr expectedType}\n\
+        since its 'Decidable' instance reduced to\
+        {indentExpr r}\n\
+        rather than to the 'isTrue' constructor."
+    -- While we have a proof from reduction, we do not embed it in the proof term,
+    -- but rather we let the kernel recompute it during type checking from a more efficient term.
     let rflPrf ← mkEqRefl (toExpr true)
     return mkApp3 (Lean.mkConst ``of_decide_eq_true) expectedType s rflPrf
 
diff --git a/src/Lean/Parser/Tactic.lean b/src/Lean/Parser/Tactic.lean
index 3bcf5cd147fd..7b32c4579036 100644
--- a/src/Lean/Parser/Tactic.lean
+++ b/src/Lean/Parser/Tactic.lean
@@ -66,13 +66,60 @@ doing a pattern match. This is equivalent to `fun` with match arms in term mode.
 @[builtin_tactic_parser] def introMatch := leading_parser
   nonReservedSymbol "intro" >> matchAlts
 
-/-- `decide` will attempt to prove a goal of type `p` by synthesizing an instance
-of `Decidable p` and then evaluating it to `isTrue ..`. Because this uses kernel
-computation to evaluate the term, it may not work in the presence of definitions
-by well founded recursion, since this requires reducing proofs.
-```
+/--
+`decide` attempts to prove the main goal (with target type `p`) by synthesizing an instance of `Decidable p`
+and then reducing that instance to evaluate the truth value of `p`.
+If it reduces to `isTrue h`, then `h` is a proof of `p` that closes the goal.
+
+Limitations:
+- The target is not allowed to contain local variables or metavariables.
+  If there are local variables, you can try first using the `revert` tactic with these local variables
+  to move them into the target, which may allow `decide` to succeed.
+- Because this uses kernel reduction to evaluate the term, `Decidable` instances defined
+  by well-founded recursion might not work, because evaluating them requires reducing proofs.
+  The kernel can also get stuck reducing `Decidable` instances with `Eq.rec` terms for rewriting propositions.
+  These can appear for instances defined using tactics (such as `rw` and `simp`).
+  To avoid this, use definitions such as `decidable_of_iff` instead.
+
+## Examples
+
+Proving inequalities:
+```lean
 example : 2 + 2 ≠ 5 := by decide
 ```
+
+Trying to prove a false proposition:
+```lean
+example : 1 ≠ 1 := by decide
+/-
+tactic 'decide' proved that the proposition
+  1 ≠ 1
+is false
+-/
+```
+
+Trying to prove a proposition whose `Decidable` instance fails to reduce
+```lean
+opaque unknownProp : Prop
+
+open scoped Classical in
+example : unknownProp := by decide
+/-
+tactic 'decide' failed for proposition
+  unknownProp
+since its 'Decidable' instance reduced to
+  Classical.choice ⋯
+rather than to the 'isTrue' constructor.
+-/
+```
+
+## Properties and relations
+
+For equality goals for types with decidable equality, usually `rfl` can be used in place of `decide`.
+```lean
+example : 1 + 1 = 2 := by decide
+example : 1 + 1 = 2 := by rfl
+```
 -/
 @[builtin_tactic_parser] def decide := leading_parser
   nonReservedSymbol "decide"
diff --git a/tests/lean/2161.lean.expected.out b/tests/lean/2161.lean.expected.out
index aa64fd3a4924..0e86d584b12f 100644
--- a/tests/lean/2161.lean.expected.out
+++ b/tests/lean/2161.lean.expected.out
@@ -1,6 +1,12 @@
-2161.lean:15:48-15:54: error: failed to reduce to 'true'
-  Decidable.rec (fun h => (fun x => false) h) (fun h => (fun x => true) h)
-    (instDecidableEqFoo (mul (mul (mul 4 1) 1) 1) 4)
-2161.lean:22:48-22:54: error: failed to reduce to 'true'
-  Decidable.rec (fun h => (fun x => false) h) (fun h => (fun x => true) h)
-    (instDecidableEqFoo (add (add (add 4 1) 1) 1) 4)
+2161.lean:15:48-15:54: error: tactic 'decide' failed for proposition
+  mul (mul (mul 4 1) 1) 1 = 4
+since its 'Decidable' instance reduced to
+  Decidable.rec (fun h => (fun h => isFalse ⋯) h) (fun h => (fun h => h ▸ isTrue ⋯) h)
+    (instDecidableEqNat (mul (mul (mul 4 1) 1) 1).num 4)
+rather than to the 'isTrue' constructor.
+2161.lean:22:48-22:54: error: tactic 'decide' failed for proposition
+  add (add (add 4 1) 1) 1 = 4
+since its 'Decidable' instance reduced to
+  Decidable.rec (fun h => (fun h => isFalse ⋯) h) (fun h => (fun h => h ▸ isTrue ⋯) h)
+    (instDecidableEqNat (add (add (add 4 1) 1) 1).num 4)
+rather than to the 'isTrue' constructor.
diff --git a/tests/lean/decideTactic.lean b/tests/lean/decideTactic.lean
new file mode 100644
index 000000000000..a66d12e7e976
--- /dev/null
+++ b/tests/lean/decideTactic.lean
@@ -0,0 +1,21 @@
+/-!
+# Tests of the `decide` tactic
+-/
+
+/-!
+Success
+-/
+example : 2 + 2 ≠ 5 := by decide
+
+/-!
+False proposition
+-/
+example : 1 ≠ 1 := by decide
+
+/-!
+Irreducible decidable instance
+-/
+opaque unknownProp : Prop
+
+open scoped Classical in
+example : unknownProp := by decide
diff --git a/tests/lean/decideTactic.lean.expected.out b/tests/lean/decideTactic.lean.expected.out
new file mode 100644
index 000000000000..002d19f4f24a
--- /dev/null
+++ b/tests/lean/decideTactic.lean.expected.out
@@ -0,0 +1,8 @@
+decideTactic.lean:13:22-13:28: error: tactic 'decide' proved that the proposition
+  1 ≠ 1
+is false
+decideTactic.lean:21:28-21:34: error: tactic 'decide' failed for proposition
+  unknownProp
+since its 'Decidable' instance reduced to
+  Classical.choice ⋯
+rather than to the 'isTrue' constructor.