Lyonne lived the first eight years of her life in Great Neck, New York. She and her parents then moved to Israel, where Lyonne spent a year and a half. During her stay in Israel, Lyonne participated in the production of the Israeli children's film April Fool, which began her interest in acting. Her parents divorced, and Lyonne and her older brother Adam returned to America with their mother. After moving back to New York City, Lyonne attended The Rabbi Joseph H. Lookstein Upper School of Ramaz, a private Jewish school, where Lyonne said she was a scholarship kid who took honors Talmud classes and read Aramaic. She was expelled for selling marijuana at school. Lyonne grew up on the Upper East Side, where she felt she was an outcast. Her mother then moved their family to Miami, where Lyonne attended Miami Country Day School. She never graduated from high school; she left before her senior year to attend a film program at NYU's Tisch School of the Arts. Her high school graduation depended on completing her first year at Tisch, but she left the program because she could not pay the tuition.