Context reinstatement requires a schema relevant virtual environment to benefit object recall.

How does our environment impact what we will later remember? Early work in real-world environments suggested that having matching encoding/retrieval contexts improves memory. However, some laboratory-based studies have not replicated this advantageous context-dependent memory effect. Using virtual reality methods, we find support for context-dependent memory effects and examine an influence of memory schema and dynamic environments. Participants (N = 240) remembered more objects when in the same virtual environment (context) as during encoding. This traded-off with falsely "recognizing" more similar lures. Experimentally manipulating the virtual objects and environments revealed that a congruent object/environment schema aids recall (but not recognition), though a dynamic background does not. These findings further our understanding of when and how context affects our memory through a naturalistic approach to studying such effects.