diff --git a/errors/invalid-dynamic-suspense.md b/errors/invalid-dynamic-suspense.md
index 11e4d6134d732fa..f016eec897d419f 100644
--- a/errors/invalid-dynamic-suspense.md
+++ b/errors/invalid-dynamic-suspense.md
@@ -2,11 +2,29 @@
 
 #### Why This Error Occurred
 
-`<Suspense>` is not allowed under legacy render mode when using React older than v18.
+- You are using `{ suspense: true }` with React version older than 18.
+- You are using `{ suspense: true, ssr: false }`.
+- You are using `{ suspense: true, loading }`.
 
 #### Possible Ways to Fix It
 
-Remove `suspense: true` option in `next/dynamic` usages.
+**If you are using `{ suspense: true }` with React version older than 18**
+
+- You can try upgrading to React 18 or newer
+- If upgrading React is not an option, remove `{ suspense: true }` from `next/dynamic` usages.
+
+**If you are using `{ suspense: true, ssr: false }`**
+
+Next.js will use `React.lazy` when `suspense` is set to true. React 18 or newer will always try to resolve the Suspense boundary on the server. This behavior can not be disabled, thus the `ssr: false` is ignored with `suspense: true`.
+
+- You should write code that works in both client-side and server-side.
+- If rewriting the code is not an option, remove `{ suspense: true }` from `next/dynamic` usages.
+
+**If you are using `{ suspense: true, loading }`**
+
+Next.js will use `React.lazy` when `suspense` is set to true, when your dynamic-imported component is loading, React will use the closest suspense boundary's fallback.
+
+You should remove `loading` from `next/dynamic` usages, and use `<Suspense />`'s `fallback` prop.
 
 ### Useful Links
 
diff --git a/packages/next/shared/lib/dynamic.tsx b/packages/next/shared/lib/dynamic.tsx
index 91b747e4e1ea30e..6e7dc8fa2290cb3 100644
--- a/packages/next/shared/lib/dynamic.tsx
+++ b/packages/next/shared/lib/dynamic.tsx
@@ -112,6 +112,31 @@ export default function dynamic<P = {}>(
     )
   }
 
+  if (process.env.NODE_ENV !== 'production') {
+    if (loadableOptions.suspense) {
+      /**
+       * TODO: Currently, next/dynamic will opt-in to React.lazy if { suspense: true } is used
+       * React 18 will always resolve the Suspense boundary on the server-side, effectively ignoring the ssr option
+       *
+       * In the future, when React Suspense with third-party libraries is stable, we can implement a custom version of
+       * React.lazy that can suspense on the server-side while only loading the component on the client-side
+       */
+      if (loadableOptions.ssr === false) {
+        loadableOptions.ssr = true
+        console.warn(
+          `"ssr: false" is ignored by next/dynamic because you can not enable "suspense" while disabling "ssr" at the same time. Read more: https://nextjs.org/docs/messages/invalid-dynamic-suspense`
+        )
+      }
+
+      if (loadableOptions.loading != null) {
+        loadableOptions.loading = undefined
+        console.warn(
+          `"loading" is ignored by next/dynamic because you have enabled "suspense". Place your loading element in your suspense boundary's "fallback" prop instead. Read more: https://nextjs.org/docs/messages/invalid-dynamic-suspense`
+        )
+      }
+    }
+  }
+
   // coming from build/babel/plugins/react-loadable-plugin.js
   if (loadableOptions.loadableGenerated) {
     loadableOptions = {
diff --git a/test/e2e/dynamic-with-suspense/index.test.ts b/test/e2e/dynamic-with-suspense/index.test.ts
deleted file mode 100644
index b0f24fb96a1e6e0..000000000000000
--- a/test/e2e/dynamic-with-suspense/index.test.ts
+++ /dev/null
@@ -1,55 +0,0 @@
-import { createNext } from 'e2e-utils'
-import { NextInstance } from 'test/lib/next-modes/base'
-import { hasRedbox, renderViaHTTP } from 'next-test-utils'
-import webdriver from 'next-webdriver'
-
-const suite =
-  process.env.NEXT_TEST_REACT_VERSION === '^17' ? describe.skip : describe
-
-// Skip the suspense test if react version is 17
-suite('dynamic with suspense', () => {
-  let next: NextInstance
-
-  beforeAll(async () => {
-    next = await createNext({
-      files: {
-        'pages/index.js': `
-          import { Suspense } from "react";
-          import dynamic from "next/dynamic";
-          
-          const Thing = dynamic(() => import("./thing"), { ssr: false, suspense: true });
-          
-          export default function IndexPage() {
-            return (
-              <div>
-                <p>Next.js Example</p>
-                <Suspense fallback="Loading...">
-                  <Thing />
-                </Suspense>
-              </div>
-            );
-          }
-        `,
-        'pages/thing.js': `
-          export default function Thing() {
-            return "Thing";
-          }
-        `,
-      },
-      dependencies: {},
-    })
-  })
-  afterAll(() => next.destroy())
-
-  it('should render server-side', async () => {
-    const html = await renderViaHTTP(next.url, '/')
-    expect(html).toContain('Next.js Example')
-    expect(html).toContain('Thing')
-  })
-
-  it('should render client-side', async () => {
-    const browser = await webdriver(next.url, '/')
-    expect(await hasRedbox(browser)).toBe(false)
-    await browser.close()
-  })
-})
diff --git a/test/integration/next-dynamic-with-suspense/pages/index.js b/test/integration/next-dynamic-with-suspense/pages/index.js
new file mode 100644
index 000000000000000..284fcc7f7f8f177
--- /dev/null
+++ b/test/integration/next-dynamic-with-suspense/pages/index.js
@@ -0,0 +1,19 @@
+import { Suspense } from 'react'
+import dynamic from 'next/dynamic'
+
+const Thing = dynamic(() => import('./thing'), {
+  ssr: false,
+  suspense: true,
+  loading: () => 'Loading...',
+})
+
+export default function IndexPage() {
+  return (
+    <div>
+      <p>Next.js Example</p>
+      <Suspense fallback="Loading...">
+        <Thing />
+      </Suspense>
+    </div>
+  )
+}
diff --git a/test/integration/next-dynamic-with-suspense/pages/thing.js b/test/integration/next-dynamic-with-suspense/pages/thing.js
new file mode 100644
index 000000000000000..561df9831e5b220
--- /dev/null
+++ b/test/integration/next-dynamic-with-suspense/pages/thing.js
@@ -0,0 +1,3 @@
+export default function Thing() {
+  return 'Thing'
+}
diff --git a/test/integration/next-dynamic-with-suspense/test/index.test.ts b/test/integration/next-dynamic-with-suspense/test/index.test.ts
new file mode 100644
index 000000000000000..625fdde999d507b
--- /dev/null
+++ b/test/integration/next-dynamic-with-suspense/test/index.test.ts
@@ -0,0 +1,41 @@
+/* eslint-env jest */
+
+import webdriver from 'next-webdriver'
+import { join } from 'path'
+import {
+  renderViaHTTP,
+  findPort,
+  launchApp,
+  killApp,
+  hasRedbox,
+} from 'next-test-utils'
+
+let app
+let appPort: number
+const appDir = join(__dirname, '../')
+
+describe('next/dynamic with suspense', () => {
+  beforeAll(async () => {
+    appPort = await findPort()
+    app = await launchApp(appDir, appPort)
+  })
+  afterAll(() => killApp(app))
+
+  it('should render server-side', async () => {
+    const html = await renderViaHTTP(appPort, '/')
+    expect(html).toContain('Next.js Example')
+    expect(html).toContain('Thing')
+  })
+
+  it('should render client-side', async () => {
+    const browser = await webdriver(appPort, '/')
+    const warnings = (await browser.log()).map((log) => log.message).join('\n')
+
+    expect(await hasRedbox(browser)).toBe(false)
+    expect(warnings).toMatch(
+      /"ssr: false" is ignored by next\/dynamic because you can not enable "suspense" while disabling "ssr" at the same time/gim
+    )
+
+    await browser.close()
+  })
+})