Research on narcissism and envy suggests a variable relationship that may reflect differences between how vulnerable and grandiose narcissism relate to precursors of envy. Accordingly, we proposed a model in which dispositional envy and relative deprivation differentially mediate envy's association with narcissistic vulnerability, grandiosity, and entitlement. To test the model, 330 young adults completed dispositional measures of narcissism, entitlement, and envy; one week later, participants reported on deprivation and envy feelings toward a peer who outperformed others on an intelligence test for a cash prize (Study 1) or earned higher monetary payouts in a betting game (Study 2). In both studies, structural equation modeling broadly supported the proposed model. Vulnerable narcissism robustly predicted episodic envy via dispositional envy. Entitlement—a narcissistic facet common to grandiosity and vulnerability—was a significant indirect predictor via relative deprivation. Study 2 also found that (a) the grandiose leadership/authority facet indirectly curbed envy feelings via dispositional envy, and (b) episodic envy contributed to schadenfreude feelings, which promoted efforts to sabotage a successful rival. Whereas vulnerable narcissists appear dispositionally envy‐prone, grandiose narcissists may be dispositionally protected. Both, however, are susceptible to envy through entitlement when relative deprivation is encountered.