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Lithium metal batteries suffer from low cycle life. During discharge, parts of the lithium are not stripped reversibly and remain isolated from the current collector. This isolated lithium is trapped in the insulating remaining solid-electrolyte interphase (SEI) shell and contributes to the capacity loss. However, a fundamental understanding of why isolated lithium forms and how it can be mitigated is lacking. In this article, we perform a combined theoretical and experimental study to understand isolated lithium formation during stripping. We derive a thermodynamic consistent model of lithium dissolution and find that the interaction between lithium and SEI leads to locally preferred stripping and isolated lithium formation. Based on a cryogenic transmission electron microscopy (cryo TEM) setup, we reveal that these local effects are particularly pronounced at kinks of lithium whiskers. We find that lithium stripping can be heterogeneous both on a nanoscale and on a larger scale. Cryo TEM observations confirm our theoretical prediction that isolated lithium occurs less at higher stripping current densities. The origin of isolated lithium lies in local effects, such as heterogeneous SEI, stress fields, or the geometric shape of the deposits. We conclude that in order to mitigate isolated lithium, a uniform lithium morphology during plating and a homogeneous SEI are indispensable.