Collaboration has been shown to enhance creativity, leading to more innovative and effective outcomes. While previous research has explored the abilities of Large Language Models (LLMs) to serve as co-creative partners in tasks like writing poetry or creating narratives, the collaborative potential of LLMs in humor-rich and culturally nuanced domains remains an open question. To address this gap, we conducted a user study to explore the potential of LLMs in co-creating memes - a humor-driven and culturally specific form of creative expression. We conducted a user study with three groups of 50 participants each: a human-only group creating memes without AI assistance, a human-AI collaboration group interacting with a state-of-the-art LLM model, and an AI-only group where the LLM autonomously generated memes. We assessed the quality of the generated memes through crowdsourcing, with each meme rated on creativity, humor, and shareability. Our results showed that LLM assistance increased the number of ideas generated and reduced the effort participants felt. However, it did not improve the quality of the memes when humans collaborated with LLM. Interestingly, memes created entirely by AI performed better than both human-only and human-AI collaborative memes in all areas on average. However, when looking at the top-performing memes, human-created ones were better in humor, while human-AI collaborations stood out in creativity and shareability. These findings highlight the complexities of human-AI collaboration in creative tasks. While AI can boost productivity and create content that appeals to a broad audience, human creativity remains crucial for content that connects on a deeper level.