Try a backslash (\) after %userprofile%
in files and folders all I include is %userprofile%\ /s
in My Documents I included the use following:
%userpofile%\ /s (this is redundant but when the xml file finally worked I didn't want to change anything. It may be that putting this here was the answer).
%userprofile%\*.jpg, *.mp3 /s
%personal directory%\ /s
exluded the following files: %personal directory%\*.vol /s
I believe that the parts in my documents referring to the %personal directory% are in there by default and I just added the the %user profile% parts to cover both sections.
Unfortunately there is very little documentation describing the correct use of the files and folders and my documents sections of the xml file.
I have found that when it comes to larger profile captures, say 3. 5 gigs, the deploy profile command in my provisioning template will fail. I have found no answers to why or how to fix this issue. Hopefully you don't come across that.