State Migration Point Minimum Free Space

I am in the process of doing OS deployment with Windows 7. I have a State Migration Point in place with minimum free space threshold of 100mb. My question is, will my task sequence error out and fail prior to formatting the drive and installing Windows 7 if the minimum free space is met and all the data cannot be captured? I am nervous that if this threshold is met all user data on a system is not able to be captured and the task sequence continues on to format the drive and install the OS.

Thanks,

Mike

Solutions Architect