In this study, the effect of ${eta}$-sitosterol (SS) in the liposome bilayer on the stability of incorporated retinol was evaluated. Retinol was incorporated into liposomes consisting of various ratios of soybean phoaphatidylcholine (PC) to SS, while liposomes were prepared as multilamellar vesicles by the dehydration/rehydration method. Retinol was readily incorporated into liposomes with various SS contents, with incorporation efficiencies higher than 98% for all conditions. The incorporation efficiency of retinol increased slightly as the SS content in liposomes increased. Its average particle size also increased as the SS content increased. Mean particle size at PC to SS ratios of 100:0, 90:10, 80:20, 70:30, 60:40, and 50:50 were 12.16, 17.57, 35.00, 40.62, 83.45, and $88.94;{mu}m$, respectively. Liposomal retinol degradation in aqueous solution was measured with respect to SS content at various periods of time at four different temperatures of 4, 25, 37, and $50^{circ}C$, and the stability of the incorporated retinol enhanced as the SS content increased. At $4^{circ}C$, for example, retinol in the liposomes of 50:50 (PC:SS) remained at 84.42% after storage for 10 days, while in 100:0 (PC/SS) it remained at 42.62%. These results indicate that SS content in liposomes played an important role in the incorporation efficiency of retinol and its stability.