diff --git a/spec/extensions/snippets-spec.coffee b/spec/extensions/snippets-spec.coffee
index f1c10caec..90b52f631 100644
--- a/spec/extensions/snippets-spec.coffee
+++ b/spec/extensions/snippets-spec.coffee
@@ -41,19 +41,26 @@ describe "Snippets extension", ->
 
       describe "when the snippet contains tab stops", ->
         it "places the cursor at the first tab-stop, and moves the cursor in response to 'next-tab-stop' events", ->
+          anchorCountBefore = editor.activeEditSession.getAnchors().length
+          editor.setCursorScreenPosition([2, 0])
           editor.insertText('t2')
           editor.trigger keydownEvent('tab', target: editor[0])
-          expect(buffer.lineForRow(0)).toBe "go here next:() and finally go here:()"
-          expect(buffer.lineForRow(1)).toBe "go here first:()"
-          expect(buffer.lineForRow(2)).toBe "var quicksort = function () {"
-          expect(editor.getCursorScreenPosition()).toEqual [1, 15]
+          expect(buffer.lineForRow(2)).toBe "go here next:() and finally go here:()"
+          expect(buffer.lineForRow(3)).toBe "go here first:()"
+          expect(buffer.lineForRow(4)).toBe "    if (items.length <= 1) return items;"
+          expect(editor.getCursorScreenPosition()).toEqual [3, 15]
 
           editor.trigger keydownEvent('tab', target: editor[0])
-          expect(editor.getCursorScreenPosition()).toEqual [0, 14]
+          expect(editor.getCursorScreenPosition()).toEqual [2, 14]
           editor.insertText 'abc'
 
           editor.trigger keydownEvent('tab', target: editor[0])
-          expect(editor.getCursorScreenPosition()).toEqual [0, 40]
+          expect(editor.getCursorScreenPosition()).toEqual [2, 40]
+
+          # terminate snippet
+          editor.trigger keydownEvent('tab', target: editor[0])
+          expect(buffer.lineForRow(2)).toBe "go here next:(abc) and finally go here:(  )"
+          expect(editor.activeEditSession.getAnchors().length).toBe anchorCountBefore
 
     describe "when the letters preceding the cursor don't match a snippet", ->
       it "inserts a tab as normal", ->
diff --git a/src/app/anchor.coffee b/src/app/anchor.coffee
index 676d3e97f..e8f1e50fd 100644
--- a/src/app/anchor.coffee
+++ b/src/app/anchor.coffee
@@ -56,4 +56,7 @@ class Anchor
     screenPosition = @editSession.screenPositionForBufferPosition(@bufferPosition, options)
     @setScreenPosition(screenPosition, bufferChange: options.bufferChange, clip: false, assignBufferPosition: false)
 
+  destroy: ->
+    @editSession.removeAnchor(this)
+
 _.extend(Anchor.prototype, EventEmitter)
diff --git a/src/extensions/snippets/snippets.coffee b/src/extensions/snippets/snippets.coffee
index 32102afaa..a63d305d2 100644
--- a/src/extensions/snippets/snippets.coffee
+++ b/src/extensions/snippets/snippets.coffee
@@ -40,23 +40,34 @@ class SnippetsSession
   expandSnippet: ->
     return unless snippets = @snippetsByExtension[@editSession.buffer.getExtension()]
     prefix = @editSession.getLastCursor().getCurrentWordPrefix()
-    if @activeSnippet = snippets[prefix]
+    if snippet = snippets[prefix]
       @editSession.selectToBeginningOfWord()
-      @activeSnippetStartPosition = @editSession.getCursorBufferPosition()
-      @editSession.insertText(@activeSnippet.body)
-      @placeTabStopAnchors()
-      @setTabStopIndex(0) if @activeSnippet.tabStops.length
+      snippetStartPosition = @editSession.getCursorBufferPosition()
+      @editSession.insertText(snippet.body)
+      if snippet.tabStops.length
+        @placeTabStopAnchors(snippetStartPosition, snippet.tabStops)
+        @setTabStopIndex(0)
       true
     else
       false
 
-  placeTabStopAnchors: ->
-    @tabStopAnchors = @activeSnippet.tabStops.map (position) =>
-      @editSession.addAnchorAtBufferPosition(position)
+  placeTabStopAnchors: (snippetStartPosition, tabStopPositions) ->
+    @tabStopAnchors = tabStopPositions.map (tabStopPosition) =>
+      @editSession.addAnchorAtBufferPosition(snippetStartPosition.add(tabStopPosition))
 
   goToNextTabStop: ->
-    return false unless @activeSnippet
-    @setTabStopIndex(@tabStopIndex + 1)
+    return false unless @tabStopAnchors
+    nextIndex = @tabStopIndex + 1
+    if nextIndex < @tabStopAnchors.length
+      @setTabStopIndex(nextIndex)
+      true
+    else
+      @terminateActiveSnippet()
+      false
 
   setTabStopIndex: (@tabStopIndex) ->
     @editSession.setCursorBufferPosition(@tabStopAnchors[@tabStopIndex].getBufferPosition())
+
+  terminateActiveSnippet: ->
+    anchor.destroy() for anchor in @tabStopAnchors
+