A system and method are presented that reduce the use of snapshot space. One embodiment of the present invention only performs snapshot copies for blocks on the source volume that have not yet been backed up. Another embodiment stores the data in the snapshot space in multiple files, and then deletes those files that contain data whose corresponding blocks have been backed up. A third embodiment stores the data in the snapshot space directly onto a dedicated device and then reuses the data blocks for data already backed up when the dedicated device is full.