I wanted to know if you set your snipe at a certain amount let's say $50 and the current bid is $40 if nobody else bids does it put the $50 bid in or does it bid the next available amount for say $41

It will bid the amount you set. If nobody else bid higher, you will win at the lowest price just enough to outbid the previous bidder by one increment only.
That will be $41 in your example.