Deficit Reduction Act of 2005
The Deficit Reduction Act of 2005 made a variety of changes to benefits-related federal programs with the intention of reducing federal expenditures. The most notable changes were the establishment of means-tested Medicare premiums, and restraints on Medicaid spending.
The Act also impacted PBGC Premiums. The Act raised the per participant flat rate for the 2006 plan year to $30 for single-employer plans and $8 for multi-employer plans. The Act also provided that future rates would be indexed for inflation.