for items and services covered under parts A and B furnished to such beneficiaries with the size of the corridor being related to the number of applicable beneficiaries furnished services by each independence at home medical practice. The spending targets may also be adjusted for applicable beneficiary risk characteristics, factors relevant to characterize random variation among practices, and other factors as the Secretary determines appropriate. (2) Incentive payments Subject to meeting the quality performance standards under subsection (c)(2), an independence at home medical practice is eligible to receive an incentive payment under the Program if actual expenditures for a year for the applicable beneficiaries who are attributed to the practice are less than the estimated spending target established under paragraph (1) for such year. An incentive payment for such year shall be equal to a portion (as determined by the Secretary but in no case greater than 80 percent) of the amount by which actual expenditures (including incentive payments under this paragraph) for applicable beneficiaries under parts A and B for such year are estimated to be less than 5 percent less than the estimated spending target for such year, as determined under paragraph (1). (e) Applicable beneficiary (1) In general In this section, the term applicable beneficiary , with respect to an independence at home medical practice, is an individual who is attributed to such practice as a newly-assigned beneficiary or a continuously-assigned beneficiary (as such terms are defined in paragraphs (2) and (3), respectively). (2) Newly-assigned beneficiary defined For purposes of paragraph (1), the term newly-assigned beneficiary means an individual whom the independence at home medical practice has determined— (A) is entitled to benefits under part A and enrolled for benefits under part B