Milled sphagnum moss is what I use in my custom-mix of potting/garden soil. Milled sphagnum is not the same as peat moss though. I have a feeling you are actually using peat, since it is an acidic material and has a lot of powder-type material. Peat takes hundreds of years to form and is "dead" material. The milled sphagnum is neutral, ground from fresh, live material, and doesn't have much air-borne material. You might want to check out this article published last year.
http://garden.org/ideas/view/d...