Existing implementation of perfectly matched layers (PML) constraining the computational volume in an electromagnetic modeling of open structures has been shown to be efficient. However, cases with absorbing materials inserted into PML require substantial amount of memory and calculation time spent on the computation of the field inside the PML layer. In this paper we are addressing these problems by introducing a new computational method. As the procedure requires some substantial amount of memory and operations to compute fields in the PML layer, the paper addresses these issues. The PML split-field equations are revisited yielding a reduction from four-term storage to only three. In addition, the new algorithm is used with a new hybrid MRTD-FDTD (HMRTD) method applied to various lossy structures, conjointly with a higher-order field evaluation. Results demonstrate the efficiency of the new PML algorithm as compared to current schemes.