RFC (Recursive Flow Classification) is one of the best packet classification algorithms. However, RFC has moderate to prohibitive high preprocessing time for rule-sets having more than 10K rules. RFC does not provide incremental update. Due to these essential missing features, RFC is used in limited scenarios. This paper attempts to add these essential features in RFC. Our algorithm uses various memory and processing optimizations to speed up RFC preprocessing phase. We provide an algorithm to compute only those CBM (Class Bit Map) intersections for which corresponding value pairs are found in rules. We optimize CBM intersection by using ABV algorithm and min-max rule information. We also propose an optimized algorithm to manage real time incremental updates in RFC. The algorithm modifies only required parts of RFC tables and makes sure that the updated tables have information in correct order. For incremental update, moderate amount of extra memory is required. We tested our algorithm for preprocessing time and incremental update feature. The results indicate that we get moderate improvement in preprocessing time with real time incremental updates in our modified RFC.