A phylogenetic analysis based upon 30 extinct and extant taxa of podotrematous brachyuran decapods using 74 characters shows that Podotremata sensu Guinot, 1977 is not monophyletic and results in a new classification for these crabs. Four new taxa are recognized at the section-level (Homoloida, Torynommoida, Etyoida, and Dakoticancroida) as well as two new families (Basinotopidae and Xandarocarcinidae). Dromiacea as historically defined is redefined herein to exclude Homoloidea. New generic names Noetlingocarcinus and Xandarocarcinus, and Seorsus millerae new combination also resulted from the work.