A new basidiomycete genus, Rhizochaete (Phanerochaetaceae, Polyporales), is described. Rhizochaete is characterized by a smooth to tuberculate, pellicular hymenophore and hyphal cords that turn red or violet in potassium hydroxide, monomitic hyphal system of simple or nodose septate hyphae, cystidia, and small, cylindrical to subglobose basidiospores. It morphologically is most similar to Phanerochaete. Analyses of nuclear ribosomal and internal-transcribed spacer region sequence data support a close relationship between Rhizochaete and Phanerochaete. The new taxon R. brunnea, from southern Argentina, is described and illustrated. In addition, the new combinations R. americana, R. borneensis, R. filamentosa, R. fouquieriae and R. radicata are proposed. A key to the species of Rhizochaete is provided.