diff --git a/homeassistant/components/light/rfxtrx.py b/homeassistant/components/light/rfxtrx.py
index f96a9f7b1fa..08f3dcc7c60 100644
--- a/homeassistant/components/light/rfxtrx.py
+++ b/homeassistant/components/light/rfxtrx.py
@@ -50,7 +50,8 @@ def setup_platform(hass, config, add_devices_callback, discovery_info=None):
 
     def light_update(event):
         """ Callback for light updates from the RFXtrx gateway. """
-        if not isinstance(event.device, rfxtrxmod.LightingDevice):
+        if not isinstance(event.device, rfxtrxmod.LightingDevice) or \
+                not event.device.known_to_be_dimmable:
             return
 
         # Add entity if not exist and the automatic_add is True
@@ -74,13 +75,13 @@ def setup_platform(hass, config, add_devices_callback, discovery_info=None):
             add_devices_callback([new_light])
 
         # Check if entity exists or previously added automatically
-        if entity_id in rfxtrx.RFX_DEVICES \
-                and isinstance(rfxtrx.RFX_DEVICES[entity_id], RfxtrxLight):
+        if entity_id in rfxtrx.RFX_DEVICES:
             _LOGGER.debug(
                 "EntityID: %s light_update. Command: %s",
                 entity_id,
                 event.values['Command']
             )
+
             if event.values['Command'] == 'On'\
                     or event.values['Command'] == 'Off':
 
@@ -90,15 +91,27 @@ def setup_platform(hass, config, add_devices_callback, discovery_info=None):
                 rfxtrx.RFX_DEVICES[entity_id]._state = is_on
                 rfxtrx.RFX_DEVICES[entity_id].update_ha_state()
 
-                # Fire event
-                if rfxtrx.RFX_DEVICES[entity_id].should_fire_event:
-                    rfxtrx.RFX_DEVICES[entity_id].hass.bus.fire(
-                        EVENT_BUTTON_PRESSED, {
-                            ATTR_ENTITY_ID:
-                                rfxtrx.RFX_DEVICES[entity_id].entity_id,
-                            ATTR_STATE: event.values['Command'].lower()
-                        }
-                    )
+            elif event.values['Command'] == 'Set level':
+                # pylint: disable=protected-access
+                rfxtrx.RFX_DEVICES[entity_id]._brightness = \
+                    (event.values['Dim level'] * 255 // 100)
+
+                # Update the rfxtrx device state
+                is_on = rfxtrx.RFX_DEVICES[entity_id]._brightness > 0
+                rfxtrx.RFX_DEVICES[entity_id]._state = is_on
+                rfxtrx.RFX_DEVICES[entity_id].update_ha_state()
+            else:
+                return
+
+            # Fire event
+            if rfxtrx.RFX_DEVICES[entity_id].should_fire_event:
+                rfxtrx.RFX_DEVICES[entity_id].hass.bus.fire(
+                    EVENT_BUTTON_PRESSED, {
+                        ATTR_ENTITY_ID:
+                            rfxtrx.RFX_DEVICES[entity_id].entity_id,
+                        ATTR_STATE: event.values['Command'].lower()
+                    }
+                )
 
     # Subscribe to main rfxtrx events
     if light_update not in rfxtrx.RECEIVED_EVT_SUBSCRIBERS:
diff --git a/homeassistant/components/rfxtrx.py b/homeassistant/components/rfxtrx.py
index 60f6f7a5cd6..60736585c28 100644
--- a/homeassistant/components/rfxtrx.py
+++ b/homeassistant/components/rfxtrx.py
@@ -9,8 +9,8 @@ https://home-assistant.io/components/rfxtrx/
 import logging
 from homeassistant.util import slugify
 
-REQUIREMENTS = ['https://github.com/Danielhiversen/pyRFXtrx/archive/0.2.zip' +
-                '#RFXtrx==0.2']
+REQUIREMENTS = ['https://github.com/Danielhiversen/pyRFXtrx/archive/0.4.zip' +
+                '#RFXtrx==0.4']
 
 DOMAIN = "rfxtrx"
 
@@ -37,6 +37,8 @@ def setup(hass, config):
         """ Callback all subscribers for RFXtrx gateway. """
 
         # Log RFXCOM event
+        if not event.device.id_string:
+            return
         entity_id = slugify(event.device.id_string.lower())
         packet_id = "".join("{0:02x}".format(x) for x in event.data)
         entity_name = "%s : %s" % (entity_id, packet_id)
diff --git a/homeassistant/components/switch/rfxtrx.py b/homeassistant/components/switch/rfxtrx.py
index 84f4df82b1f..b3d19a5db3b 100644
--- a/homeassistant/components/switch/rfxtrx.py
+++ b/homeassistant/components/switch/rfxtrx.py
@@ -49,7 +49,8 @@ def setup_platform(hass, config, add_devices_callback, discovery_info=None):
 
     def switch_update(event):
         """ Callback for sensor updates from the RFXtrx gateway. """
-        if not isinstance(event.device, rfxtrxmod.LightingDevice):
+        if not isinstance(event.device, rfxtrxmod.LightingDevice) or \
+                event.device.known_to_be_dimmable:
             return
 
         # Add entity if not exist and the automatic_add is True
@@ -73,8 +74,7 @@ def setup_platform(hass, config, add_devices_callback, discovery_info=None):
             add_devices_callback([new_switch])
 
         # Check if entity exists or previously added automatically
-        if entity_id in rfxtrx.RFX_DEVICES \
-                and isinstance(rfxtrx.RFX_DEVICES[entity_id], RfxtrxSwitch):
+        if entity_id in rfxtrx.RFX_DEVICES:
             _LOGGER.debug(
                 "EntityID: %s switch_update. Command: %s",
                 entity_id,
diff --git a/requirements_all.txt b/requirements_all.txt
index 1a032958157..26b7abbb71f 100644
--- a/requirements_all.txt
+++ b/requirements_all.txt
@@ -64,7 +64,7 @@ hikvision==0.4
 # http://github.com/mala-zaba/Adafruit_Python_DHT/archive/4101340de8d2457dd194bca1e8d11cbfc237e919.zip#Adafruit_DHT==1.1.0
 
 # homeassistant.components.rfxtrx
-https://github.com/Danielhiversen/pyRFXtrx/archive/0.2.zip#RFXtrx==0.2
+https://github.com/Danielhiversen/pyRFXtrx/archive/0.4.zip#RFXtrx==0.4
 
 # homeassistant.components.sensor.netatmo
 https://github.com/HydrelioxGitHub/netatmo-api-python/archive/43ff238a0122b0939a0dc4e8836b6782913fb6e2.zip#lnetatmo==0.4.0