Stolen from /u/ridcullylive's post 2 years ago here.

"Almost all of Freud's specific theories have either been disproven or recognized as fairly ridiculous. His theories about psychological development into adulthood (penis envy, Oedipus complex, oral/anal/genital stages, etc) seem to be empirically wrong or at best untestable, and have been replaced with much more complete developmental models. His theories of how the brain works (Id, Ego, Superego) are useful as a broad metaphor, but not so much besides that. His theories of psychopathology are incredibly outdated, offensively sexist, and often empirically wrong. The benefits of Freudian psychoanalysis have been shown to be mainly due to having the chance to discuss your psychological problems with somebody who sits and is willing to listen to you about them. He is, however, still extremely relevant in two broad ways:

1) He was one of the first theorists to make popular the idea that we all have a rational, civilized exterior thinly overlying a core of primal, unconscious, animal instincts having to do with sex, violence, etc. That's a fairly widespread and uncontroversial view nowadays, but he was really one of the first to popularize that. In fact, before him, the idea that unconscious mental processes could influence our behaviour and society was pretty bizarre-seeming. Now, again, it seems totally normal.

2) Some of his more famous and specific theories such as the oedipus complex are still used a lot to explain art in the literary/cultural/film criticism world, where something being empirically true or not as a psychological theory is not too much of a concern."