My network sees phones as well

I presume the phone icon is displayed when you connect phone via USB cable and has nothing to do with WPA keys.
If your phone is connected via USB cable it will let you browse your phone. If it is not then it should throw some error message.
Right Click the device and remove it. Connect your phone to your wifi router. Does it get displayed again in the same place.
now Try connecting your device via USB cable. It should get displayed
I my might be wrong but please give it a try and let us know